Looks like we dodged 1 Bullit on Internet Sales Tax

[newbury]

I am always amazed about the constant complaints about government in the US of A.

Compared to many other nations we have a great bunch of government workers.

The complaints about local government are especially bad because as Pogo said "We have met the enemy and he is us". In the US we vote in people rather than have dictators assign people.

Get active in the local government and throw the bums out if you don't like what's happening. Too many people treat government as if it should be done by other people.

There should be a mandatory "public service" tour of duty for everyone before they can vote, with heavy training in ethics.

We'e just had an upheaval at the local Water Board, seems one official was sending in false samples, throw the bum out.

 

[EarPlug]

So, where should the tax be paid to? Lets say that Mike's Outdoor Emporium in Greece, NY also has a website and sells $100k in stuff in the store, then another $50k online to people who live in Tyler TX.
Who should get paid the sales tax on those items? Should Tyler TX get a cut because someone there purchased something? Should the state of TX get a cut? How about the state of NY? How about Greece NY?

Aaron Z

The tax payment should go to the Shipped To Zip Code. Since virtually all internet sales are done with credit cards, the credit card companies can easily allocate and distribute the cash through Electronic Funds Transfer. I know when I use a credit card to pay for dinner, within a minute I can go online and see the payment including the tip and tax broken out.

 

[aczlan]

The tax payment should go to the Shipped To Zip Code. Since virtually all internet sales are done with credit cards, the credit card companies can easily allocate and distribute the cash through Electronic Funds Transfer. I know when I use a credit card to pay for dinner, within a minute I can go online and see the payment including the tip and tax broken out.

Just the town, or the county and state as well?
If I understand correctly, you want the credit card companies to track what the sales tax rate is for each village, town, county, etc in the entire US, know how much of a transaction is taxable (as many times a town will pass a tax that exempts certain things from sales tax), etc. Sounds like quite the project
What will happen in cases like mine where I live (and receive mail) in one town, but my zip code and "ship to" town are listed as being in the next town/county over (which has a 0.5% higher tax rate than my county (8% vs 7.5%))?
The reason that tip and tax are broken out is because the the restaurant sent in a credit card transaction which said $40 in taxable food, $10 in non-taxable tip and $3.2 in tax.
For your plan to work, we would have to turn the current system completely around. Currently you get charged sales tax based on the merchants location (which makes sense as they use the infrastructure there and get fire, police, etc there), not the buyer's location (which makes no sense as the only infrastructure used is the roads which should be being paid for with fuel tax).

Aaron Z

 

[EarPlug]

Just the town, or the county and state as well?
If I understand correctly, you want the credit card companies to track what the sales tax rate is for each village, town, county, etc in the entire US, know how much of a transaction is taxable (as many times a town will pass a tax that exempts certain things from sales tax), etc. Sounds like quite the project
What will happen in cases like mine where I live (and receive mail) in one town, but my zip code and "ship to" town are listed as being in the next town/county over (which has a 0.5% higher tax rate than my county (8% vs 7.5%))?

OK so we come up with a flat rate for internet purchases. Say 5%. Send it to the State with a list of ZIP Code distribution. The the State decides how it gets distributed.

The reason that tip and tax are broken out is because the the restaurant sent in a credit card transaction which said $40 in taxable food, $10 in non-taxable tip and $3.2 in tax.
For your plan to work, we would have to turn the current system completely around. Currently you get charged sales tax based on the merchants location (which makes sense as they use the infrastructure there and get fire, police, etc there), not the buyer's location (which makes no sense as the only infrastructure used is the roads which should be being paid for with fuel tax).

But with internet sales there is no money collected for the seller or buyer location. Therein lies the problem. The restaurant example was to show that the credit card processor already has the info to distribute the tax info.

Aaron Z[/QUOTE]

 

[aczlan]

OK so we come up with a flat rate for internet purchases. Say 5%. Send it to the State with a list of ZIP Code distribution. The the State decides how it gets distributed.

Could work

But with internet sales there is no money collected for the seller or buyer location. Therein lies the problem. The restaurant example was to show that the credit card processor already has the info to distribute the tax info.

Unless they are both in the same state in which case it is collected by the seller for their location.

Aaron Z

 

[sdkubota]

Gotcha. :thumbsup: It just seems like these days ALL government expenditures are bad... truth is I really appreciate having roads to drive, and the security of knowing that when I get home at night somebody else hasn't claimed my home as theirs. I don't even mind giving up a little to insure that someone can eat, who otherwisr would go hungry...

Highways are paid with money collected when purchasing fuel.

 

[boomer1025]

If the states want to collect internet sales tax, then they all need to get together and set a flat fee tax for items purchased. Then that amount gets sent by the seller to the zip code state.
This all needs to be voted on by the people. The way it is now is unfair taxation.
It doesn't matter how much you feed the governments, they would never have enough.

 

[Gale Hawkins]

We have to collect the sales tax on our internet sales for customers in our state and the rest buys tax free but I am sure tax equalization is coming. A national sales tax is OK with me I think. That is one tax that I would have some control over. We do not have tax on food from the grocery store and tonight 30% of cars at Krogers and WM may be from TN. Even on other things sales tax is about 2% lower in KY. Not fair TN stores complain.

 

[Cat_Driver]

The More money they get the more they WASTE. 2.5 BILLION to the Muslim Brotherhood. BILLIONS to failed Solar industry, Billions to Brazilian oil company. They waste far, far, far more than ANY tax could make up. Billions to war, Billions to fix roads, schools, electricity, sewage in Iraq. They Waste 10 years of Internet sales tax with each deal they do. Sorry. giving more taxes to people that give Arms to Cartels, Money to terrorist, cash to OIL COMPANIES, is not my idea on what taxes are for. While out bridges, roads and schools are all failing

Solar Trust of America: FAIL - Filed Bankruptcy in Oakland, CA, April 3, 2012 – On April 2, 2012

Bright Source: FAIL - Bright Source warned Obama’s Energy Department officials in March 2011 that delays in approving a $1.6 billion U.S. loan guarantee would embarrass the White House and force the solar-energy company to close. Lost Billions of dollars but Getting More Money To Keep Trying. Can you say, “This isnt working?”

Solyndra: FAIL - Obama gave Solyndra $500,000,000 in taxpayer money and Solyndra shut its doors and laid off 1100 workers in August 2011 After Billions in Losses due to failure to make a solar product that works!

LSP Energy: FAIL - LSPEnergy LP filed bankruptcy protection and a sale of its assets in Feb 2012

Energy Conversion Devices: FAIL – On February 14, 2012 Energy Conversion Devices, Inc. and its subsidiaries filed for bankruptcy



Abound Solar: FAIL - Abound Solar received a $400 million loan guarantee from Barack Obama announced in June, 2012 that it would file for bankruptcy

SunPower: FAIL – SunPower stopped producing solar cells last year at near bankruptcy restructured only with help of, get this, oil giant TOTAL who owns 60% stake. Irony! Still

Beacon Power: FAIL – Beacon Power Corp filed for bankruptcy Oct 2011 just a year after Obama approved $43 million loan Government loan guarantee

Ecotality: FAIL - ECOtality, a San Francisco green-tech company that never earned any money on the verge of bankruptcy after receiving roughly $115 million in two loan guarantees from Obama

A123 Solar: FAIL-A123 received $279 million from taxpayers thanks to President Obama’sDepartment of Energy loan guarantees and after Solyndra bankruptcy is getting another $500M from Obama and it has lost $400M

UniSolar: FAIL - Uni-Solar filed for Ch 11 bankruptcy in June 20 this year laid off hundreds got more Obama money still failing but still in business

Azure Dynamics: FAIL - Azure Dynamics files for bankruptcy in June ter millions in Obama “Stimulus”

Evergreen Solar: FAIL - Evergreen Solar received $527 Million in Taxpayer money from Obama filed bankruptcy

Ener1: FAIL received more than $100 million in government funding from the Obama administration filed for bankruptcy January 2012

Update: In May 2012 Obama visited a dusty, desert town 30 miles outside Las Vegas Wednesday to declare he’s doubling down on failed federal efforts to boost the solar industry which has NEVER proven to produce a single working product. Like Socialism, no evidence ot works, but they just keep doubling down on the failed ideals!.

 

[hawkeye08]

I told my young adult kids to work for the government or health care, not much else will be secure in the years to come..