Internet Taxing

drustar

Gold Member
I was watching CNN or C-SPAN (Don't know why I did that - I was bored I guess) and Internet Taxation was the discussion. Damn peeps from Colorado. What are your thoughts on that?
 
I like the idea of internet purchases being tax free and often will buy over the internet because without the tax it is slightly cheaper. However, sales taxes are one of the primary ways that cities and states earn revenue. It has created an unfair advantage for internet retailers at the expense of brick and mortar retailers. I don't want to pay taxes but I don't want to see my local library be shut down either, a compromise needs to be found.
 
Did you know New York proposed a bill called the FatTax which would tax video games, junk food, television and movies because people weren't getting enough exercise?

I don't mind internet taxing as long as it doesn't become like mall taxing.
 
Couple of points that come to mind:

1. Regarding ApeintheShell's post: I hate when the government uses the taxe code as a social engineering experiment. Fundamentally stupid use of the tax code in my opinion. We're not rats in a maze. But then again, maybe we are.

2. The "bricks 'n' mortar" stores versus "iStores".

a. Part of the use of sales taxes paid in the local walk-in shops is for streets, sidewalks, fire protection, police protection, water services, etc. These are things that the iStore pays for in its own jurisdiction through other taxes. It seems that both are NOT the same.

b. Most states already have laws which require a company to charge taxes if you have a sales presence within that state, even if I order from your on-line store. Apple is a great example. If I order from Apple on-line, I still pay taxes, because there are two stores here in Colorado.

c. States do not (currently) as a far as I know, charge sales taxes for catalog orders (except under the condition stated in "b" above). These should not be treated an differently than "iStores".

d. The online model is likely only to work for certain kinds of businesses. For example I'm not likely to see a "haircut.com" where I can get my monthly trim. These services are a valid place for states to begin (most do not) taxing. Balancing the playing field for all businesses. Services like car washes, hair salons, dry cleaners, tanning services, etc. States should begin there.

e. Local good sellers ought to adapt. Become something that the "iStore" will/cannot. Most have gotten off easily for a long time. Now they have greater competition. Tough. I call around to get something (i.e., wind deflectors for my truck). No one stocks anything anymore. Okay, I have to wait a week anyway, why not just find some place on-line that I can get it from...shipped DIRECTLY to me...probably a tad cheaper.

f. I have to pay for shipping anyway at most "iStores".
 
Originally posted by ApeintheShell
Did you know New York proposed a bill called the FatTax which would tax video games, junk food, television and movies because people weren't getting enough exercise?

That is really genius.
 
Well put point. And don't forget. The shipping and handling we pay goes to USPS, UPS, etc. The gov't should find better ways to pull their funds from private/public owned delivery services.
 
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