Having arrived at baseline estimates for 2008, we next calculated an estimate of the impact of applying the small business exemption (SBE). To do so, we first adjusted potential un-collected taxes on a state-by-state basis to omit the surveyed firms in the Internet Retailer Top 500 from the state-by-state calculation, and then calculated potential uncollected taxes for the “tail” by allocating to the states only those potential revenues that would not be affected by the SBE.