My property tax at the lake went up 42.5% this year. I need to ask the state which Minneapolis burned out building I'm sponsoring I may like to go there and see what my money is doing. Internet tax was inevitable. It doesn't stop me from buying online at least the things that are practical online purchases.

What pisses me off is we have been putting in through gas tax increases and sales tax increases for years that are supposed to go to street improvements and repairs. Yet the streets in our neighborhood and most other neighborhoods in town are terrible.

We live on a dead end road. The last 100 feet is gravel. Muddy in the spring and dusty all summer. It's just the neighbor and I who share this stretch. We went to a city council meeting and asked if we could have it blacktopped at our expense. They said no. When asked why not they said it's a city owned street and it's not up to us to do anything with it.

When you stop to think all the different ways you give you're money to the government beyond simple income and sales taxes and what you get in return it's sickening.

The last war fought here on US Soil was about this exact topic. (taxes & tariffs)

quote:

We went to a city council meeting and asked if we could have it blacktopped at our expense. They said no. When asked why not they said it's a city owned street and it's not up to us to do anything with it.

I'd blacktop it and say nothing, since it's just the two of you, what are they going to do, make you take it out?

Another massive consequence of this is it will stifle new internet sales startups. Know why Amazon was actually on board with collecting sales taxes? It's not because they believe it's right, it's because they believe they're big enough to handle this while smaller up and coming competitors will not be able to handle collecting state, county, and city taxes as efficiently.

It's regulatory capture, where the big, established businesses push for regulations which hurt competitors more than the big, established businesses.

quote:

Originally posted by Graniteguy:
The last war fought here on US Soil was about this exact topic. (taxes & tariffs)

And that's precisely why politicians sell every tax as something that will only affect this or that small group of people. When it's an income or cap gains tax, only the "rich" or those "who won life's lottery" will pay it. When it's a sales tax hike or special assessment, at least in AZ, it only happens via ballot prop/initiative, so the politicians can't be held accountable when businesses pass it along to consumers and everyone ends up paying it.

My very small business has been shipping to out of state customers for the last 20 years. It looks like it is coming to an end as I received this today from on of my main suppliers.

SALES AND USE TAX RESALE EXEMPTION CERTIFICATE REQUEST
States where goods are delivered: AR, AZ, CA, CT, KS, MA, MI, OH, OK, PA, TN, TX, VA

I don't understand, Calif Phil

If I understand correctly: Your supplier is requesting you demonstrate to them why you should be exempt from being assessed sales/use tax on what they sell you.

Once-upon-a-time I was employed in such a role that I bought stuff from suppliers both for our use and for manufacturing/resale. I had to be careful to let suppliers know which it was on each purchase. Goods and materials purchased for manufacturing/resale were exempt from sales tax. Those purchased for our own use were not.

quote:

Originally posted by Rick Lee:
I shouldn't have to pay any sales tax on used goods from anyone. AZ doesn't even charge sales tax on private party vehicle sales. Why should they be able to collect sales tax on a 30 yr old guitar I buy on eBay? I will try to avoid paying any dime of gov't. extortion I can. When they stop wasting my money and treat everyone equally, then we can talk.

Yep. They don't send tax collection agents to garage sales (at least not yet ). But if I sell a used item on Gunbroker, I must collect (from the buyer) and pay (remit) sales tax.

quote:

Work diligently to not have to pay as many taxes as possible, at all times, and always complain, forever.

Yep.

[QUOTE]Originally posted by ensigmatic:
I don't understand, Calif Phil

If I understand correctly: Your supplier is requesting you demonstrate to them why you should be exempt from being assessed sales/use tax on what they sell you.

It's because I go through them to do drop shipments. I use another supplier that will charge me the sales tax from the state of delivery and then I collect the tax from the customer, it makes it easy on me and the state is sure to get the tax that way. Distributors are also struggling with which way is best for them. I think there should be tax on internet sales, but if they don't figure out a simple way to collect it. Little guys like me will be forced out.

I remember when we sold off 75% of our business back in 2016. They way things were structured we had to take a lump sum. I knew what the tax liabilities were going to be but the wife did not and I tried to warn her but she just couldn't wrap her head around it. A couple months before closing we went to our tax attorney to get papers drawn up and a estimated tax on gains statement. The wife sat in the car in tears all the way home. Literally. When Obama said "You didn't build that" he meant it and it became real right then.

quote:

Why should they be able to collect sales tax on a 30 yr old guitar I buy on eBay?

quote:

Yep. They don't send tax collection agents to garage sales (at least not yet Razz ). But if I sell a used item on Gunbroker, I must collect and pay sales tax.

YOU don't have to collect sales tax on YOUR items that YOU sell.

When you're on Ebay or Gunbroker, you aren't selling your items. Ebay and Gunbroker are selling your items. That makes them resellers, which is why they are collecting and remitting taxes.

quote:

YOU don't have to collect sales tax on YOUR items that YOU sell.

When you're on Ebay or Gunbroker, you aren't selling your items. Ebay and Gunbroker are selling your items.

That's simply not true. I'm the seller.

Ebay and Gunbroker act as facilitators, providing a way for buyers and sellers to meet. They take no responsibility for the merchandise. They never touch or see the item sold. The items are MY items. They provide a meeting place for which they are paid a commission. But they are not the seller, I am.

quote:

YOU don't have to collect sales tax on YOUR items that YOU sell.

When you're on Ebay or Gunbroker, you aren't selling your items. Ebay and Gunbroker are selling your items. That makes them resellers, which is why they are collecting and remitting taxes.

_____________________

Can't be true, that would meant all newspapers would be collecting taxes on classified items, SF would be responsible for the taxes on items in classified...

Ebay Tax Rules Link

Overview

When you sell on eBay, you’re responsible for complying with all applicable tax laws. If you’re selling to buyers outside the US, you should inform them about the potential import charges they’ll need to pay when they receive their item.

If you sell to buyers in certain states in the US, AU, NZ or in the European Union (EU), your transactions will be subject to applicable sales taxes, Goods and Services Tax, and/or Value Added Tax.

Sellers’ tax responsibilities

You are responsible for paying all fees and taxes associated with using eBay as an eBay seller. For more information on eBay’s tax policy and your obligations, see our Tax policy and User Agreement.

Your tax-related responsibilities may include:

Paying sales tax on eBay sales
Paying income tax on eBay sales
Informing overseas buyers about import charges
Ability to validate what tax was collected on sales transactions.

you sell to buyers in the US, some jurisdictions may require you to collect applicable Internet Sales Tax on your transactions. As of January 1, 2021 a total of 44 jurisdictions require the collection of sales tax. In such cases, eBay collects and remits Internet Sales Tax on your behalf.

Learn more about Internet Sales Tax, on our Help pages, or from your tax advisor.

Starting in November 2019, the way taxable transactions are processed and how taxes are collected for remittance will change, as follows:

In jurisdictions where eBay is required to collect Internet Sales Tax from buyers, order totals sent for processing will reflect the gross order amount inclusive of tax.
Once settled, the tax amount will be automatically deducted for remittance to the applicable taxing authority.
A record of the sales tax portion of the order will be available on the Seller Hub Order details page and through our Download order report.
Please note the applicable tax will continue to be paid by the buyer and you do not need to take any action. These changes do not apply to sellers in managed payments.

quote:

That's simply not true. I'm the seller.

Ebay and Gunbroker act as facilitators, providing a way for buyers and sellers to meet. They take no responsibility for the merchandise. They never touch or see the item sold. The items are MY items. They provide a meeting place for which they are paid a commission. But they are not the seller, I am.

That's not how many states view it. Go to an auction, and the auctioneer collects sales tax. Go to an estate sale operated by an estate sale company, and they collect sales tax. This will be different from state to state but many view it this way: Auction your own stuff no sales tax. Operate your own estate/garage sale, no sales tax. Ebay = auctioneer = reseller = business selling goods = sales tax.

quote:

that would meant all newspapers would be collecting taxes on classified items, SF would be responsible for the taxes on items in classified...

Ebay isn't simply advertising items for sale. Newspapers aren't auctioning items, collecting commissions based on sales price, collecting funds, resolving disputes, etc.

I did a quick Google search for an example and came up with this from New Jersey:

quote:

eBay, as a marketplace facilitator, is required to collect and remit sales tax to New Jersey.

A marketplace seller is a seller that makes retail sales through any physical or electronic marketplace owned, operated or controlled by a marketplace facilitator, said David Ritter, chair of the tax practice at Brach Eichler in Roseland.

Doesn't that confirm what Chellim1 said, Ebay is not the seller, they are a marketplace facilitator, and as such, some states have passed laws that facilitators need to collect the sales tax from the seller/buyer.

While the tax may be collected on GB or EB, it's not because they are the seller...

quote:

While the tax may be collected on GB or EB, it's not because they are the seller...

I think we're getting into semantics then. I suppose that technically a live auctioneer who sells items is also a "facilitator" and not the actual "seller", but the point remains. A third party "facilitating" sales is being looked at the same way as any other retailer: A business selling goods as opposed to a private party sale.

This is a complicated issue, and every solution has its pros and cons. The reality is that sales and use taxes are owed, they are not getting collected (not via avoidance, but by evasion), and attempts are being made to solve the problem. I don't like paying any more than I have to either, and know damn well how much is wasted. This doesn't change the fact that we need to pay taxes to function as a society. We also need local businesses. I often joke about how much better off we will be once Walmart and Amazon are our only options.

No its not semantics, the statement was made that Ebay and GB are the sellers, they are not sellers in any capacity and that's not why they have been collecting taxes.

Ebay and GB are targets for taxing authorities because it's easier to go at a few large companies, pass some laws on Internet Taxes than it is to chase 100 million people for taxes. Hence Internet Sales Tax Laws, and companies like these are big enough to have people to do the sales tax calculation.

Taxing authorities don't want to have to bill for sales tax they don't want to build data centers for assimilating tax files into an annual bill they send to all residents of their states.

quote:

Ebay and GB are targets for taxing authorities because it's easier to go at a few large companies, pass some laws on Internet Taxes than it is to chase 100 million people for taxes. Hence Internet Sales Tax Laws, and companies like these are big enough to have people to do the sales tax calculation.

Taxing authorities don't want to have to bill for sales tax they don't want to build data centers for assimilating tax files into an annual bill they send to all residents of their states.

And none of this would have happened or been an issue if people had actually paid what they owed. So don't blame guys like me who shop local, pay the taxes I owe, and support the local economy. Blame the millions of people who shop online and didn't pay the taxes they owed (and still do complete with penalties and interest).

As I said previously, when the taxing authorities started noticing shortfalls, they started seeking to get that money somehow.

Being in MO, I've been used to auctioneers and similar collecting sales tax for a long time. Semantics. By your definition they are not the "seller", but a "facilitator". Either way, they are involved in a sale as a professional, and not private parties.

Taxing used items a second time ought to elicit a revolt.

As for Tax Shortfalls, spend less, period, and eat a fat rancid dick for even thinking an increase is okay.

All goods that have had a sales tax paid that are resold should be exempted from said tax regardless of how or who sells it.

a1abdj, I’m still not sure why you think that businesses local to you don’t do online sales (perhaps ignoring the tax collection thing too). It’s funny that you believe all businesses that have a store front won’t sell online as well So yes, please continue to berate us with the same tired nonsense about how only local businesses are the only way to shop and that we’re all morons for not paying our taxes