Democratic senator wants Internet sales taxes by Declan McCullagh
A Democratic senator is preparing to introduce legislation that aims to end the golden era of tax-free Internet shopping.
The proposal--expected to be made public soon after Tax Day--would rewrite the ground rules for Internet and mail order sales by eliminating the ability of Americans to shop at Web sites like Amazon.com and Overstock.com without paying state sales taxes.
Dick Durbin of Illinois, the second most senior Senate Democrat, will introduce the bill after the Easter recess, a Democratic aide told CNET.
"Why should out-of-state companies that sell their products online have an unfair advantage over Main Street bricks-and-mortar businesses?" Durbin said in a speech in Collinsville, Ill., in February. "Out-of-state companies that aren't paying their fair share of taxes are sticking Illinois residents and businesses with the tab."
At the moment, Americans who shop over the Internet from out-of-state vendors aren't always required to pay sales taxes at the time of purchase. Californians buying books from Amazon.com or cameras from Manhattan's B&H Photo, for example, won't pay the sales taxes at checkout time that they would if shopping at a local mall--which is what Durbin means by giving online retailers an "unfair advantage."
On the other hand, there are some 7,500 different taxing jurisdictions in the United States, each with a set of very precise rules describing what can and can't be taxed and at what rate. That makes it challenging terrain for retailers to navigate.
I'm not really sure this is a BAD idea ... I know many will disagree, but since there's so much online buying, the states should be able to recover a fair share of the tax on those products.
I'm not really sure this is a BAD idea ... I know many will disagree, but since there's so much online buying, the states should be able to recover a fair share of the tax on those products.
The question is, though, which state will be collecting it, and which sales tax will be paid? If you're ordering from a company in Schenectady, will you pay the 8% sales tax and help to fund the Metroplex, or will you pay the sales tax of your locality (Saratoga, 7%, Albany, 8%, Chicago 9.75%)? And then, there's the idea that you're already supposed to be letting the government know on your tax returns how much shopping you've done on-line, then they add the sales tax directly to your taxes at that point, anyway.
It doesn't surprise me that this is coming from the left, making sure that "everyone is paying their fair share." Maybe they see too much high-end purchasing on-line and think they're losing out. They want to make sure they can still reach into people's pockets. People will find a way around whenever they can.
I remember the president saying that nobody making under $250,000 per year would see a tax increase. I just finished doing my income tax for this year and my Federal Income Tax doubled what it was last year. I questioned my tax man about it and he said that the government changed the exemption on the property deduction and that's why my Federal tax went up. I sure don't make anywhere near $250,000 on Social Security and a meager pension so I guess the President wasn't really telling us the truth. The amount that people pay for their medical thru SS has also gone up again as well. Did anyone else notice that their taxes were higher this year?
Tax should be charged based on the municipality of the recipient.
The argument that it'll create a big headache for companies shipping and keeping track of the tax is 15+ years old, before the advent of automated delivery/tracking systems and computers.
Tax away and they will see sales go down! dimwits!
When the INSANE are running the ASYLUM In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. -- Friedrich Nietzsche
“How fortunate for those in power that people never think.” Adolph Hitler
By adding a "sales tax" it can only help the already struggling municipalities - and local merchants who struggle daily with the big box online companies that can offer for less - sales tax would put everyone on a level playing field, much like actually charging taxes to Metroplex $ recipients and the Proctors Enterprise.
By adding a "sales tax" it can only help the already struggling municipalities - and local merchants who struggle daily with the big box online companies that can offer for less - sales tax would put everyone on a level playing field, much like actually charging taxes to Metroplex $ recipients and the Proctors Enterprise.
This is the level playing field....
Amazon and eBay only seem to arrive tax-free. Legally, however, purchasers are required to pay their own state’s sales tax rate–the concept is called a “use tax”–and then voluntarily report the amount owed at tax time.
Im sure this is what you do already marble terminal- isnt it ?
Amazon and eBay only seem to arrive tax-free. Legally, however, purchasers are required to pay their own state’s sales tax rate–the concept is called a “use tax”–and then voluntarily report the amount owed at tax time.
Im sure this is what you do already marble terminal- isnt it ?
I rarely make purchases from Out of State vendors, I prefer to support the local economy.
Several of the larger purchases I made online already collected sales tax @ purchase time, so it's not a concern to me, only that the $ is returned to the state where I reside. My tax filing this year resulted in >$16k in payments, what about you - or are you still a failure?
I rarely make purchases from Out of State vendors, I prefer to support the local economy.
Several of the larger purchases I made online already collected sales tax @ purchase time, so it's not a concern to me, only that the $ is returned to the state where I reside. My tax filing this year resulted in >$16k in payments, what about you - or are you still a failure?
Thank you Mr Faux concerned citizen .. but could you please stop praying in public- your a pharisee .
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