Internet Sales Tax Probably Coming Thanks To The Supreme Court
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I'm on the border of NH, there is a reason there is NO shopping on this side of the Connecticut River...People are always going to avoid tax when possible. Just the way it is. Always has been always will be.
There's a difference between "avoiding" and "committing a crime". Physically being in a state and buying something under their rules is legal. Physically being in your state, buying something online, and not filing a use tax return is illegal.
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Taxes aren't the reason local stores suffer. Try poor service, ignorant staff, and crap merchandise. None of this will change when tax collection is enforcement
It's one of the reasons, but it's not the point. There are plenty of reasons that local stores will never compete with online stores, and those reasons are obvious to anybody who has ever run their own business and had to pony up the expenses associated with such.
What this is about is collecting taxes which are owed. Has nothing to do with competition between business types, but it will impact that competition to some small extent.
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It doesn't surprise me that dealers like a1abdj or any brick and mortar dealer most notable high ticket items to want their competitive advantage to be increased.
I'm just hoping that perhaps if the localities and state could collecting the current taxes due, they could lay off of increasing other taxes that I have to pay to subsidize those cheating the system.
"According to a University of Tennessee study and the National Conference of State Legislatures, total remote sales tax losses by the states are estimated to have been $23.26 billion nationwide for 2012, with $11.39 billion of those losses coming from electronic sales."
Originally posted by BamaJeepster: It's not just Amazon, I buy from a lot of different places and I really don't remember the last one I bought from that didn't charge state tax
A notable exception, still, and especially for electronics and computer stuff, is B&H Photo/Video, where they only collect sales tax for NY, which is where they are located. And their prices typically mirror Amazon's. They don't have a "Prime" option, but for larger purchases (>$50-$75) shipping is usually free and fast.
January 14, 2018, 04:40 PM
911Boss
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Originally posted by sigfreund:
...There are of course plenty of rationalizations for anyone to fall back on. “The government just wastes the money,” “Those kind of people don’t order stuff via the Internet anyway,” or “Nobody [else] pays them [so why should I?]” but that’s all they are: feeble, self-serving rationalizations. If you believe everyone ought to be taxed the same way, consumer use taxes on stuff purchased from out of state are a small step in that direction.
...
Oh, I fully admit my thoughts on the matter are a self-serving rationalization, they are not however counter to my belief of everyone being taxed the same.
Fuck all sales taxes, I disagree with the concept. I accept it is law and when I am forced to pay them I pay them. If however and can pull one over on the state, I will avoid them whenever possible.
The government has figured out a way to collect on every financial transaction, on both sides of it even. The retailer has to pay a tax on the money he collects in the sale as income, as well as B&O taxes, you have already paid federal and possibly state income tax on the money you use to buy the item from the retailer, then pay more tax when you spend it to buy goods and services.
You earn a dollar and what do you actually get after all the government skimming? .80 after 20% fed tax, .76 after 5% state income tax, .69 to spend at a retailer after 10% sales tax.
The retailer takes your 69 cents and after wholesale cost and overhead maybe has .40 net profit. Then he pays 20% fed income on the .40, another 5% for state income tax, and what ever B&O taxes are and and he keeps maybe 30 cents. The wholesaler pays taxes on the .29 they got as well. After one earn/spend cycle on a single dollar, the government managed to siphon off close to 50% of it in taxes.
When the retailer and wholesaler goes to spend their pennies (after another 10% sales tax) the cycle repeats again and again until the government has managed to confiscate nearly the entire original dollar under repetitive taxing.
Taxation is theft.This message has been edited. Last edited by: 911Boss,
What part of "...Shall not be infringed" don't you understand???
January 14, 2018, 06:27 PM
hrcjon
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"According to a University of Tennessee study and the National Conference of State Legislatures, total remote sales tax losses by the states are estimated to have been $23.26 billion nationwide for 2012, with $11.39 billion of those losses coming from electronic sales."
I don't understand much of the discussion on this. EVERY State that I know of has a use tax equivalent. So every dollar of loss is someone breaking the law yup it even sounds like some of you? You can argue that all you want. The Supreme Court should not force vendors who have no presence in a State to collect the State's tax. That's just the correct view of our federal system. If the State can force someone who sells to you to collect a tax they can force them to not sell to you etc. etc.
“So in war, the way is to avoid what is strong, and strike at what is weak.”
January 14, 2018, 09:34 PM
mutedblade
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Originally posted by a1abdj:
I'm just hoping that perhaps if the localities and state could collecting the current taxes due, they could lay off of increasing other taxes that I have to pay to subsidize those cheating the system.
Your problem lies with the states and local municipalities not collecting those taxes, not with those that don't pay them...Every state could change the way sales tax are collected, but they'd rather rely on businesses to do their dirty work as opposed to having each person\household remit payment based on their expenditures/purchases in the state (that way, people are less likely to complain when they see how much it actually was). Selective enforcement at it's finest
How exactly are people cheating the system anyway? By not paying the use tax? That sounds like the state isn't enforcing it's own law Be pissed at them!
Someone in California has no business collecting tax from someone in Virginia, so why does it matter? If Virginia wants its money, Virginia should collect it! If Virginia thinks that I am not paying the taxes that are due to them, they need to prove it (audit) and enforce that, not rely on some court to make a statement on the legality of tax collection beyond a states physical border.
As a side not: Nobody is gonna go back to buying a pair of jeans for $65+taxes when they can get the exact same ones on Amazon for $30+taxes.
___________________________ No thanks, I've already got a penguin.
January 15, 2018, 06:19 AM
nukeandpave
Well, I already pay a ridiculous ammount of taxes and fees to the crappy, corrupt state I currently reside in and get very little in return. And any tax increase will go straight into the same pockets that are being lined with so much of our currently paid taxes with little to no improvement to any of the things all that money is supposed to be spent on.
But lets face it: we all know this is going to happen sooner or later.
January 15, 2018, 08:08 AM
Georgeair
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Originally posted by sigfreund:
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Originally posted by a1abdj: never do.
A few do, but I would like to see more doing.
The argument that forcing business with a relatively small online presence to understand and comply with each state, city and county's tax rates, rules and filing requirements would present and overwhelming burden is a real one I believe. There are thousands of them, making compliance nearly impossible for those less that Amazon-esque in size.
I hate the idea of a federally collected and distributed flat tax on this, but that may be the only practical solution. I'm sure companies will pop up to manage this for firms but it's going to cost a fair bit I suspect, and the cost of filing for a single sale in a new locale will outweigh the revenue opportunities in many cases.
Tough nut to crack.
You only have integrity once. - imprezaguy02
January 15, 2018, 08:18 AM
hile
Personally, I'd rather see sales tax levied more widely than income taxes.