Pennsylvania’s tax on online sales is making millions more than expected. Here’s why.

Apr 29, 2019 | Member News

By Laura McCrystal | Philly.com

 

Taxes on internet sales have created a small windfall for Pennsylvania, according to state officials — thanks to a U.S. Supreme Court ruling and the rapid growth of online retail.

The state’s Department of Revenue initially estimated that tax revenue from marketplace sales would total $50.5 million in the current fiscal year. But between the start of the fiscal year in July and the end of March, the state has raised $151.4 million.

 

Through the end of the current fiscal year, officials expect to earn $200 million  – nearly four times more than initially expected.

 

Here’s how that happened.

 

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