Iowa Governor Terry Branstad / MGN graphics library
DES MOINES, IOWA -- Iowa Governor Terry Branstad is joining other governors in their support of federal legislation requiring online businesses to pay state sales taxes.
According to the Des Moines Register newspaper, Branstad has written a letter to U.S. Senators Tom Harkin and Charles Grassley asking them to vote for the tax proposal.
Harkin, a Democrat, says he is in favor of the bill, while Grassley, a Republican, has not said whether he would vote for it.
Iowa revenue officials estimate the state is currently missing out on about $14 million a year in tax revenue.
Gov. Branstad says many local businesses are at a disadvantage because they are required to collect state and local sales taxes, while online retailers are not.
(The Associated Press contributed to this story)