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VLP Partner Melissa Krasnow Quoted in the Bloomberg Law Article “Taxing Digital Sales Raises Concerns About ZIP Codes, Privacy”

Posted on Nov 17, 2023 in Privacy, News by Melissa Krasnow

VLP Partner Melissa Krasnow was quoted in the Bloomberg Law Article “Taxing Digital Sales Raises Concerns About ZIP Codes, Privacy.”

This article describes issues that arise when states seek that retailers collect full address information for accurate tax calculation.
The business community has resisted mandates requiring complete street addresses, especially if such information isn’t needed to complete a sale.

The business sector has argued that more data collection represents an additional administrative burden, while sellers collecting and retaining personally identifiable information could be impacted by states’ consumer data privacy laws.

According to Ms. Krasnow: “State consumer privacy laws can be and are amended regularly….[w]hen lawmakers pass privacy laws they don’t necessarily think about how those measures could potentially affect state tax assessment and collections.”

Ms. Krasnow also said “A state can clarify and say, ‘If you’re going to use this information for tax purposes, then it’s out of the purview of this competing or conflicting privacy law,’….[which could be] a potential fix.”

The article can be found here