General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsVirtual Stores Should Pay Real Taxes
http://www.bloomberg.com/news/2013-04-23/virtual-stores-should-pay-real-taxes.htmlSince the birth of the Internet, online retailers and consumers have guarded the tax-free click. Not having to collect state sales taxes has allowed digital stores to flourish. Shoppers have been able to find what they want in regular stores, only to order the same product online -- tax-free.
And online sales have exploded. Last year, the U.S. Census Bureau estimates, retail e-commerce totaled $225 billion, an increase of almost 16 percent from 2011. Online purchases now account for 5.2 percent of total retail sales.
The subsidy -- worth about $23 billion today, according to Bloomberg News, and about $52 billion in unpaid state sales taxes since 2006 -- has helped nurture e-commerce through its startup, even if success came at the expense of brick-and-mortar rivals. But now that e-commerce has grown up, it isnt necessary to keep coddling the industry.
The Barack Obama administration agrees, as do many U.S. senators. Seventy-four of them voted yesterday to begin debating legislation that would allow states to collect taxes from out- of-state Internet vendors selling goods to their residents.
bowens43
(16,064 posts)the rich get richer the poor get poorer........
Nothing but a giveaway to big box retailers. No surprise here.
Obama's legacy
PeaceNikki
(27,985 posts)I don't mind paying my fair share towards education, social programs that help the poor and public employees like police and fire.
I am certainly nowhere NEAR being 'rich' and the total of my taxes due on internet purchases annually is only a slight reduction to my refund.
but, please, go on with your anti-Obama screed.
Laelth
(32,017 posts)They're regressive, and they have a negative impact on the economy by slowing down consumption. Sales taxes are an inherently bad way to generate government revenue.
The income tax is far more progressive, as are inheritance taxes and luxury taxes. I'd prefer to see increases in those rather than more sales taxes.
-Laelth