Democrat bill would allow state taxes on Internet sales

invisibleSHIELD case for iPad“A Democrat from Massachusetts, Rep. Bill Delahunt, has proposed new legislation that would remove the protections online retailers have enjoyed in terms of [U.S.] state sales taxes. At present, people buying from an out-of-state website are not required to pay the sales taxes that would normally be owed at a retail shop,” Electronista reports. “The US Supreme Court has ruled that without new law, out-of-state retailers cannot be made to collect sales tax.

“The bill’s co-sponsoring representatives are Michael Capuano, John Conyers, Stephanie Herseth Sandlin and Peter Welch,” Electronista reports. “None of them are Republicans, and beyond online retailers Delahunt is said to be opposed by some groups pushing for lower taxes in general.”

Electronista reports, “To appease concerns about red tape, Delahunt’s side is advocating the Streamlined Sales Tax Agreement, which was first created in 2002 by state tax officials and has since been adopted by 24 states in whole or in part. Participants must simplify tax codes and make them uniform. Another group complaining about the bill — the AOL-, eBay- and Yahoo-supported NetChoice coalition — claims that “the actual simplification achieved by the Streamlined Sales Tax Project is not nearly sufficient to convince Congress that it should abandon its role in protecting interstate commerce.”

Read more in the full article, “Democrat bill would allow state taxes on Internet sales,” here.

[Thanks to MacDailyNews Readers too numerous to mention individually for the heads up.]

61 Comments

  1. “Government is like a baby. An alimentary canal with a big appetite at one end and no sense of responsibility at the other.” – Ronald Reagan

    “Man is not free unless government is limited.” – Ronald Reagan

    “Government’s view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it.” – Ronald Reagan

    “Progressives have shit for brains.” – First 2010, then 2012

  2. The Rasmussen Reports’ daily Presidential Tracking Poll for Tuesday, July 06, 2010 shows that just 26% of the nation’s voters Strongly Approve of the way that Barack Obama is performing his role as president. Forty-three percent (43%) Strongly Disapprove, giving Obama a Presidential Approval Index rating of -17.

    < href=”http://tinyurl.com/obama-failure-july-6-2010″ target=”_blank”>http://tinyurl.com/obama-failure-july-6-2010</a&gt;

  3. So, please tell us, sir or madam, why those who disagree with you are ULTRA RIGHT WING bitchers? My guess about your political stance is that there’s no such thing as ULTRA LEFT WINGERS, right? Naw, Democrats are logical, reasonable, compassionate, lovable centrists who wouldn’t hurt a fly, while everyone else is a Nazi, Fascist, racist bastard who wants your babies dead. Huh?

    Get ready, Davu. There’s a train a’comin’!

  4. I am not “ultra right wing,” but I am self employed and am getting really pissed that 40% of my monthly income is legally taken from me against my will and squandered. And that is only income and FICA taxes. That does not include state income and sales taxes and all the other taxes that are hidden in phone bills, cable bills, etc.

  5. This is Apple new how?
    Oh that’s right, MDN needs page clicks.

    And FWIW most states already have usage taxes in place. You are supposed to pay for what you buy online anyway.

  6. In Michigan you’re already supposed to be paying taxes on Internet sales, if I’m not mistaken. There’s a line on the tax form where you’re supposed to say how much you made in the year that was not yet taxed, like eBay and garage sales.

  7. This article was brought to you by the Demicratic Party, the party if tax-and-spend. We are only trying to help, because we know that you can’t be trusted with your own money or freedom. Besides, we have to take orders from our Union bosses…

  8. Taxes on goods & services is generally a good thing for those of us who work for a living, as opposed to increasing income taxes. It’s a good thing because it is a flat tax, so no segment of the population is immune, like income tax. Further, lack of sales tax on goods damages in state retailers significantly. Why should a retailer online in California be able to give a 8% ‘discount’ on a widgit when the instate retailer employs instate workers and is then penalized with essentially an 8% surcharge.

    The ultimate answer is a smaller government, a government that does not commit 15,000,000 taxpayer dollars to WWII museums in Poland and tax discounts to trust fund kids who take their income as a capital gain, but since that is unlikely, this is a reasonable option.

  9. This is not Apple related news. I don’t ever want to see MDN calling another writer a hit-whore ever again. Seems like July has been a turn for the worst around here. The app ratings and reviews on iTunes are speaking quite loudly as well.

  10. @First 2010, then 2012,

    When Regan said that he must have forgotten he was the government!

    ” width=”19″ height=”19″ alt=”wink” style=”border:0;” />

  11. Taxes have been a requirement of a nation or city state. Check your history. Been this way for the last 1,500 years all over the world. Paying a portion of income to the the ‘state’ It’s not a new tax here it’s enforcing one that hasn’t been.

    So what’s the alternative if one doesn’t? Spending less? So fewer roads, sewer, school, Police, fire, Border Security, City planning? Construction Inspections by code enforcement? How about letting the free market ‘self regulate’ air traffic control, oil drilling and food products? No, we need government and be extension taxes to pay for the common usage(good?). But what we want to make sure is that we don’t have a corrupt goverment at any level city, state, or Federal. And for the most part that’s the case in most western democracies.

    So think of it this way, If you went to Best Buy or Target, you pay your tax at the checkout counter. So now when you shop on line, you pay your tax when you give them your credit card.? Your city/ and State need that 7% of your sale to keep thing going locally. It’s not a new tax. it’s ENFORCING the taxes already on the books.

  12. The problem: no matter how much they take, to pay for whatever it is they demand be paid for, it is never enough. They can never have enough of our money, our time, or our liberty. To quote Steve Jobs’ character in Pirates of the Silicon Valley, “You’re stealing from me!!!” Jobs is more capitalist than you would like to admit. Maybe they were always right; he is the best showman alive.

  13. @Grognard

    Now more people will shop in store than online. If they slap a tax on the item it may be well worth it to just drive and get it than to pay the tax and shipping. Atleast for things that are buyable in store and not too far where it would make a difference in gas. But for the most part probably cost whatever it is for 1 gallon of gas to get to a store or 2 at the most depending on your vehicles mpg.

    Though shopping at newegg for drives and getting taxed on it will still be cheaper than most other places.

  14. @ John Adams,

    Whilst this deficit was brought to you by the Republican Party, the party of borrow-and-spend.

    @ h2a,

    So you’re expecting consistency from MDN. Please let me know how that works out.

    @ HMCIV,

    By way of support, I love it when right-wingers parrot their Reagan soundbites, but then complain when the Federal government isn’t able to respond to emergencies like the Gulf Of Mexico oil spill.

  15. I’m not necessarily opposed to this. Depends on the amount. The present arrangement is hurting the local Mom and Pop stores, who have to add state taxes to the cost of their products. We need to protect those stores by keeping the playing field level. Plus, the present arrangement is hurting the states, who are already suffering big time. I would like this better if there were a balancing tax cut so the net effect would be zero on average, but that’s probably too much to hope for.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.