Which of the Following Statements About the Collection of Sales

question 7

Multiple Choice

Which of the following statements about the collection of sales taxes on Internet and online purchases is NOT correct?

• A) States can only require companies that have a physical presence in a state to pay sales tax.
• B) Federal requirements on state sales tax have caused many states to lose urgently needed tax revenue.
• C) States are vigorously lobbying for changes to federal law so that they can collect taxes on Internet and online purchases.
• D) If an Internet vendor is not required to collect sales tax on a purchase, the purchaser is exempt from paying any sales tax.
• E) As the volume of Internet sales continues to increase, the amount of state sales tax revenue decreases.

---

Definitions:

Wear Seat Belts

A safety measure that involves securing oneself in a vehicle with a strap to minimize injuries in the event of a crash.

Internal-External (I-E) Scale

The Internal-External (I-E) Scale is a psychological measurement tool used to assess the locus of control of an individual, distinguishing between people who attribute outcomes to their own control or to external forces.

Children's Nowicki-Strickland

A psychological assessment tool designed to measure locus of control specifically in children, indicating their perceived control over outcomes in their lives.

Locus of Control

A psychological concept referring to an individual's belief about the extent to which their actions influence outcomes.