The Online Nightmare Sales Tax Bill
 

by senator Jim DeMint

http://online.wsj.com/article/SB1000...267708728.html

read somewhere compliance with this potential law, or just generally collecting out of state sales taxes costs around $700k

Unfortunately, no one will pay attention to all this out of control taxation until it is too late. All the politicians have to do is the dangle class warfare distractions out there and people will willingly allow them to take whatever they want and spend it however they wish..... I swear it seems like Atlas Shrugged might actually happen.



It's so sad that I try not to think about it sometimes.....





.

Just what we need.

More taxes.

"Steve DelBianco, executive director at NetChoice, spoke in opposition to the MFA. He argued that these new costs will affect small businesses much more drastically than they will affect larger ones, pointing out that the bill's tax exemption - for companies with less than $500,000 in total remote sales - hardly qualifies most mom-and-pop shops in the U.S. DelBianco compared the tax implementation as "free like a puppy is free." The bill is simple to read. Its long-term maintenance is not."

"Consider the absurdity of such a law. When a customer buys a product in a store, does the cashier ask for the customer's home address? Of course not. The store simply charges the state and local sales taxes applicable for its physical location, no questions asked.
"

so based on that shouldn't online retailers charge taxes based on whatever state they are operating out of?

What.... So now as a customer in Florida, I have to pay California tax? That doesn't make sense either. How can I be taxed in a state where I am not represented and have no voice?


.

Amazon is one of those behind this bill. Mostly because they have found a way to make money off of it. They will be charging their sellers 2.9% on the tax collected. So the small internet business that uses Amazon to sell their goods, has to shell out even more on top of the taxes they will need to start collecting.

if you are passing through or visiting california and buy stuff you are going to pay taxes there, so there really a huge difference? i am not for it...just discussing.

Why is it all this government (regardless of party) can do nothing except think of more taxed versus the thought of cutting spending or consolidation??? For example, eliminating FBI, CIA, DEA, customs, etc. and make ONE homeland security. Or the thought to at MINIMUM lower our defense spending to be on par with the combined military spending of our 12 closest competitors.

I am all for fair tax, but this is getting ridiculous.

:disgust

:(:(:(:(

they already tax paypal, I went through hell this year with the form paypal sent for me to pay taxes on. It would have been 25K if I just paid it without taking the time which almost didn't seem worth it anyway

Yes. There is a difference. At the time you are passing through California you can choose to do business while you are there or not do business there. Like the article states, (most important point of the article, in my opinion) "That concept is antithetical to our federalist system, which promotes competition among our states for the best economic policies..."


.

We dont have crazy taxation, talk to our friends in Europe. We also have the lowest spending under Obama as a percentage.
http://articles.marketwatch.com/2012...drunken-sailor
If I buy something from bestbuy online im billed my states sale tax not the state best buys corp office is in.

Sales Tax
 

If you buy in a store, you pay the sales tax at the store's location. However, when you buy a big ticket item such as a car you pay the sales tax for where you live when you register the car or at the dealer if it's a local purchase. Some places, such as Kansas City, which is in 2 states know you might buy a car across state lines, so the 2 states have an agreement to require the dealer collect the correct sales tax and forward to the proper agency. When you buy an item by mail, companies like Amazon will collect the proper tax for your mailing address. Many companies don't collect the tax and you are liable for Use Tax.

Usually mom & pops can get away with not collecting out of state Use Tax (out of state sales tax). Amazon is so big, that tax agencies go after companies like Amazon. Every state that collects sales tax has an audit team that regularly audits big companies for sales & use tax compliance.

As I've posted before, there is no one sales/use tax rate. A few states like New Jersey & West Virginia have a state-wide rate. A couple of states like Delaware have zero sales tax. After that it gets complicated in a hurry. Alaska has no sales tax, but cities and boroughs (counties) have sales tax. And even crazier, many of the Alaska sales taxes are only during tourist season of March to September.
Louisiana has a state sales tax, but you also have to remit to the parish a sales tax. Alabama is even worse. there's the state rate and there may also be a county and city rate. Alabama allows for counties and cities to hire private companies to collect their tax.

In Texas you can stand on a street corner and each corner has a different rate. That's because Texas allows for special sales taxes for library, school, fire or hospital districts.

Oh yeah, I forgot to mention many groups, such as churches are exempt from sales tax. Some states even exempt veterans from sales tax. Then there's what's taxable in that state. Many have long lists of items specifically exempt from sales tax.

So to accurately collect sales tax, you have to know the exact address of the buyer. Takes the GIS files from that state and a huge database of sales tax areas. There are about 50,000 different sales tax areas in the US and the rates are constantly changing.

And Amazon can't make money off sales tax, except the float while holding the money. Many states require a company to remit all sales tax collected, even if they accidentally collected too much or they rounded up.

AND you guys are right. Taxes are theft we don't need any taxes. Don't need any police or fire protection don't need roads or schools. Missouri has 5 cents a gallon less tax on gasoline and you can sure tell it by Missouri's crappy roads and when it snows, Missouri has no snowplows while Kansas roads are clean.

Speaking of my grammar post, I see several faults here. Sorry, taxes not grammar is my specialty.

You guys have it good, but every republican needs to do the sky is falling routine as their song and dance to dramatize every tax issue.

http://www.photius.com/rankings/tax_...anks_2009.html

You can see clearly how they've tried to increase your tax burden though:

http://upload.wikimedia.org/wikipedi...otal-taxes.JPG

Watch any infomercial on the ordering screen and it'll tell you "residence of NY, NJ must add sales tax" and words to that effect. So honestly this is not a new concept with the internet.

Some states already forced the closing of affiliate marketing for some online retailers because the state government considers an affiliates home the "physical presence" required to demand collection of sales taxes and rather than mire their whole affiliate system, they just ban affiliates from those states.

Boston Tea Party all over again!
 

Jeeze ... Are we all upset about states trying to collect sales and use taxes again? The same taxes that you are supposed to already be paying?

.

I'm guessing you didn't read the article or look at the proposed bill, huh....



.

Yes I did. They are talking about collecting tax from you if you place an order on the internet right? The percentage to be determined by the state the package is sent to right?

This is a direct response to the fact almost no one currently pays their states use tax.

.

Noone seems to have mentioned that this is a Republican bill

Sponsor: Senator Michael Enzi R-WY

http://www.opencongress.org/bill/112-s1832/show

Check the list of Republican Governors supporting the bill

http://www.rinolist.org/2012/07/list...-fairness-act/

Who gives a crap what party it's from? The Republicans are just as much about growing government as the Democrats. This is why I"m not with either, I'm a Libertarian.


Meanwhile, rather than address the issue, people squabble about which party is doing bad things, (and growing the government WAY beyond the powers given to the Fed's by the consttitution.... ) when the answer is, BOTH OF THEM ARE!!!



.

I don't see the problem. Raising taxes is good. /sarcasm.

Why make this a Rep vs Dem issue? It's not. In fact a Republican came up with the idea and then a Democrat backed it.

Come to the UK and they tax you just to walk on the pavements.. They were about to bring out a tax on heated food so if you purchased a cold saugage roll you wouldent be taxed on it but if it was popped into the microwave then you would be charged a tax on it, They decided not to go ahead with it in the end lol

That's how bureaucracies work. It's Parkinson's law.