The sales tax for the most part is applied to purchases made within your own state, if that state normally has a sales tax. The Senate has passed the Internet Sales Tax bill, but it is still under consideration in the House of Rep.

There is not currently an "internet tax" in any state and the "internet tax" that William refers to is misleading. The Marketplace Fairness Act which is often referred to as the "internet sales tax" is much more than this moniker suggests. In its current form, it refers to all sales across state lines no matter how they are made. This bill if passed would cover catalog sales, telephone sales, internet sales and any other sale made without traditional nexus..

Some sales across state lines are already covered if you have a link or nexus to a particular state. For sales tax purposes that link has to have some physical element. However we are not just talking about an office or warehouse being a physical presence but also the activities of your employees or even third parties acting on your behalf.