Write Your Congressman -- They want to Tax Your Email!!!

[korn469]

Imran

The way it works is if the company has a realworld location of their store in your state, you pay sales taxes on purchases delivered to that state. Only completely internet based companies (either independents like amazon, or an independent subsidary like barnes&noble online) get out of sales tax. So if I buy a DVD from target online and have it shipped to my brother I have to pay Tennesse sales tax, in addition to shipping (and if you buy from oldnavy.com you have to pay sales tax on shipping). The states are spending addicts, and like any junkie about to crash they are doing everything in their power to get another fix. This time it's at the expense of internet users, because they've tapped out just about everything else.

[chequita guevara]

It would work the same as telephone sales. Right now, if you pick up a phone and order something from another state, you have to pay sales tax to your state. The only reason for the internet moratorum was to give internet commerce a chance to grow. Now that it's established, they shouldn't be given an unfair government advantage over brick n'mortar companies.

[korn469]

che
B
rick and mortar companies can set up internet subsidaries to gain the same advantages, and because of shipping, it's the internet companies that are at a disadavantage.

Btw, far from being established, internet companies are still in their infancy. Afaik amazon still hasn't turned an actual profit for an entire year yet, except maybe through that pro forma ****.

[gunkulator]

Those of us who live in a state with no sales tax have this to say:


HAHAHAHAHAHAHAHAHAHA! suckers!

[korn469]

gunkulator, which state is that? how are your other taxes?

[Japher]

Oh... Hmmm.... Tough one.

One one hand a state should be able to attract buisness to their state by not having sales taxes. This is nice for mail order companies as they can offer their goods at a lower price...

Yet, on the other hand a state should also be able to levy a "tariff" to protect local buisnesses so that a mail order company doesn't threaten supplies offered by in state companies.

Personally, I think they should cancel the tax on orders over the phone, but that will never happen. Yet, to even things out, so one industry is not destroyed to benefit another, perhaps they should allow states to tax internet orders...

The buisnesses will find a way to compete still, and perhpase this will force states to lower sales taxes (though in all actuality it would probably hurt some buisnesses and cause states to raise sales taxes to compensate... jackasses)...

[gunkulator]

I really should fill in that profile thing...

I live in New Hampshire, a state with no sales or income tax.

Alas, property taxes are through the roof. Good thing they are fully deductible on the 1040, unlike a sales tax.

Except for a handful of cities, most of NH towns are governed by a town meeting, i.e. direct democracy. So while local taxes are high, participation in how your tax dollars are spent is also high.

So I say: Bring on Internet taxation!

[chequita guevara]

Originally posted by korn469
che
Brick and mortar companies can set up internet subsidaries to gain the same advantages, and because of shipping, it's the internet companies that are at a disadavantage.

Shipping typically comes out to less than taxes, unless you're buying something really cheap. These days, a lot of inetnet companies are throwing in shipping free too.

Anyway, brick n'mortar companies won't have the same advantages because they still have to pay taxes on their "real world" sales, plus they still have all the overhead they had before. Internet companies typically have much lower overhead, which is why they can charge much less. Also, for goods purchased ithin the same state, you have to pay sales tax, even if you buy it over the internet.

[korn469]

Originally posted by Japher

The buisnesses will find a way to compete still, and perhpase this will force states to lower sales taxes (though in all actuality it would probably hurt some buisnesses and cause states to raise sales taxes to compensate... jackasses)...

Sales taxes doesn't hurt businesses except if the are on the border of two states with radically different sales taxes (with the businesses on the high sales tax of the border losing out). Sales taxes hurt consumers. Internet companies that don't charge their users sales taxes aren't hurting other businesses, the states forcing those businesses to collect taxes are the one doing them harm. The only harm comes from users who are performing their own modern version of the boston tea party by buying online, instead of taking it from the states at the checkout line.

gunkulator

how cold does it get their in the winters? I despise cold weather, but no income or sales taxes sound good.

[korn469]

Originally posted by chegitz guevara


Shipping typically comes out to less than taxes, unless you're buying something really cheap. These days, a lot of inetnet companies are throwing in shipping free too.

che

Define "really cheap." Besides CDs and DVDs regular shipping on most items is going to be as much as or more than sales tax up till you get around to fifty dollars or more. In some cases shipping will be more than sales tax on all but the most expensive purchases. Here is amazon's shipping rates page.

http://www.amazon.com/exec/obidos/tg/browse/-/468636/ref=br_bx_c_1_1/102-9047037-6954506

It ranges from 1.95 on a target giftcard, to 18.98 to have a toy shipped overnight. Their "free" shipping option is only available if you buy 25 dollars or more, and it takes between 7-10 to get to you.

[gunkulator]

Sales taxes are regressive. The poor pay a larger percentage of their income on them even when the tax is fully collected. However, poor people are much less likely to have internet access so really they've been paying more than their share these past few years.

korn: NH gets cold in the winter, with a handful of nights dipping below 0 degrees F. On the plus side, we have great skiing, gorgeous colorful autumns and maple syrup in the spring.

[korn469]

here's a thought, they could make sales taxes progessive by having different rates depending on what something cost.

For example a 49 cent card at the dollar tree could have a 4% rate, while a 500,000 dollar yacht could have a 12% rate, sounds like a plan









or even better they could do away with sales taxes

[chequita guevara]

Originally posted by korn469
or even better they could do away with sales taxes

I'd be down with that.

[korn469]

finally something we can agree on

[Japher]

No tax is a good tax

Ok, I think we all agree... Write you Congressman and have them abolish sales taxes in all states!