Wal-Mart shrugs off online tax
Retailer is now most admired US company
February 21 2002
Imposing a sales tax on goods sold online has not hit e-commerce sales at Wal-Mart.
Walmart.com president and chief executive John Fleming told Reuters the new tax had “not really” affected sales and customers had not complained.
Wal-Mart is one of a number of major US retailers which have opted to charge the tax rather than face possible legal action from individual states. Many states impose local sales taxes, which bricks and mortar retailers have argued favours mail-order and online retailers over those operating stores.
Wal-Mart had offered customers the opportunity to buy tax free onlne, and then collect the items at a store. This month, along with seven other retailers including Target and Toys R Us, Wal-Mart agreed to charge online sales tax in 37 states.
Wal-Mart’s is now officially the most admired US company, according to the annual survey carried out by Fortune magazine, the first time the company has topped the list.
General Electric, number one for the past five years, fell to fifth place. Dell Computer was fourth and Starbucks ninth. Brand owners Johnson & Johnson, Microsoft and Procter & Gamble also made the top ten.
