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  • Fletch

    Grandmaster
    Rating - 0%
    0   0   0
    Jun 19, 2008
    6,379
    48
    Oklahoma
    Amazon won't collect sales tax; cuts off California affiliates - latimes.com

    In a nutshell, California passed a law saying internet retailers have to collect sales tax for them. Amazon immediately severed ties with 10,000 California-based affiliate businesses and stated it has no intention of playing tax collector, since avoiding sales tax is what internet retail is all about.

    When will they learn? Try to stick it a particular class of people or their businesses, and they will find ways to leave or avoid the tax, even if it means taking a loss of revenues/income to do so.
     

    KG1

    Forgotten Man
    Site Supporter
    Rating - 100%
    66   0   0
    Jan 20, 2009
    25,638
    149
    If i'm not mistaken I think Illinois was kicking that idea around too
     
    Rating - 100%
    61   0   0
    May 16, 2010
    2,146
    38
    Fort Wayne, IN
    Technically you are supposed to claim items purchased out of state that were not subject to sales tax on your state income taxes. We all know that no one does, but eventually its going to happen that online retailers will be made to collect sales tax for all states.


    I really don't have any issues with it personally. The brick and mortar stores are at a disadvantage as it is, no need to throw on another 6-10% on top that they have no control over and doesn't go in their pocket.

    I like saving money as much as the next guy. But at what cost? If it wasnt for the FFL stuff places like Buds would kill the local shops, at least the small ones. The small guys tend not to have the ability to eat up another $40-$50 on the gun price and if they cant match online prices and the gun can be shipped directly to your home, people wont buy there.
     

    mrjarrell

    Shooter
    Rating - 0%
    0   0   0
    Jun 18, 2009
    19,986
    63
    Hamilton County
    Saw this earlier today. Kudos to Mr. Bezos! States just want to bleed companies dry and make them do their own bloodletting. Start hitting them in the pocketbooks and the nonsense stops. This type of robbery has already cost South Carolina a distribution center, along with the jobs and taxes they would have got from them. Amazon plays hardball with the best of them.
     

    a.bentonab

    Expert
    Rating - 100%
    6   0   0
    May 22, 2009
    790
    18
    Evansville
    I've been in a buying frenzy lately and it was either amazon or ebay where the item description said "absolutely no California addresses." I guess I know why now.

    I'm kind of torn on the issue of who is right, but I sure know who is cheaper, and they'll usually (not always) get my money.
     
    Rating - 100%
    2   0   0
    Mar 22, 2011
    197
    16
    Anderson
    There are websites where I have paid other states sales tax (at least those states that had sales tax). There are a few websites located in Indiana where I have not paid sales tax. Of course most websites don't charge sales tax.

    I would better understand making companies collect sales tax based on the state in which they are distributing from, or from where they are headquartered... Of course then the company would just move to a state that didn't have sales tax.

    Of course the older I get the more problems I have with government and tax in general.

    Mega props to Amazon!
     

    hoosierdoc

    Freed prisoner
    Rating - 100%
    8   0   0
    Apr 27, 2011
    25,987
    149
    Galt's Gulch
    right now if you have a physical presence in a state that item is being shipped to you ave to collect sales tax I believe. California added that if you ha "affiliates" in a state that counted too. Rather than make all amazon items 7.25% more expensive to californians, they killed the program and probably tons of small businesses.

    Increased taxes on business means less business. Go figure.

    We are supposed to report out of state purchases to pay sales tax. If you buy as a distributor and use it personally, supposed to pay "use tax" but again, most don't.
     
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