Hous Repblicns Wrong On Intrnet Sales Tax Bill!

I've never heard of anyone getting a % back. There is usually a very small amount that you get to keep if you pay on time. Of course if you have to do 45 of them the paying on time part will be very difficult.

Is there any measures in the bill by state so you don't have to do a form say if you sell only $100 to that state? Or if you have any sales in that state you have to do the whole form as if you had sold say $100,000?


The law says business with less than $1,000,000 in sales are exempt. The law does not go into interaction limits for individual states.

However it does require that the software handle the preparation of the required filings. Every state that I know of has online remittance of taxes. Paying them on time will actually be pretty easy. The software handles the filing for the specified period, remittance is made online electronically.


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Have you ever run a business? Do you understand that paying taxes on time is not something that happens by magic? Are you aware that businesses, in theory, actually have to maintain collected taxes in a separate account, while, in reality, they dump all deposits into a single account and figure it out later? What happens if the bank is late transferring fund because of a computer glitch, who pays for that? I once had to argue with two separate taxing agencies for 3 years because they did not properly log my payment to them, even though I had proof I paid. They actually slapped a lien notice on my door, and the IRS showed up wanting to know why I claimed a deduction for a payment I never made.

You really have no idea what you are talking about.

If the "glitch" is in the states software, then the law holds harmless the business owner.

If the "glitch" is the owners or the banks, I'm assuming that the business owner will be the one responsible. Just like it is now for B&M stores.



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Is the million dollars of out of state sales just for US sales? So if a company sells say $600k to other states , but $500k internationally would they qualify?

Aren't we giving another advantage to China companies? There are a lot that ship direct from overseas into the states. I assume they won't be charging any sales tax.


The million dollar mark is determined by United States income tax filing, which means the company has a presence in the United States.

So if you buy a laptop from Dell and it ships from Taiwan, Dell is a US company and the tax would be charged.

If a company is located in Brazil and not incorporated in the United States, then their would be no sales tax. However there may/will be tariffs, Customs fees, and higher international shipping rates - if you can do that for less than the sales tax rate. Go for it.


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As usual, you are wrong.

Just because a company ships to the US does not mean they have a presence here.

As usual you appear to not being paying attention to what I wrote.

I didn't say that just because a company ships to the US that means they have a presence here. As a matter of fact I said just the opposite of that. As I said, if a company is in Brazil and didn't have a US presence then they would not be paying US sales tax.



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The shopping cart software already exists. You realize that instate sellers already have to deal with different tax rates based on delivery address within a state right?

Patching a Point-of-Sale system to update something is not "creating a new website". Online sellers are already required to collect tax, the interface is the same - no new site required. The underlying software will just need an upgrade to access out of state tables that the participating state is required to supply.



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Actually the state I'm familiar with you charge sales tax based on the business location, not the customer. That is the same as if you go in a store, you don't travel with your rate. The carts I know of charge by state, not zip.

That is the way it works for every in state business, yet out of state business suddenly have to figure out where you love and take taxes based on that.


In state retailers already have to figure out where you live and remit the correct tax for the locality where the item is received, retailers providing e-commerce to customers within the same state. VA is easy, we have one rate that applies statewide. New York on the other hand has different local sales taxes for different cities and counties, in New York e-commerce providers already have to account for that.



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Please point to where I said there was only one sales tax for the entire state please.

I said their would be one tax collection agency that out of state resellers would be interfacing with, not that there would be one tax rate.

The states, to participate in the program, will be required to have a single tax agency to interface with and they will supply the software to facilitate tax calculations and filing for returns. The tax will be calculated based on the delivery access and the software will lookup the correct rate based on tables supplied by the state.



Maybe you should respond to what I say instead of making shit up, like "one tax rate for an entire state" - something I never said or implied.




No defending the OP, just discussing the law. From an emotional level I don't like it. That doesn't preclude a logical discussion of what the law actually says and does as opposed to strawman talking points.



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Where did you say that? Seriously?

When someone points out that a business is going to be responsible for collecting taxes for thousands of different agencies, and you reply that the law requires states to set up a single portal, what the fuck do you think it means?


What it means is that the individual e-commerce retailer WILL NOT have to be interfacing with thousands of different agencies, the law specifically prevents that.

What will happen, per the law, is the the e-commerce retailer will interface with ONE entity per state. That entity will provide the software that returns the proper tax rate based on the address of delivery. Saying that the retailer is "responsible for collecting taxes for thousands of different agencies" is incorrect, they collect taxes for ONE agency. That state level agency is then responsible for dispersing the taxes to the local taxing entities.



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Once again, do businesses get to pretend there is only one tax? If not, what the fuck is your point? Are you arguing that the states won't actually distribute the taxes?
 
Your individual plan is irrelevant.

We, as in Republicans. Last year when the Dem's were talking about raising tax rates to raise revenues with no cuts in spending - "we" (Republicans) said that our plan was reduce spending, maintain tax rates flate AND close tax loopholes to generate revenue. Go back and research the election from last year, that was our plan.

This is closing a tax loophole which was the basis for the SCOTUS decision in Quill v. North Dakota.


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You are the one that said we, so I pointed out that you and that mouse you keep in your pocket do not speak for me.

By the way, this is not a loophiole because every single business in the country gets to do the same thing. I can walk into any store in California, talk to the staff and tell them that I am buying something to ship home to Texas, and I will get it without paying CA sales taxes. Is that a loophole, or are you just really confused because you are actually a Democrat who think loophole means something you do not like?


I made no attempt to "speak for you", I was talking about the position of the Republican Party during the last election. Since I'm a Republican the "We" was me and the party. What your personal opinion is is irrelevant.

It's a loophole because you are not remitting the required tax required under Texas law. When you make such a purchase, you are required under Texas law (or the person that is receiving the package) to then remit the Use Tax to Texas.

It's a "loophole" because it is a means used by individual to illegally pay ZERO taxes. The shift is simply taking the "honor system" back-end method and shifting it to the time of purchase method. Same as B&M.



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If you are not speaking for me do not say we.
 
This reminds me..

Today I went to two different gun shops looking for a Henry AR7. Neither had it, both told me to go to Wal*Mart and order it.

I went on line and found another local shop that was Henry Dealer so I called them and asked their price on it. $289 plus tax.

I could order it from Wal*Mart and have it in two days for $220. I called the dealer back and told them I would be willing to pay a little extra to support the local business, but $70 was just too much. I said that if they would come down to $250, I would buy it from them.

He wouldn't deal. Said his price was his price and that was it. Meanwhile he was cussing out Wal*Mart for selling it at $25 over cost.

Seems to me that the greedy one is the guy wanting to make $100 profit.

When I buy from the internet, the tax isn't what sends me shopping there.

It's the availability and the cost. 6.5% sales tax doesn't phase me at all.

It's the same as when I was looking for a new hat. No one in town carrys men's hats. Ball caps, by the ton. But a hat? Not a one.

Why should I be penalized because the local shops don't or won't carry what I want?

And don't give me that crap that taxes make that much a difference. It doesn't. It's about what I want and who, if anyone sells it and are they trying to making their monthly bonus off of my purchase.

I don't mind paying a little extra to support the small business man, but don't ask me to carry your note for you.

You know firearms is a tight market these days.

What I've been trying to preach is an even board. Sales tax in store, sales tax in space.

Why give the fat fuck mouse clicker a break while breaking the balls of retail outlets?

Is your agenda to kill online sales? Don't you think online sales would pretty much die off because they would become more expensive, with taxes AND shipping?

So people that are unemployed or retired and selling things on eBay or Amazon will be screwed out of their livelihood...is that what you want? In a time where there are NO JOBS to be had, you want to screw these people out of what little they can earn to survive? Seems rather cold to me.
 
The law says business with less than $1,000,000 in sales are exempt. The law does not go into interaction limits for individual states.

However it does require that the software handle the preparation of the required filings. Every state that I know of has online remittance of taxes. Paying them on time will actually be pretty easy. The software handles the filing for the specified period, remittance is made online electronically.


>>>>

Have you ever run a business? Do you understand that paying taxes on time is not something that happens by magic? Are you aware that businesses, in theory, actually have to maintain collected taxes in a separate account, while, in reality, they dump all deposits into a single account and figure it out later? What happens if the bank is late transferring fund because of a computer glitch, who pays for that? I once had to argue with two separate taxing agencies for 3 years because they did not properly log my payment to them, even though I had proof I paid. They actually slapped a lien notice on my door, and the IRS showed up wanting to know why I claimed a deduction for a payment I never made.

You really have no idea what you are talking about.

If the "glitch" is in the states software, then the law holds harmless the business owner.

If the "glitch" is the owners or the banks, I'm assuming that the business owner will be the one responsible. Just like it is now for B&M stores.



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You, quite obviously, have not dealt with a state that thinks you owe it money.
 
I find myself confused, you claim they are wrong, but you never explain why.

While you are at it you can tell me when Amazon started paying you to lobby for a bill that will enable them to take over the internet.

LOL! Seems they're the only ones that agree with this bullshit legislation. Why is that, I wonder?
 
Actually the state I'm familiar with you charge sales tax based on the business location, not the customer. That is the same as if you go in a store, you don't travel with your rate. The carts I know of charge by state, not zip.

That is the way it works for every in state business, yet out of state business suddenly have to figure out where you love and take taxes based on that.


In state retailers already have to figure out where you live and remit the correct tax for the locality where the item is received, retailers providing e-commerce to customers within the same state. VA is easy, we have one rate that applies statewide. New York on the other hand has different local sales taxes for different cities and counties, in New York e-commerce providers already have to account for that.



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Let me see if I can settle this once and for all.

STORES COLLECT TAXES AT THE POINT OF SALE. IF THEY SHIP TO ANOTHER PLACE IN THE STATE THEY COLLECT THE SAME TAX AS IF YOU WALK OUT THE DOOR WITH IT.

If that is too complicated, you are wrong.
 
Actually the state I'm familiar with you charge sales tax based on the business location, not the customer. That is the same as if you go in a store, you don't travel with your rate. The carts I know of charge by state, not zip.


I just picked a state at random: Texas. From their site.

"How much is sales tax?

The current state sales tax rate on taxable items delivered into Texas is 6.25 percent. Local sales and use taxes may be due depending on where you receive orders and where the products are delivered. You should not collect more than 2 percent local tax on any one transaction. To find out the proper rate for any jurisdiction, use our tax rate search engine. More information on local sales and use taxes is online at Local Sales and Use Tax.​
In Texas you pay different sales tax rates based on the delivery address. If you are a purchaser you are receiving an order, if you are a seller you are delivering an order. New York state would be another example of different rates depending on where an item is delivered for in-state online sellers.



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Don't know how to read either, how wonderful. It does explain why you think this bill is a great thing though.

I don't think the bill "is a great thing" as it will take more money out of my pocket.

That doesn't mean I can't discuss what the law actually does.

Just to point out the obvious, that site has nothing to do with where a business ships to, it is telling business that they have to pay sales taxes based upon where they are located.


I guess you missed the point "and where the products are delivered." Texas businesses providing e-commerce to Texan's in Texas have to account for different tax rates based on where the products are delivered.



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Right, it would be so easy to collect sales taxes for more than 6,900 different taxing authorities and have to answer to each taxing authority if some how you make a mistake. In theory it sounds great, kind of like Maobamacare, but when it comes down to implementation it will be a nightmare. I've asked my congressman to vote no.

Did you know Amazon has a program that they are willing to sell to anyone who needs it that will let them do just that? No wonder they think this is a great idea.

Oh, OK. It makes sense now. Thanks!:tongue:
 
One can see you are very Gung ho on this bill. Just wondering why?


Not "gung ho" on the bill, as a consumer it means more dollars out of my pocket.

Shooting down inaccuracies about how a law functions does not equal being "gung ho" about a bill. It more indicates discussion from a detached logical basis instead of making an emotional decision and then using false premises presented to others as to why something "can't" work.

In the early 1900's people told the Wright brothers that flying "can't be done". People said we couldn't put a man on the moon because it "can't be done". Some people confuse "complex" with "can't be done". The requirements of the law that states simplify the taxing requirements, that they provide a single access point for resellers so that don't have to deal with 9,600 jurisdictions, that the software electronically prepare and submit the reporting requirements means that the retailer is going to be insulated from the "complexity".

Emotionally? Ya, paying more taxes sucks.

Logically? People are breaking the law by not remitting taxes ALREADY required because the current system is the "honor system" after the fact. This closes the loophole and shifts the paradigm to time of sale. The same method already applied to B&M sellers.



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It is entirely possible to turn the entire planet into a radioactive wasteland.

In other words, just because we can do something does not mean we should.

I do appreciate you trying to make this about people hating progress instead of what it really is about though. It shows how desperate you are.


That's what you got out of that really? The point was that "complex" does not mean impossible, nothing about "hating progress".

What is this really about? Is about states wanting the remittance of tax revenue that is legally owed and a shift from the "honor system" which is unenforceable to a "time of sale" model just like B&M stores. The whole "marketplace fairness" portion is a political bullshit screen, what this is really about is states wanting the revenue for sales occurring in their state (which is based on the purchasers location).


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Where did you say that? Seriously?

When someone points out that a business is going to be responsible for collecting taxes for thousands of different agencies, and you reply that the law requires states to set up a single portal, what the fuck do you think it means?


What it means is that the individual e-commerce retailer WILL NOT have to be interfacing with thousands of different agencies, the law specifically prevents that.

What will happen, per the law, is the the e-commerce retailer will interface with ONE entity per state. That entity will provide the software that returns the proper tax rate based on the address of delivery. Saying that the retailer is "responsible for collecting taxes for thousands of different agencies" is incorrect, they collect taxes for ONE agency. That state level agency is then responsible for dispersing the taxes to the local taxing entities.



>>>>

Once again, do businesses get to pretend there is only one tax? If not, what the fuck is your point? Are you arguing that the states won't actually distribute the taxes?


Probably not. The software will take the delivery address and return the appropriate rate.

What the fuck are you talking about with the "won't actually distribute the taxes?" I implied no such thing.


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You are the one that said we, so I pointed out that you and that mouse you keep in your pocket do not speak for me.

By the way, this is not a loophiole because every single business in the country gets to do the same thing. I can walk into any store in California, talk to the staff and tell them that I am buying something to ship home to Texas, and I will get it without paying CA sales taxes. Is that a loophole, or are you just really confused because you are actually a Democrat who think loophole means something you do not like?


I made no attempt to "speak for you", I was talking about the position of the Republican Party during the last election. Since I'm a Republican the "We" was me and the party. What your personal opinion is is irrelevant.

It's a loophole because you are not remitting the required tax required under Texas law. When you make such a purchase, you are required under Texas law (or the person that is receiving the package) to then remit the Use Tax to Texas.

It's a "loophole" because it is a means used by individual to illegally pay ZERO taxes. The shift is simply taking the "honor system" back-end method and shifting it to the time of purchase method. Same as B&M.



>>>>

If you are not speaking for me do not say we.


I'll use "we" when ever I damn well please.

The context of the usage was "we" as in the Republican position during the last election as posited by the Republican Presidential Candidate and the Speaker of the House. If you don't like that position (i.e. closing loopholes) then don't consider yourself a Republican then you will not be part of the "we".


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That is the way it works for every in state business, yet out of state business suddenly have to figure out where you love and take taxes based on that.


In state retailers already have to figure out where you live and remit the correct tax for the locality where the item is received, retailers providing e-commerce to customers within the same state. VA is easy, we have one rate that applies statewide. New York on the other hand has different local sales taxes for different cities and counties, in New York e-commerce providers already have to account for that.



>>>>

Let me see if I can settle this once and for all.

STORES COLLECT TAXES AT THE POINT OF SALE. IF THEY SHIP TO ANOTHER PLACE IN THE STATE THEY COLLECT THE SAME TAX AS IF YOU WALK OUT THE DOOR WITH IT.

If that is too complicated, you are wrong.

Let me see if I can settle this once and for all.

DEPENDING ON THE STATE, E-COMMERCE RETAILERS COLLECT TAXES BASED ON THE ADDRESS OF DELIVERY FOR INSTATE SALES.

I hope that is not to complicated for you.



>>>>
 
Now the big question.
Who is in charge of watching the online retailers?
Who is going to perform the Audits? Monthly? Yearly?
Who is going to audit each and everyone to make sure that they are not making over the limit and not paying the tax?
Who is going to audit their books to insure that each state that is entitled receives their tax?
Just more big government.

We must expand the IRS. Great. They already need to be expanded for Obombercare, now this.
 
From the text of the law as a requirement:

"(2) implements each of the following minimum simplification requirements:

(A) Provide--

(i) a single entity within the State responsible for all State and local sales and use tax administration, return processing, and audits for remote sales sourced to the State;

(ii) a single audit of a remote seller for all State and local taxing jurisdictions within that State; and

(iii) a single sales and use tax return to be used by remote sellers to be filed with the single entity responsible for tax administration."

Text of S. 743: Marketplace Fairness Act of 2013 (Passed the Senate (Engrossed) version) - GovTrack.us



Out of state retailers will not have to deal with local tax authorities.



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Out of state retailers will not have to deal with local tax authorities.

No, but they would potentially have to deal with 50 (57 by Obama's count) different auditing agents. I've been through two state sales tax audits. They cost time and money even if the company has been found in compliance. Now they could be audited 50 times a year.

Would they be responsible to travel to the state for the privilege of being audited or would the state be gracious enough to contract with auditors in various locations? I would not count on the "OR".

Immie


As I said just a few posts ago, I disagree with that provision. I'd like to see an amendment whereby the auditing authority would be the entity responsible for auditing business within the state of incorporation (partnership, LLC, etc.). If that audit found that a business was illegally not processing tax requirements for out of state sales, then they would have direct jurisdictional power to deal with the issue.



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First, I don't see how that would work as the auditing agency in your scenario would not be an "authority", not sure that is the proper word for it, but I hope it gets the point across, of the state in question. An audit in Florida for sales tax due to the State of California would need to have authority in and for California.

Second, that doesn't deal with the issues of having to comply with the tax laws in all 50 states and all of their local communities. Regardless, of what you may believe, that would be a virtual nightmare to keep track of and to report.

You want to require sales tax on internet sales and have those retailers collect and pay sales taxes to the state/county in which they do their business from, I am fine with that. But don't require companies to keep up with the tax laws and rates of every county in the nation or being responsible to keep up with which county their customer from You Bet, California is in. If I am doing business with a company in California that charges 10% sales tax on purchases then I can make the choice as to whether to buy from that vendor or the one in North Dakota that only charges 5.5% or go down to Walmart and buy it from the store.

Immie

PS, Yes, there is a town called You Bet in California. I have been there. If I remember correctly when I was there somewhere in the neighborhood of 30 years ago the "population was in the single digits".
 
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The million dollar mark is determined by United States income tax filing, which means the company has a presence in the United States.

So if you buy a laptop from Dell and it ships from Taiwan, Dell is a US company and the tax would be charged.

If a company is located in Brazil and not incorporated in the United States, then their would be no sales tax. However there may/will be tariffs, Customs fees, and higher international shipping rates - if you can do that for less than the sales tax rate. Go for it.


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As usual, you are wrong.

Just because a company ships to the US does not mean they have a presence here.

As usual you appear to not being paying attention to what I wrote.

I didn't say that just because a company ships to the US that means they have a presence here. As a matter of fact I said just the opposite of that. As I said, if a company is in Brazil and didn't have a US presence then they would not be paying US sales tax.



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More encouragement to companies to go "off shore"?

Immie
 
I just picked a state at random: Texas. From their site.
"How much is sales tax?

The current state sales tax rate on taxable items delivered into Texas is 6.25 percent. Local sales and use taxes may be due depending on where you receive orders and where the products are delivered. You should not collect more than 2 percent local tax on any one transaction. To find out the proper rate for any jurisdiction, use our tax rate search engine. More information on local sales and use taxes is online at Local Sales and Use Tax.​
In Texas you pay different sales tax rates based on the delivery address. If you are a purchaser you are receiving an order, if you are a seller you are delivering an order. New York state would be another example of different rates depending on where an item is delivered for in-state online sellers.



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Don't know how to read either, how wonderful. It does explain why you think this bill is a great thing though.

I don't think the bill "is a great thing" as it will take more money out of my pocket.

That doesn't mean I can't discuss what the law actually does.

Just to point out the obvious, that site has nothing to do with where a business ships to, it is telling business that they have to pay sales taxes based upon where they are located.


I guess you missed the point "and where the products are delivered." Texas businesses providing e-commerce to Texan's in Texas have to account for different tax rates based on where the products are delivered.



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I really don't have time to educate you on how sales taxes work.

By the way, speaking of what the bill actually says, and to prove that you have not actually read it, what happens if the state where the seller is located refuses to join the consortium? Are you aware that, if that happens, not only would the people in those states not have to pay any sales taxes, anyone that buys something from a business in those would be legally exempt from paying taxes in their home state?

Think about how that will go over with the people, like you, who think the government is owed those taxes simply because you say they are.
 
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