Internet Sales Tax...I think it's coming sooner then we thought...

Slightly off topic, but I don't think it is right to have to pay the same sales tax rate on used vehicles. I've bought a few vehicles from other states and payed the sales tax in my home state. Sales tax could be collected numerous times on the same vehicle depending on how many times it's sold. There should at lest be a reduce tax rate.
 
A few things I'm sure have not been considered before passing this legislation:

If Bob pays $1,000/year in tax-deductible professional fees to sort out two states sales tax liability, how much higher will his fees and his tax-deduction be when he adds 40+ more to the list and will that bump him into a lower federal tax bracket?

There are cities with multiple sales tax jurisdictions within one zip code.  Simply using zip codes to sort tax liabilities will not work; it has to go to a street address level, perhaps even alternate sides of the street.  Here again, a merchant's cost of software, updates (probably not $99.95) & professional expertise is tax-deductible as a business expense.

Will the cost of enforcement and hiring thousands of government auditors in over 9,000 sales tax jurisdictions even approach being funded by the increased revenue?

[blink]

I remember NY City having a "sales tax holiday" on certain lines of goods and sales, jobs & revenue soared while it was in effect.  Does that tell them anything?
 
Wonderwino said:
A few things I'm sure have not been considered before passing this legislation:

If Bob pays $1,000/year in tax-deductible professional fees to sort out two states sales tax liability, how much higher will his fees and his tax-deduction be when he adds 40+ more to the list and will that bump him into a lower federal tax bracket?

There are cities with multiple sales tax jurisdictions within one zip code.  Simply using zip codes to sort tax liabilities will not work; it has to go to a street address level, perhaps even alternate sides of the street.  Here again, a merchant's cost of software, updates (probably not $99.95) & professional expertise is tax-deductible as a business expense.

Will the cost of enforcement and hiring thousands of government auditors in over 9,000 sales tax jurisdictions even approach being funded by the increased revenue?

[blink]

I remember NY City having a "sales tax holiday" on certain lines of goods and sales, jobs & revenue soared while it was in effect.  Does that tell them anything?
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I think  they are referring to gross sales, not net profit, with that threshold, so expenses would not enter the picture - unless I am reading it incorrectly.
I also think there would be some free software that businesses would be offered to sort out the myriad of tax amounts.
  Bob
 
fortrout said:
WELCOME to Delaware. No state sales tax. People drive from New Jersey, Maryland, Pennsylvania, to shop TAX FREE. The malls are full of out of state plates all the time. Not sure how long it will stay this way,but as a consumer it has been very helpful raising a family. [big grin]
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Having frequently visited Deleware and shopped I realized N.Y is much cheaper shopping including tax. In Deleware their isn't much competition as compared to N.Y & N.J .
 
The Peoples Republik of Kalif already started the internet sales tax. No matter what I buy and where I buy, the state gets theres.

 
Well, the Senate will be voting on the Internet Sales Tax Law tomorrow. My bet it will pass overwhelmingly.

Bob
 
Bob Marino said:
Well, the Senate will be voting on the Internet Sales Tax Law tomorrow. My bet it will pass overwhelmingly.

Bob
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It will be interesting to see if once again, they exempt themselves.  Methinks it's time for the proposed 28th amendment that so many have clamored for. 

 
sancho57 said:
The Peoples Republik of Kalif already started the internet sales tax. No matter what I buy and where I buy, the state gets theres.
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Enforcement is another matter
 
sancho57 said:
The Peoples Republik of Kalif already started the internet sales tax. No matter what I buy and where I buy, the state gets theres.
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This falls under inter-state commerce, which is (correctly) in the domain of the federal government and not of the individual states.
 
It is true, the S. 743 Marketplace Fairness Act passed a vote in the Senate.  However, H.R.684 Marketplace Fairness Act has not been taken up by the House of Representatives.  In the House, H.R. 684 still has to be taken up by the Judiciary Committee whose Chairman, Bob Goodlatte, has not shown a great deal of excitement about the bill as it is currently written.  Speaker John Boehner has not pushed for this bill which would give Goodlatte more incentive to take it up in his committtee.  This bill still has to be taken up by Committee, passed, and then scheduled by the Rules Committee for House debate on the floor.    If a bill is passed by the House and it is not identical to Senate bill S. 743 then I believe it will go to a conference committee to attempt to get a bill that both the Senate and House are willing to pass.  The last step is to get the President to sign it.  (This will be the easiest step in the process)

The Senate with 6 year terms and only 1/3 elected every 2 years can stand up to general popular pressure and pass a bill that pleases business without placating the immediate desires of the populace.  The House of Representatives is reelected every two years and therefore is more responsive to the general populace who have the votes to reelect.

So, who are you going to please, the lobbyists with money from big business or the voters who can reelect you?

If you have a young one in your family, junior or senior high, this will be a great bill to watch and teach/show them how the legislative process works in this great country of ours. 

A couple of places to start learning are House.gov and Senate.gov.

Enjoy,

woodwrights_corner

 

 
woodwrights_corner said:
It is true, the S. 743 Marketplace Fairness Act passed a vote in the Senate.  However, H.R.684 Marketplace Fairness Act has not been taken up by the House of Representatives.  In the House, H.R. 684 still has to be taken up by the Judiciary Committee whose Chairman, Bob Goodlatte, has not shown a great deal of excitement about the bill as it is currently written.  Speaker John Boehner has not pushed for this bill which would give Goodlatte more incentive to take it up in his committtee.  This bill still has to be taken up by Committee, passed, and then scheduled by the Rules Committee for House debate on the floor.    If a bill is passed by the House and it is not identical to Senate bill S. 743 then I believe it will go to a conference committee to attempt to get a bill that both the Senate and House are willing to pass.   The last step is to get the President to sign it.  (This will be the easiest step in the process)

The Senate with 6 year terms and only 1/3 elected every 2 years can stand up to general popular pressure and pass a bill that pleases business without placating the immediate desires of the populace.  The House of Representatives is reelected every two years and therefore is more responsive to the general populace who have the votes to reelect.

So, who are you going to please, the lobbyists with money from big business or the voters who can reelect you?

If you have a young one in your family, junior or senior high, this will be a great bill to watch and teach/show them how the legislative process works in this great country of ours. 

A couple of places to start learning are House.gov and Senate.gov.

Enjoy,

woodwrights_corner

 
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  Interesting analysis. Yep, passing the Senate is only the first hurdle. And nothing will be settled this year, but I just think it almost inevitable that it will eventually get passed; there's just much $$ in the pot for it not to happen.

Bob
 
woodwrights_corner said:
It is true, the S. 743 Marketplace Fairness Act passed a vote in the Senate.  However, H.R.684 Marketplace Fairness Act has not been taken up by the House of Representatives.  In the House, H.R. 684 still has to be taken up by the Judiciary Committee whose Chairman, Bob Goodlatte, has not shown a great deal of excitement about the bill as it is currently written.  Speaker John Boehner has not pushed for this bill which would give Goodlatte more incentive to take it up in his committtee.  This bill still has to be taken up by Committee, passed, and then scheduled by the Rules Committee for House debate on the floor.    If a bill is passed by the House and it is not identical to Senate bill S. 743 then I believe it will go to a conference committee to attempt to get a bill that both the Senate and House are willing to pass.   The last step is to get the President to sign it.  (This will be the easiest step in the process)

The Senate with 6 year terms and only 1/3 elected every 2 years can stand up to general popular pressure and pass a bill that pleases business without placating the immediate desires of the populace.  The House of Representatives is reelected every two years and therefore is more responsive to the general populace who have the votes to reelect.

So, who are you going to please, the lobbyists with money from big business or the voters who can reelect you?

If you have a young one in your family, junior or senior high, this will be a great bill to watch and teach/show them how the legislative process works in this great country of ours. 

A couple of places to start learning are House.gov and Senate.gov.

Enjoy,

woodwrights_corner

 
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This is an excellent characterization of the process that lies ahead for this bill. Thanks for adding some insight to an otherwise hazy issue for most.
 
woodwrights_corner said:
So, who are you going to please, the lobbyists with money from big business or the voters who can reelect you?
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Since when have the voters even been important in politics?  [blink]
 
So, who are you going to please, the lobbyists with money from big business or the voters who can reelect you?

  I'm not sure I agree with that part of the analysis if what you are saying is that it is big business pushing this bill to pass. I think there is pressure from lots of small/medium size brick and mortars to push for passage of this bill.

Bob
 
Bob Marino said:
So, who are you going to please, the lobbyists with money from big business or the voters who can reelect you?

  I'm not sure I agree with that part of the analysis if what you are saying is that it is big business pushing this bill to pass. I think there is pressure from lots of small/medium size brick and mortars to push for passage of this bill.

Bob
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Indeed - Equitible application of Internet sales tax could help smaller local businesses compete against big business, and better fund schools in the process.
 
Bob Marino said:
So, who are you going to please, the lobbyists with money from big business or the voters who can reelect you?

  I'm not sure I agree with that part of the analysis if what you are saying is that it is big business pushing this bill to pass. I think there is pressure from lots of small/medium size brick and mortars to push for passage of this bill.

Bob
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Yes good point, but...Where there is pressure, and who the politicians pander too are different.

Not to get on the lobby discussion, but it's got far too much political sway in America today. Small business is what built this great nation, and the American corporate construct is eroding that.
 
skids said:
Bob Marino said:
So, who are you going to please, the lobbyists with money from big business or the voters who can reelect you?

  I'm not sure I agree with that part of the analysis if what you are saying is that it is big business pushing this bill to pass. I think there is pressure from lots of small/medium size brick and mortars to push for passage of this bill.

Bob
Click to expand...

Yes good point, but...Where there is pressure, and who the politicians pander too are different.

Not to get on the lobby discussion, but it's got far too much political sway in America today. Small business is what built this great nation, and the American corporate construct is eroding that.
Click to expand...

Totally agree that lobbyists have way too much influence today, but I should clarify my point about this particular bill and that it has support from both  large as well small/medium business'.

Bob
 
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