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The Internet Is For...Taxes


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Once again some douchebag asshat rocket surgeon wants to allow states to collect sales tax on Interwabs purchases

 

http://news.cnet.com/8301-13578_3-20009603...g=2547-1_3-0-20

 

So what if I, a MD resident (6% sales tax rate) am at a free WiFi spot in Pittsburgh (7%) buying something online and having it shipped to my dad in Niagara Falls (8%)? Does that incur a 7% sales tax for the point of sale, 6% for my being a MD resident, or 8% for the point of shipping? Or - most likely - all three? :devil:

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So what if I, a MD resident (6% sales tax rate) am at a free WiFi spot in Pittsburgh (7%) buying something online and having it shipped to my dad in Niagara Falls (8%)? Does that incur a 7% sales tax for the point of sale, 6% for my being a MD resident, or 8% for the point of shipping? Or - most likely - all three? :devil:

In my work, we often place orders for machinery/equipment from a few suppliers. They charge us sales tax based on which office it's being shipped too.

 

I thought the majority of online stores already charged sales tax? I know I pay tax all the time on internet orders. But maybe not from all places, I guess. ... I just checked some saved receipts for a few big ticket items (computers, software, etc.) I paid tax on them all. So, why am I the only one getting screwed?

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In my work, we often place orders for machinery/equipment from a few suppliers. They charge us sales tax based on which office it's being shipped too.

 

I thought the majority of online stores already charged sales tax? I know I pay tax all the time on internet orders. But maybe not from all places, I guess. ... I just checked some saved receipts for a few big ticket items (computers, software, etc.) I paid tax on them all. So, why am I the only one getting screwed?

 

They only charge tax if the store has a "brick and mortar" presence in the state. Retail outlet, service center, warehouse, etc

Check if the seller has a physical presence in your state. If they don't, they shouldn't be charging you sales tax

 

And I love how Tom is asking a question how something would work. What an Idiot :devil:

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So what if I, a MD resident (6% sales tax rate) am at a free WiFi spot in Pittsburgh (7%) buying something online and having it shipped to my dad in Niagara Falls (8%)? Does that incur a 7% sales tax for the point of sale, 6% for my being a MD resident, or 8% for the point of shipping? Or - most likely - all three? :devil:

I would think the billing address of the card

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+1

 

The address is where the billing transaction occurs

 

NYS law specifically states "shipping address" for mail-order and internet purchases. But that doesn't mean PA can't also levy sales tax for the transaction being placed in their state - they are not bound by NY law. And it doesn't mean MD can't levy sales tax based on the billing address of my credit card - they already have a use tax in place that residents are required to pay on out-of-state purchases.

 

There is actually nothing preventing my hypothetical transaction from being triple-taxed at 21%. It's already taxed at 14% (NY and MD sales tax), in point of fact.

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NYS law specifically states "shipping address" for mail-order and internet purchases. But that doesn't mean PA can't also levy sales tax for the transaction being placed in their state - they are not bound by NY law. And it doesn't mean MD can't levy sales tax based on the billing address of my credit card - they already have a use tax in place that residents are required to pay on out-of-state purchases.

 

There is actually nothing preventing my hypothetical transaction from being triple-taxed at 21%. It's already taxed at 14% (NY and MD sales tax), in point of fact.

Not to mention the possibility of a national VAT which would be used to, well bail out the various states that have overspent themselves into bankruptcy.

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And once again, I will say the same thing I always say:

 

This will last 3 days until somebody brings in a real consultant who tells them what will really happen if they pursue this.....

 

....and on the 4th day, they will proclaim that the issue "needs more study".....never to be heard from again....

 

 

Elliot Spitzer did the same thing when he first took office, and he wasn't the first dipschit Democrat to try this, and he won't be the last. I am starting to think that this is simply a ploy that liberal politicians use to scare everybody else but internet business.

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NYS law specifically states "shipping address" for mail-order and internet purchases. But that doesn't mean PA can't also levy sales tax for the transaction being placed in their state - they are not bound by NY law. And it doesn't mean MD can't levy sales tax based on the billing address of my credit card - they already have a use tax in place that residents are required to pay on out-of-state purchases.

 

There is actually nothing preventing my hypothetical transaction from being triple-taxed at 21%. It's already taxed at 14% (NY and MD sales tax), in point of fact.

Which means people will start using an off-shore pay-pal, all hosting is moved off-shore, shipping is done through consignment with a layer of abstraction between the transaction and the shipment, also done off shore.....

 

....and American IT gets the shaft, once again. What a great way to "create jobs". When are they ever going to learn? Corporations never pay taxes, they simply pass it on the consumer by increasing prices, and, for every dopey law they pass, people will always pay us heavy to find a way around it.

 

I have just given you the answer to any and all "Tax the Internet" plans, and I did it 30 seconds. The consultant they hire is sure to charge them for at least a day, and say the same thing. :devil: The cost of regulating this, in and of itself, will cancel out any increased tax revenue, and if anything will end up costing even more.

 

This is IT world, not brick and mortar, and it appears that Democrats will be the last to understand that concept. I was almost certain it would be Bank VPs, who started as tellers or accounting clerks, but I guess I was wrong...these are the same people who think that manufacturing will return to NYS...if they keep raising taxes, if they keep insisting that a "living wage" gets paid, and that union largess is a good idea.

 

(Edit: your local Indian Reservation is a perfect place to host a server)

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Another one of those emails that people send around every so often...

 

A shepherd was herding his flock in a remote pasture when suddenly a brand-new BMW advanced out of the dust cloud towards him. The driver, a young man in a Broni suit, Gucci shoes, Ray Ban sunglasses and YSL tie, leaned out the window and asked the shepherd... "If I tell you exactly how many sheep you have in your flock, will you give me one?" The shepherd looked at the man, obviously a yuppie, then looked at his peacefully grazing flock and calmly answered "sure".

 

The yuppie parked his car, whipped out his IBM ThinkPad and connected it to a cell phone, then he surfed to a NASA page on the internet where he called up a GPS satellite navigation system, scanned the area, and then opened up a database and an Excel spreadsheet with complex formulas. He sent an email on his Blackberry and, after a few minutes, received a response. Finally, he prints out a 130-page report on his miniaturized printer then turns to the shepherd and says, "You have exactly 1586 sheep. "That is correct; take one of the sheep." said the shepherd. He watches the young man select one of the animals and bundle it into his car.

 

Then the shepherd says: "If I can tell you exactly what your business is, will you give me back my animal?", "OK, why not." answered the young man. "Clearly, you are a consultant." said the shepherd. "That's correct." says the yuppie, "but how did you guess that?" "No guessing required." answers the shepherd. "You turned up here although nobody called you. You want to get paid for an answer I already knew, to a question I never asked, and you don't know crap about my business...... Now give me back my dog."

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Another one of those emails that people send around every so often...

 

A shepherd was herding his flock in a remote pasture when suddenly a brand-new BMW advanced out of the dust cloud towards him. The driver, a young man in a Broni suit, Gucci shoes, Ray Ban sunglasses and YSL tie, leaned out the window and asked the shepherd... "If I tell you exactly how many sheep you have in your flock, will you give me one?" The shepherd looked at the man, obviously a yuppie, then looked at his peacefully grazing flock and calmly answered "sure".

 

The yuppie parked his car, whipped out his IBM ThinkPad and connected it to a cell phone, then he surfed to a NASA page on the internet where he called up a GPS satellite navigation system, scanned the area, and then opened up a database and an Excel spreadsheet with complex formulas. He sent an email on his Blackberry and, after a few minutes, received a response. Finally, he prints out a 130-page report on his miniaturized printer then turns to the shepherd and says, "You have exactly 1586 sheep. "That is correct; take one of the sheep." said the shepherd. He watches the young man select one of the animals and bundle it into his car.

 

Then the shepherd says: "If I can tell you exactly what your business is, will you give me back my animal?", "OK, why not." answered the young man. "Clearly, you are a consultant." said the shepherd. "That's correct." says the yuppie, "but how did you guess that?" "No guessing required." answers the shepherd. "You turned up here although nobody called you. You want to get paid for an answer I already knew, to a question I never asked, and you don't know crap about my business...... Now give me back my dog."

:devil: These never get old for me.

 

My favorite email is: You know you have been a consultant too long when....

 

....you are friends with the hotel staff.

 

....you realize that the hotel staff are your only friends.

 

Oh, and you can diss us all you want, but, when it's all on the line, and it's either your kids do or don't got to college based on what happens, or, you need an original idea/something completely different that will work....my Blackberry? that you don't like? ....you call it, and you are happy you know the number.

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