Sales Tax on Internet Sales....
Today it was announced that the US Supreme Court ruled (in a case brought by South Dakota) that all internet retailers may be required to collect Sales Tax for those states that require it. Not all states have planned or will be ready to enforce this decision but I can tell from personal knowledge that California has been planning on how to handle this situation and licking their chops for several years now.
The potential impact of this will be on small internet retailers (think fly shops with internet sales) and to increase prices of goods sold over the internet. The application of Use Tax is unchanged by this decision. So, the days of buying without Sales Tax on the internet are probably numbered.
This may mean the end of some smaller retailers who depend on internet sales. Just imagine what it would be like to try to determine what the correct rate of tax is for every location (local/state) for each state that has a sales tax. In California, alone, there're 58 counties and not all have the same local tax rate. Even with charts, it takes time away from the brick/mortar store for a sole proprietor to calculate/collect/report/pay this tax to each taxing agency, every quarter or annually. There'll probably be a swift reaction and call for some action on the part of congress to solve this situation but I wouldn't count on it.
"America is a country which produces citizens who will cross the ocean to fight for democracy but won't cross the street to vote."
Author unknown
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