[VaSteve]

That's the whole idea behind why states want to start taxing internet sales.

Generally, the tax forms require you to report *all* income and then back off what doesn't get taxed in a particular area (State or Fed).

She's either trying to oversimplify it to the point of misunderstanding between you and her or she really doesn't know what she's doing.

Did she do your taxes last year?

I'm not a tax accountant, but I am a CPA. All the tax accountants are too busy to surf this time of year.

PM if you want to discuss it privately.