In the midst of chaotic negotiations between the Senate and the House over the debt ceiling, Senator Dick Durbin (D-Ill.) had another priority: introducing the Main Street Fairness Act, a new quasi-federalized Internet sales tax.

In recent weeks, several states have debated imposing an Internet sales tax on businesses operated within the state. California has already pushed through a new Internet sales tax, with Governor Jerry Brown signing the legislation and hailing it as a ‘tax revenue’ increaser. As with all government actions, there have been some unintended consequences with the new California law; Amazon and O.co have shut down their affiliates based in California, taking thousands of jobs with them.

Last week, Congressman Joe Barton (R-TX) introduced a bipartisan bill that would end the federal online gambling ban.  The Internet Gambling Prohibition, Poker Consumer Protection, and Strengthening UIGEA Act of 2011 has nine original cosponsors from both sides of the aisle, including Congressman Ron Paul (R-TX) and Congressman Barney Frank (D-MA), who have advocated for similar legislation in the past.

On Tuesday, Governor Rick Perry issued his first veto of the year, vetoing HB 2403, an Internet sales tax bill which FreedomWorks opposed. By vetoing HB 2403 Governor Perry has saved taxpayers and business alike from burdensome regulations and new taxes. In vetoing the legislation Perry cited that a key reason for his veto was that there was no consensus between lawmakers, tech experts, consumers and retailers.

Tennessee lawmakers are pushing SB 0529, which would force Internet retail giant Amazon to collect state sales taxes that would be passed along to consumers. Amazon has threatened not to build planned distribution centers in Tennessee if the measures are put in place; they have already left Illinois, South Carolina and are threatening to leave Texas for similar legislation.