Tax-free Internet shopping may be at an end

Tax-free Internet shopping may be at an end

news.cnet.com

If a little-known but influential alliance of state politicians, large retailers, and tax collectors have their way, the days of tax-free Internet shopping may be nearly over.

A bill expected to be introduced in the U.S. Congress as early as Monday would rewrite the ground rules for mail order and Internet sales by eliminating what its supporters view as a "loophole" that, in many cases, allows Americans to shop over the Internet without paying sales taxes.

(visit the link for the full news article)

Well, those of you who couldn't understand what the Tea Party Tax Protests had to do with taxes will probably want to hold your own Tax protests now.

This is what they get for destroying the economy. Now that people are not spending as they did, or simply can't spend, states have lost a large portion of tax revenue. And retailers are feeling the sting as well as cash strapped shoppers look to the internet to save a few dimes.

A lesson for all. Wherever money changes hands in the USA, the tax collector wants his cut.

EBAY shoppers LOOK OUT!!!!
You can spend, but you can't hide!




news.cnet.com
(visit the link for the full news article)

[edit on 17-4-2009 by GuyverUnit I]

Correct me if I'm wrong but this shouldn't affect Ebay. Transactions between individuals aren't taxed at least not here

reply to post by PsykoOps

I believe it will affect eBay as they are one of the parties opposing the legislation. Many small retailers do their business through eBay exclusively.

Uh huh.

So, I thought we weren't going to get taxed at all, I mean I think thats how I understood it. No taxes for those under 250k per annum. You won't see any taxes at all!!

But, I see them every where, Cigarettes, beer, now online, i'm sure there are many more, I haven't had the privilidge to be pissed off about right now.

Originally posted by Republican08
Uh huh.

So, I thought we weren't going to get taxed at all, I mean I think thats how I understood it. No taxes for those under 250k per annum. You won't see any taxes at all!!

But, I see them every where, Cigarettes, beer, now online, i'm sure there are many more, I haven't had the privilidge to be pissed off about right now.

With Obama, you must listen very carefully. Obama stated that he would not raise INCOME TAXES for those under 250K. All other taxes are fair game including social security, fica and medicare which will impact your paycheck plus all the other taxes you mentioned like tobacco and alchohol.

I have a sneaky suspicion that with the incredibly large trillion dollar debt Obama is accumilating, that 250K mark will come way down possibly to as low as 50 or 75K. Plus Obama says that 95% of the people will recieve a tax cut (income tax only) but 50% of the people already don't pay any taxes. This is why we must go to a flat or fair tax system because this way everybody will contribute.

This was inevitable. The government believes it has a right to a cut of all transactions and this is that belief in action. We're only going to see more of this from now on, be prepared.


TheAssociate

Bare with me here. I agree no tax on the internet but I believe some states are already doing it if you buy from an address within that state. Correct me if I am wrong.

Anyway, here in Texas, we have a tax free weekend to help parents avoid taxes 8.25% on clothes and supplies. Of course over time many other things have been added. I kinda see this weekend as the internet shopping- NO TAXES.

So you get all these people who rush out on this weekend to do their shopping to avoid the $8.25 per $100 spent. What they don't realize is that the retailers mark up their prices during this weekend. So in reality, the customer isn't really saving much. They are probably even paying more than what they save in taxes.

So even if they were to tax items on the internet, would it really be so bad? Couldn't you still shop around for bargains to help minimize the tax factor or is the tax issue on the internet based more on principle?

Just a curious thought as I read this thread.

Originally posted by jam321
So even if they were to tax items on the internet, would it really be so bad? Couldn't you still shop around for bargains to help minimize the tax factor or is the tax issue on the internet based more on principle?

Yes, it would be bad because that glosses over the point. The point is enough with the taxes. We are being nickel and dimed to death with taxes. Hell, they even have a death tax.

How about reducing the size of government and reducing social spending?

reply to post by WhatTheory

How about reducing the size of government and reducing social spending?

I agree and appreciate the response.

I was just trying to see if it was about principle or savings. Principle it is and you are correct that at some point government has to understand that increasing taxes is not the only answer to solving our problems.

Originally posted by jam321
reply to post by WhatTheory

 

How about reducing the size of government and reducing social spending?

I agree and appreciate the response.

I was just trying to see if it was about principle or savings. Principle it is and you are correct that at some point government has to understand that increasing taxes is not the only answer to solving our problems.

I agree.
Actually, what a lot of people don't understand is that reducing taxes actually increases the money the government takes in. This is because the reduced tax burden spurs growth which creates more businesses, which leads to more people employed which leads to people spending more and the more people getting paychecks the more money the government takes in. It's rather simple really.

reply to post by WhatTheory


Well said. Star for you.
In my state there has been talk of lowering the sales tax for this very reason.
Too bad our General Assembly who are supposed to work for the people don't agree.