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Political Talk
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Old 05-05-2013, 05:32 PM   #1
phrozen06
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Senate to vote on proposed Internet sales tax law

http://money.cnn.com/2013/05/05/news...tax/index.html

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NEW YORK (CNNMoney)
The U.S. Senate is expected to vote on a long-debated Internet sales tax law Monday, paving the way for millions of consumers to start paying sales tax on online purchases.

The legislation would allow the 45 states (and the District of Columbia) that currently charge sales taxes to require large online retailers to collect tax on purchases made by their residents. The law would only apply to online sellers that have sales of at least $1 million in states where they don't have physical operations, like a store or a warehouse.

The bill has a good chance of becoming law. It already received broad support in the Senate during earlier procedural votes, and now must pass Senate muster a final time. After that, however, it will need to be approved by the Republican-controlled House. Proponents argue that the proposal would not create a new tax, but rather enforce the collection of taxes already charged at brick-and-mortar retailers. Some House Republicans may view that as a tax increase.

If the bill is enacted, academic studies estimate that more than $12 billion in additional sales taxes will be collected from online purchases each year.

Under current law, online sellers are only required to collect tax in states where they have a physical presence. Otherwise, consumers who shop online and don't pay a sales tax at the time of purchase are supposed to pay the tax to their home state. But estimates are that only about 1% of buyers comply with those widely unenforced laws.

"We think this will help level the playing field," said Stephen Schatz, a spokesman for the National Retail Federation, one of the bill's largest supporters.

Close to 30% of online shoppers surveyed by advisory firm AlixPartners recently said they would shop more at brick-and-mortar retailers if the tax became reality. Nearly half, though, said that an Internet sales tax would have no effect on their online shopping habits, according to the survey of about 2,500 consumers.

After years of opposition, Internet giant Amazon.com (AMZN, Fortune 500) is also supporting the bill, in part because the company is already collecting sales tax in nine of the states where it has warehouses.

Many other online retailers remain opposed to the legislation, saying that the sales tax would hurt business and create an administrative nightmare because they would have to determine tax rates for different states and localities at checkout. Anti-tax group, Americans for Tax Reform, has also come out strongly against the legislation, which it says "can only be viewed as a tax increase."

Meanwhile, eBay (EBAY, Fortune 500), which has loudly opposed the tax, is lobbying for a broader exemption for small businesses.
"The solution is simple," CEO John Donahoe said in a letter to eBay users. "If Congress passes online sales tax legislation, we believe small businesses with less than 50 employees or less than $10 million in annual out-of-state sales should be exempt from the burden of collecting sales taxes nationwide."
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Old 05-05-2013, 06:58 PM   #2
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Damn government. Better start shopping now before it's too late.
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Old 05-05-2013, 07:21 PM   #3
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Use tax law not followed... Pass another law
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Old 05-05-2013, 11:00 PM   #4
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Use tax law not followed... Pass another law
Yeah, but this law's easier to enforce, unfortunately.
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Old 05-06-2013, 07:20 AM   #5
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The reason why I shop online is to avoid the sales tax here (9.25%). I'll be a sad panda if they start charging me
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Old 05-06-2013, 08:36 AM   #6
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The reason why I shop online is to avoid the sales tax here (9.25%). I'll be a sad panda if they start charging me
Move down south...
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If there is one thing I despise most it's blacks always pulling the race card. It's so annoying and is often misplaced.
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Old 05-06-2013, 08:39 AM   #7
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Move down south...
The plan is to move out west in 3 years. So until then I have to suck it up.
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Old 05-06-2013, 08:58 AM   #8
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The plan is to move out west in 3 years. So until then I have to suck it up.
Not much better out there california way


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Old 05-06-2013, 09:03 AM   #9
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Anytime you buy anything and not pay sales tax, it is your personal responsibility to file your purchase reports and pay your sales tax directly to your state.

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Old 05-06-2013, 10:16 AM   #10
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The plan is to move out west in 3 years. So until then I have to suck it up.
Amazon has already struck a deal with California to start collecting sales tax in a year so get used to paying at least 8% on all your online purchases.

But hey, you also get same day delivery!
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Old 05-06-2013, 11:01 AM   #11
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Amazon has already struck a deal with California to start collecting sales tax in a year so get used to paying at least 8% on all your online purchases.

But hey, you also get same day delivery!
They have already started collecting for Cali. C'est le vie.

Did folks really think the no-tax on internet sales thing was gonna last forever. I'm surprised its gone on this long.

It was fun while it lasted.
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Old 05-06-2013, 11:02 AM   #12
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Amazon has already struck a deal with California to start collecting sales tax in a year so get used to paying at least 8% on all your online purchases.

But hey, you also get same day delivery!
I know that Amazon does it for Pennsylvania as well.
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Old 05-06-2013, 11:42 AM   #13
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I like avoiding sales tax as much as anyone. But I can understand the push for this by local businesses. The existing structure of mail-order/internet sales vs local retail sales puts the retailer at a disadvantage.
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Old 05-06-2013, 12:16 PM   #14
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I like avoiding sales tax as much as anyone. But I can understand the push for this by local businesses. The existing structure of mail-order/internet sales vs local retail sales puts the retailer at a disadvantage.
It's sending some of them the way of the dinosaurs.
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If there is one thing I despise most it's blacks always pulling the race card. It's so annoying and is often misplaced.
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Old 05-06-2013, 12:20 PM   #15
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Gov trying to get their hands on more money. Shocking
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Old 05-06-2013, 12:23 PM   #16
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Gov trying to get their hands on more money. Shocking
That's how I interpreted this too. Glad I'm not the only one.
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If there is one thing I despise most it's blacks always pulling the race card. It's so annoying and is often misplaced.
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Old 05-06-2013, 12:24 PM   #17
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gov trying to get their hands on more money. Shocking
+1
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Old 05-06-2013, 01:11 PM   #18
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^ You three :shakehead:
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Old 05-06-2013, 01:38 PM   #19
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Senate to vote on proposed Internet sales tax law

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Gov trying to get their hands on more money. Shocking
Sounds right.


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Old 05-06-2013, 02:18 PM   #20
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^ You three :shakehead:
Prove us wrong. Why would the government want to enforce this so bad? Hmm
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If there is one thing I despise most it's blacks always pulling the race card. It's so annoying and is often misplaced.
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