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DEL.ICIO.USTax internet purchases?
The Atlanta Journal-Constitution
New York state is now trying to force Amazon.com to collect sales tax on New York residents who purchase items from the online retailer.
As states faces increasing pressure from a slowing economy, taxing internet sales is a good option, argues, Mark Weisbrot is co-director of the Center for Economic and Policy Research.
“As the recession deepens, unemployment rises and consumers cut back on spending, state and local government revenue from income tax, sales tax and other sources will decline more than anticipated,” he writes.”Unlike the federal government, most states cannot borrow to cover an operational budget deficit. This means that they will cut spending, including such items as health insurance for children and low-income families, child care and elementary education.
“So we cannot afford to lose billions of dollars in state and local tax revenues by exempting Internet sales. But even if it were affordable, there is no good economic reason to do so. Why should our governments favor faraway Internet distribution centers over local businesses? This is not good for local or regional economic development. The problem will worsen as Internet sales increase .”
However, Kristina M. Rasmussen is director of government affairs for the National Taxpayers Union, argues the opposite.
“Remember that each state has a home-grown tax system with differing rates, definitions and applications,” he writes. “Five states have no sales tax, 30 don’t tax food and 11 exempt nonprescription drugs. What one state considers food, another may tax as candy. Some states base taxes on where shipments originate, others on destination. Different rates and rules for 7,500-plus local jurisdictions add another dimension of complexity to the mix. “The cost to online retailers to calculate, collect and remit these taxes could very well force higher prices or even business closures.”
Should we tax internet sales?
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Comments
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By Michael H. Smith
June 13, 2008 8:24 AM | Link to this
NO!
By Us
June 13, 2008 8:54 AM | Link to this
NO! NO!
By AH
June 13, 2008 8:56 AM | Link to this
Hell No!
By gman
June 13, 2008 9:16 AM | Link to this
This is not new news, I live in NC, they’ve been taxing internet purchases for years.
By JS
June 13, 2008 9:18 AM | Link to this
And add those taxes to the public sinkhole? I think not.
By We
June 13, 2008 9:19 AM | Link to this
Hell Hell No No!
By Jeff
June 13, 2008 9:20 AM | Link to this
IFF EVERY tax jurisdiction in the country switched to a consumption tax - such as the FairTax or similar proposals - AND decided on whether to tax based on origination or destination (every jurisdiction would have to make the same choice) THEN I could support internet sales taxes.
Until that happens…. HADES NO!!! As was mentioned, the tax system is FAR too complex as it currently exists for such a scheme to be feasible.
By An Internet Shopper
June 13, 2008 9:20 AM | Link to this
Some websites are already required to collect taxes thanks to our lawmakers. I refuse to purchase from those websites that charge taxes. If taxation expands to the entire online shopping environment I will become a former Internet shopper and I expect many other shoppers will follow.
By Josh
June 13, 2008 9:29 AM | Link to this
God forbid we cut spending instead of raising taxes.
By R_U_KIDDING
June 13, 2008 9:35 AM | Link to this
Should I give money to a failing government that does not know how to balance a budget, or not? I say no, no new taxes!
By Doug
June 13, 2008 9:53 AM | Link to this
No! This is another way for the government to try to intrude on Net Neutrality and suck out revenue from the public to waste.
By Hate Taxes, Hate Liberals More
June 13, 2008 10:20 AM | Link to this
Only an uneducated Liberbal Democrook would be in favor of MORE taxes.
By Government Man
June 13, 2008 10:28 AM | Link to this
Yes—-this is a very good idea. The government needs a lot more tax revenue than it currently receives, and taxing internet purchases is a great source of additional revenue. So far, tax dodgers have used the internet to avoid paying the government’s fair share of tax revenue from purchases. The party’s over. The government will now get their rightful amount of every purchase!
By Bitter EX democrackkk
June 13, 2008 10:44 AM | Link to this
STRIVE to be SMARTER than a GD democrackkk!
By Bitter EX democrackkk
June 13, 2008 10:46 AM | Link to this
Living in NC, I have no knowledge of paying Internet taxes, but will all the nasty corrupt democrackkks we have here, Im surprised we dont!
NC is a CESSPOOL of CORRUPT democrackkks!
By Eric
June 13, 2008 11:36 AM | Link to this
NO WAY! AND I’M A LIBERAL.
By BPJ
June 13, 2008 11:38 AM | Link to this
When Amazon (or some other “internet business”) has a fire at a warehouse, they expect the fire department to come when they call. If a crazed gunman (for example) enters their offices and holds executives hostage, they expect the police to come and risk their lives to save them. If one of their trucks is in an accident, they expect the state patrol or local police to help.
They just think they shouldn’t help pay for this.
By WW5
June 13, 2008 11:43 AM | Link to this
LET’S TAX ALL POLITICIANS EVERY TIME THEY SAY OR DO SOMETHING STUPID
By Jeff
June 13, 2008 1:10 PM | Link to this
BPJ:
Actually, Amazon pays property taxes as well as all other taxes it is required to.
The question here is Internet Sales Tax.
And as I’ve said, my answer to that question is IFF ALL jurisdictions change to a consumption tax and implement it in the same manner (though rates may differ between jurisdictions).
By bronco
June 13, 2008 1:26 PM | Link to this
Forget a tax on internet purchases. There are a lot of other things to tax out there. How about a DUI tax, add this on the usual expenses of a DUI. How about gang tax. With all the gangs in Atlanta and Georgia we could pick up a lot of pocket change from these “clubs”. Going on down the list how about a eating out tax. This would be like the hotel tax. But would bring in a S**T load more money for our unbalanced books.