Online Sales Tax

[hoz53]

The first part isn't always true. If I buy a car in Delaware, where there is no sales tax, and I live in PA and need to get PA tags, I have to pay the PA state sales tax. The inverse is true. I bought a small trailer (that requires tags) in PA and tagged it in Delawre. I paid no PA sales tax and no Delaware SALES tax.

Aside from that, the ruling is for South Dakota for businesses doing over 100k of sales.
The hope is Congress and/or the states legislatures will exempt small businesses with a gross below a certain threshold.
Small retailers can read this as a notice to FLOOD YOUR CONGRESSPEOPLE'S phones, emails and letters with a request for exemption. Call them and tell them you're going to lay off people, that pay taxes on their income, and whatever else you can come up with that will reduce economic activity in your state. Remember, squeaking wheel gets the grease.

Having said that, if I were a small online retailer in one of the affected states, I'd have already been on the phone with my U.S. and state congresspeople.

last years tax bill discontinued about all the individual business tax deductions making it harder to be an employee in many cases and the tax cut part of the bill basicly financed stock buybacks for big business on the backs of the people - now they make it more difficult for a small business to stay in business- as if it isnt difficult enough allready- getting to be very few places to turn to make a go of it.

 

[spencerhenry]

It will not benefit the average person one bit. The states will collect the money and waste it as usual. They will also know where people are spending their money.
As I stated before, I buy everything I can online or from catalogs. My local sales tax is high, but an 8lb of powder and at nearly $20 goes to the state, county and city. That's an extra pound of powder for every keg. I buy when things are on sale, and I buy in quantity so the shipping per item is quite small if there even is shipping.
Mom and Pop stores around here are, for the most part, rip offs. I once was in a store to have a transfer done on an a Gunbroker sale. I had two guns come in at once, and I bought a gun off the rack. They charged me $35 on EACH gun to do the transfer, even the one I bought off the rack. I never did another transfer at that store, and never bought powder or bullets there because their prices were about 25% higher than online. Must have rubbed others the wrong way too, as they are no longer in business.

 

[dragman]

Sales tax and profit have nothing to do with each other. The entity collecting the sales tax doesn't care one whit if the entity paying it is profitable at all, they just want to be shown the money! Therefore, if the total remittance is $1000, and the seller makes 10% profit of the total sale, then a 3% sales tax does indeed eat $30 of his profit. I know of no one that stays in business that is foolish enough to base their profit on the total remittance and not on their cost. But wait for it, the spending sprees by the states are coming on the heels of this windfall. That way they don't have to reduce their spending to save taxpayers money, they can just claim they are doing sooooo much more for you! And the tax due on the sale is going to be based on the point of RECEIPT, not the point of SALE, so it's no longer technically a sales tax, it's now a user tax. Think about it, why would South Dakota sue to have it based on the point of sale. That state is not exactly the hotbed of internet sales activity as far as I know. Hopefully this will show people just how much government at all levels is really costing them, because now no one can escape it.

Your missing my point.
In PA you pay with a C.C. that 1000 rifle say it's going to cost you $1065 with tax and Pics fee
Buy that same rifle online and the online retailer who doesn't have overhead sales it for usually $50 less so it's $950 the average dealer charges around $30 to register so that purchase costs you $980 total to buy online and $85 more to buy it in person it's a very unfair advantage for the online retailers. I sale NF, Barrett, Christiansen, etc. When you reduce your profits to meet online pricing for these multi thousand dollar items a lot of time you end up making less than 10% profit and you can't run a brick and motor store on that with employee's! Make everyone pay sales tax and I can then in my state make 6% more profit giving me a chance to deal with the big boys who also don't have a 2.5-3% CC processing fee. It isn't the customers problem but when fighting the online community that 6% sales tax and 3% CC fee is the difference between a stable business and being out of business.

 

[pirate ammo]

everyone is forgetting the FRIEGHT

 

[dickn52]

The first part isn't always true. If I buy a car in Delaware, where there is no sales tax, and I live in PA and need to get PA tags, I have to pay the PA state sales tax. The inverse is true. I bought a small trailer (that requires tags) in PA and tagged it in Delawre. I paid no PA sales tax and no Delaware SALES tax.

Aside from that, the ruling is for South Dakota for businesses doing over 100k of sales.
The hope is Congress and/or the states legislatures will exempt small businesses with a gross below a certain threshold.
Small retailers can read this as a notice to FLOOD YOUR CONGRESSPEOPLE'S phones, emails and letters with a request for exemption. Call them and tell them you're going to lay off people, that pay taxes on their income, and whatever else you can come up with that will reduce economic activity in your state. Remember, squeaking wheel gets the grease.

Having said that, if I were a small online retailer in one of the affected states, I'd have already been on the phone with my U.S. and state congresspeople.

Ok, but this decision overturns Bellas and Quinn where the 100,000 min was required. So now all sales are subject to sales tax collection at the purchaser's address and not the point of sale. So what software will collect the correct amount nationwide on that one? I see cottage industries in sales tax software springing up all over.

 

[hogpatrol]

Ok, but this decision overturns Bellas and Quinn where the 100,000 min was required. So now all sales are subject to sales tax collection at the purchaser's address and not the point of sale. So what software will collect the correct amount nationwide on that one? I see cottage industries in sales tax software springing up all over.

I look for legislative relief for small to medium online retailers. With the large retailers with huge volume, I doubt it will affect them much since they can spread the cost of collecting software and administration over a larger number of sales.

 

[gme]

finding out the sales tax rate for any location is not difficult just google it, the problem is having to file quarterly returns with 50 state agencies regardless if you collected sales tax or not because that's whats currently required by anyone authorized to collect sales tax, BTW lots of small "brick and mortar" shops sell firearms across state lines on gun broker, if they are going to be required to collect the tax and file returns in other states the hassle and bookeeping expense would far outweigh the "level playing field" effect people think this will have...

 

[Milo 2.0]

I just know this is going to hurt me, I buy 95% online. The total cost of buying online has always beat the higher price-sales tax gig.
As for support or customer service, I'd rather have some douchebag blow smoke up my butt in print or over the phone than look me in the eye while doing it.

 

[people]

you need to rethink that,,

It is true burden of proof is on the state. That is why we are innocent until proven guilty.

 

[Dans40X]

No Income or Sales Tax & a yearly PFD in Alaska!

INTERSTATE COMMERCE-
Selling an item from your state or municipality that has a sales tax rate on any item sold is the ONLY tax(es)
of that state or municipality that need to be collected.

ex-
your location sales tax rate is 5%.
sold item is shipped to a state/municipality that has a 10% tax rate.
you fulfilled your tax collection obligation.
the receiving state/municipality is SOL for the 5% differential.

 

[IdahoSharpshooter]

Is of no consequence to me. First time I buy online and they talk sales tax, I have them send it to my in-laws address in Oregon. They visit us here or we go over there once a week.

They are only interested in screwing you. As soon as electric vehicles started being sold in any quantity here in Idaho, the legislature passed a bill to charge them higher registration fees to cover the shortfall from gas tax collections.
We have a great government, force us to buy more fuel efficient vehicles, and then charge us because we are saving gas.

I think if I were thirty, I'd just shoot myself. Except, they'd just screw my wife out of half of our estate in the death tax scam...

 

[dickn52]

No Income or Sales Tax & a yearly PFD in Alaska!

INTERSTATE COMMERCE-
Selling an item from your state or municipality that has a sales tax rate on any item sold is the ONLY tax(es)
of that state or municipality that need to be collected.

ex-
your location sales tax rate is 5%.
sold item is shipped to a state/municipality that has a 10% tax rate.
you fulfilled your tax collection obligation.
the receiving state/municipality is SOL for the 5% differential.

True and not so true. The receiving state/municipality is ahead 5% instead of 0% as it is now. And they do nothing to get it.

 

[NorCalMikie]

Live in one state, bring a car in from another state. Get it registered in your home state and see what happens.
Had one trucked in from Ohio a few years back. Taxed on the cost to buy that car at registration time. ($1,500.00 + ?)
Drive out of state. Your car takes a dump so you buy new to get back home. You WILL pay taxes + fees on that car!
Folks think they can buy out of state and get by without paying taxes???

 

[swd]

Believe it or not I had one of the CA State Board of Equalization goons show up at my shop once wanting to know where I buy my tools and supplies

I hope you showed him the door or better yet a cliff!

 

[pmg]

I see your point, but I don't agree with it. The point of sale and location of the goods determines when the actual sale took place. Not the delivery point. Just another opinion and trying to keep the upcoming poop storm down to a minimum. Can you imagine Midway trying to charge me sales tax for my location, State-County and city? 35 miles away the sales tax is actually different due to county add on taxes.

Just a question about a scenario here. So someone is working, or for that matter is on vacation in a cheaper sales tax state and decides to make an online purchase using a smartphone or tablet with his location services turned on. That purchase is delivered to a hotel-motel in that cheaper state and paid for by a credit card in that cheaper state. Is the tax going to be collected for where the goods gets mailed to, or the buyers address on his drivers license? I suppose the key word here is location service, but I figure they know where you were anyway. I’m not talking autos in this scenario.

 

[dickn52]

Just a question about a scenario here. So someone is working, or for that matter is on vacation in a cheaper sales tax state and decides to make an online purchase using a smartphone or tablet with his location services turned on. That purchase is delivered to a hotel-motel in that cheaper state and paid for by a credit card in that cheaper state. Is the tax going to be collected for where the goods gets mailed to, or the buyers address on his drivers license? I suppose the key word here is location service, but I figure they know where you were anyway. I’m not talking autos in this scenario.

Go further. I am in Missouri and buy a fishing pole but I want to pay Florida sales tax because it's less. Can I?

 

[piute]

I read all post to find out what is happening, what a shame our establishment ” The Government and Political Agenda" have become concerning welfare of the small business owners and the blue collar workers. We live in one of the greatest countries in world, which has been steadily declining for over two hundred years! We pay taxes on taxed items with taxed money! Don’t save any money, you will be taxed some more! Tax ,tax, tax ,tax tax taxtaxtaxtax.
Oh! I also like this fallacy ; "That is why we are innocent until proven guilty” I think I'm going to go shoot some targets and chill!

 

[Dans40X]

WOW,
No wonder this country is so PHUCKED UP

Is anybody intending on running for an elected office!

More BS in this thread that what is generated in DC by our elected crooks/defunk lawyers on an hourly basis.

 

[Dans40X]

A scenario that hasn't been discussed-

You are on vacation or a business trip out of state.
The escort/call girl/whore charges you local/state/municipality/excise tax of 80%.
You swipe your card & inquire why the tax rate is 80%?
She states for services rendered,that a 75% tax is charged for the disposal of hazardous substance(s).

Do you write that off on your state & federal tax return as a business expense?

Politicians wouldn't hesitate & Billy Bob perjures himself with evidence to boot!

 

[sdean]

5 to 4 Supreme court passed. You have to take the ones you like with the ones you don't. Such is life. Nothing stays the same. The American way, figure another way to beat the system.