Just internet small business.
And I’m under the impression, the way it’s worded, that it means that a retailer in Washington State, must charge Washington State sales tax on a sale to someone in Oregon because they bought from the Washington state business.
If this is true, a LOT of small businesses who do a lot of internet business could just move to Oregon.
If they are saying the sales taxes at the place where the person lives is to be charged, well, that’s a logistics nightmare.
But the former suggests that the ONLY tax due regards where the business is, not where the purchaser is. With Amazon it’s easy. I’m in Kentucky, their fulfilment center is here. All my purchases get charged a KY state income tax.
The tax will be charged by the state of the recipient. As for logistics, get real, this is the computer age.
It’s probably if you are in CA and order something that person must charge you CA tax and remit it to CA
What I understand is that sales taxes arise where the ownership of the merchandise changes hands occurs. Most products sold online are shipped FOB (Free on Board) Shipping Point meaning that the buyers ownership takes place at the sellers shipping dock. The alternative to that is FOB Destination in which case the seller retains ownership until delivered to the buyer’s dock.
The state in which the ownership transfer takes place is the place where any sales tax can be assessed (usually FOB Shipping Point these days). It only makes sense. Imagine the paperwork SNAFU if a seller ships FOB Destination! He’d have to keep track of taxes for all fifty states (57?), collect them, and then remit them to the buyer’s state (quarterly???) What a nightmare!