Yesterday Hawaii pulled ahead of the chasing pack of states considering the imposition of new sales taxes by passing HB1405 in their House legislature. Today, May 7, the Hawaiian Senate is due to vote.

In the meantime, bills in North Carolina (S487/H558), Minnesota (HF2323), Tennessee (HB1947/SB1741) and Connecticut (SB806) are all still alive and making their seemingly inexorable way through various hearings and votes. The most positive position for affiliates so far is to be found in California where AB178 has been stalled for the time being but may be reintroduced or rewritten some time in the near future.

There are already signs that the online marketing industry is coming to terms with an impending reality in which they must account for a different sales tax rate in every state, to the point at which some are already discussing their preference for a Federal Internet sales tax that would allow for a consistent treatment nationwide.

As online sales take an increasing share of retail dollars, this is an issue that will only become more pressing. Expect this debate to run and run.