States pushing for taxation on internet sales. The states still need Congress to change the law banning taxes on out-of-state internet sales before they can do much of anything to the likes of Amazon. That is why Amazon is suing New York after they announced a tax on their sales to New York residents. It would seem prudent to me to allow one of our last remaining strong industries to continue growing and creating jobs, especially in a recession, but never underestimate a politician's ability to tax anything they can.