LAWRENCE, Kan. (AP) - The state of Kansas plans to audit the Kansas State University athletic department's online sales of its athletic merchandise.
The Lawrence Journal-World reported Monday (http://bit.ly/r4s0y9) that the audit will determine if the school is not collecting sales tax on merchandise sold through its online store.
Kenny Lannou, a spokesman for the athletic department, says the department believes the orders don't have to be taxed because they are filled by a Florida online company that has no employees or offices in Kansas.
But Richard Cram, of the revenue department, notes that the store is called the "K-State Official Online Store'' and it is accessed through the school's athletic department website. He says the state doesn't care where the product comes from.
Information from: Lawrence Journal-World, http://www.ljworld.com
(Copyright 2011 by The Associated Press. All Rights Reserved.)