In this case we have one retailer across the border in a no tax state and one retailer local.
We've already determined that it is fine for me to drive across the border to buy from them. Why wouldn't it also be ok to call them on the phone, or use the net, to order from them and have it shipped? It's the same exact thing. If they have no presence in the state then the state cannot force them to do anything.
Now the Texas case specifically is different because Amazon "may" have a presence in Texas. It claims that the distribution center is a legallydistinct organization. If it is, That is if Amazon pays the distribution center to send orders out, then Amazon has no presence in the state.
I'd guess it to be analogous to the Coca-Cola distribution method. Coca-Cola is based somewhere (Atlanta?) yet they have independant bottling companies scattered across the land. They don't own the bottlers, they just use them.
Its not about them being in a different state. My point was that internet business should be taxed the same way that brick and mortar businesses should. If a state (Tx) charges sales tax in a location, then it should charge sales tax virtually.
How many states dont require a sales tax?
As for the phone, if you drive from one state to another, you are doing business in the state you drove to. If you call or order online, then you are actually doing business in both. Since sales tax is usually pushed through to the final destination, then the state you order from should be the amount of tax you pay. Its the same as ordering from the Sears catalog. If we exempt sales tax because it is a virtual business, how is that creating a fair and free marketplace?