Joe Heller by Joe Heller

Joe Heller

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  1. Robert Landers

    Robert Landers said, over 3 years ago

    Ahh, your storefront retailers then make all of the goods that they sell you, and do not include their own shipping costs in what they sell you? Somehow, I have my doubts.

  2. Robert Landers

    Robert Landers said, over 3 years ago

    I live here in California. I also frequently buy from Amazon, and they are now charging such state taxes. They do not seem to have a problem with figuring out the tax amount. And where you get all of those different tax rates is that there are indeed literally hundreds of cities and other governmental entities throughout this state that also add on their own taxes as well as the standard state sales tax. But, that is a problem with all the other states in the US as well!!

  3. Robert Landers

    Robert Landers said, over 3 years ago

    @Robert Landers

    By the way, I do like your questioning but reasonable tone. We may not agree, but at least (unlike some others here) we can remain civil about even our disagreements, and I am grateful to you for that!!

  4. mikefive

    mikefive said, over 3 years ago

    If places like Walmart, Bestbuy, Office Depot, etc. have helped kill the mom and pop stores and the middle class, entrepreneurial types are making a resurgence by using the internet. They open their own websites, become affiliates with Amazon, etc. and go on ebay and like sites. They often warehouse out of self storage units or their home garages. Offices are often the spare bedroom or a desk in the kitchen. Many of the big box stores as well as many state governments support the Marketplace Fairness Act of 2013. The states get revenue and the multitude of mom and pop operations are put out of business forcing the mom and pop customers to go to the big box stores (again).

    If you are a merchant in a state, then paying the state sales tax collected is pretty straight forward. If you are an internet merchant, you may have to deal with as many as 45 states that have a sales tax varying in percentages and those items that are taxable or tax exempt. They are required to be registered in the state for which the tax is being collected and must file a monthly report and pay each state monthly by the amount owed that state. The other option Is to use a place like PayPal and pay their fees.

    What all of the above (and more) boils down to is that mom and pop, if the Marketplace Fairness Act of 2013 is passed, will have the profit margin that keeps them competitive or cheaper than the big box stores diminished or erased thereby putting them out of business.

    The Yea-Nay vote on this was 69-27 in the Senate. Is this another case of the large corporations getting their way with a branch of Congress? I think so. If the states want more revenue, let them raise their tax rates, not go after some mom and pop operation in another state.

  5. mikefive

    mikefive said, over 3 years ago

    You are correct. This is not a new tax and the law specifically states that a State cannot impose fees, etc. on the remote seller. The buyer’s State will be happy to receive the tax, but that tax is collected at the expense of mom and pop in the selling State As for the software, the part of the act that you are talking about is as follows:

    (i) information indicating the taxability of products and services along with any product and service exemptions from sales and use tax in the State and a rates and boundary database;
    (ii) software free of charge for remote sellers that calculates sales and use taxes due on each transaction at the time the transaction is completed, that files sales and use tax returns, and that is updated to reflect rate changes as described in subparagraph (H); and…

    Being provided with State specific software free is nice except for you may have to install 45 versions and their accompanying databases to cover the States plus the software and databases for any territories or possessions. Or, If you get lucky, it may come in written with database software.To automate the tax process will require considerable rewriting of their website. To further complicate matters, are all of the States using the same database software? There are probably 20 good, database software packages out there, some of them free. Of course, the mom and pop will know how to do all of this and won’t have to bring in a high dollar IT consultant to make all of this work together. (tongue in cheek) There will be a huge difference running this for multi-state vs one state.. It isn’t just a matter of writing more checks.

    Mom’s and pop’s prices will go up corresponding with the State tax collected. Add this to freight they must also collect and many of them will no longer be competitive.

    As for the ebay and retailers presentations on NPR (although I didn’t hear it), I would suspect that ebay’s presentation would be more believable since they have sales to lose by this act and the retailers have everything to gain.

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