Since 2002, state governments across the United States have faced shortfalls in their state budgets collectively averaging about $15 billion per year until 2008, when they ballooned during the recession and afterward. As various state governments searched for new sources of revenue to reduce their budget deficits, applying state sales taxes to Internet purchases has emerged as one possibility. At present, a large portion of the market transactions that take place on the Web are not subject to state sales taxes. How much revenue would taxing Internet sales generate for state governments?