State Coalition Approves Internet Sales Tax Plan (The Greedy Hand At Work!)

Washington (com)Post ^ | 11/12/2002 | Brian Krebs

[Recovering_Democrat]

Revenue-hungry states today took the first step toward building a national framework for taxing items sold over the Internet.

In a meeting in Chicago, lawmakers and tax officials from 30 states -- including Virginia and the District of Columbia - endorsed a proposal to simplify their tax laws and enter into a voluntary pact to collect online sales taxes.

[Recovering_Democrat]

The Greedy Hand is now trying hard to steal from your pocketbook. Let these people know you won't stand for it!

[Gorzaloon]

Any time I buy online, when an attempt is made to charge a Sales Tax, I cancel the sale.

It speaks in the loude$t voice of all. Only if a business has a business presence in my state, can they collect it.

Some people in business tell me they pocket it..In this way, the "Free Shipping" is paid for.

A relative in the computer business tells me that this is the entire basis of computer shows. Most of the fly by night dealers are hundreds of miles away in a few days. They sell 5% off, and charge a 7% sales tax...Which they pocket.

[TopQuark]

Why is the imposition of this tax a manifestation of a Greedy Hand? Could you explaint that?

And, while at that, do you see any other considerations for the imposition of the internet tax?

[HoundsTooth_BP]

You know the greedy people that run state governments want to destroy the Internet as we have known it. The post office doesn't like it because they think it robs them of revenue, but I have news for them, we would not send that slow mail anyway. Also, I am sick that they want to charge for us to listen to radio stations. You cannot hear all that well if you live where you have a slow connection. But, someday you might go to that big city and buy some advertised product and give them some sales tax money.

[toddst]

I hope these people provoke enough people into anger and action to stop this nonsense. As someone who markets quality items via the internet I have NO interest in what these people are trying to do. They already steal way more than what's a proportionally fair share of my money.

[HoundsTooth_BP]

You know it made me angry at Rush that he charges for his Internet radio, so although I like him and listen to him on the radio, I do not go to his web site very often. If he had not done that I would probably put it up for my home page. Rush's position on charging for everything like it was stealing about these music cd's seemed crazy to me too. You can listen to the radio and tape what you want, so what is the difference?

[greasepaint]

Is there a way to find out the names of the people
involved?
These cockroaches won't like it someone turns the light
of public attention on them.

[Recovering_Democrat]

Why is the imposition of this tax a manifestation of a Greedy Hand? Could you explaint that?

Absolutely. The term comes from Thomas Paine, as explained in the book of the same name by Amity Shlaes. The Amazon.com review says it very well:

The average family with two wage-earners is now seeing almost 40 percent of its money go to local, state, and federal taxes. "The greedy hand of government"--first described by American revolutionary Thomas Paine--is greedier than ever, creating a situation ripe for tax reform, if not revolt, Shlaes writes. "We think of our forefathers who felt compelled to rebel against the Crown for 'imposing Taxes on us without our consent.' We know we live in a democracy, and so must have chosen this arrangement. Yet nowadays we find ourselves feeling that taxes are imposed on us 'without our consent'," she writes.

What we need are fewer taxes. Not more.

[xNavspook]

It ignores the fact that sales and use taxes aren't imposed on people who collect them, they are paid by the people doing the buying," Leavitt said.

This part of the article is not true. Collecting sales tax does cost the vendor time and money. It's hardly worth it for the little guy any more. I used to sell computer goods and web hosting online. Now I just sell web hosting. In CT, web hosting is exempt from sales tax. Of course the state still wants you to send in all the paperwork, even when you don't owe them anything.
I think it's much better to have no online sales tax and leave it to the buyer to pay the use tax.

[caisson71]

Leading the "charge" is Utah Republican Governor Leavitt. I guess he doesn't get the message of November 5. We can't blame only the Democrats.

[Recovering_Democrat]

You know it made me angry at Rush that he charges for his Internet radio, so although I like him and listen to him on the radio, I do not go to his web site very often.

Why does it make you angry? You aren't forced to purchase his product. He has a lot of stuff for free on the site. I think he's doing a great job--practicing the capitalism he preaches.

I am not a subscriber to Rush's site, but I'm not mad at him for making extra $$ on the 'net.

He's got a point about downloading music, though I must admit for me personally, it has resulted, I know, in me buying more music than I had before. I'll download some stuff from an artist I've only heard once or twice, and then if I like it I'll go buy a CD. File sharing, in my case, has resulted in MORE CD sales for the RIAA.

[TopQuark]

What we need are fewer taxes. Not more. That is an incorrect conclusion from the premise. What we need is lower total tax. This is what motivated my question.

The absence of taxation on internet hurts small businessman with brick and mortar shops. That is both unfair and unproductive (creates allocative distortions). What one needs to do is to introduce an internet tax and reduce the current tax liability.

[razorbak]

I listen to Rush's internet broadcast and have never paid for it.

[Recovering_Democrat]

That is an incorrect conclusion from the premise. What we need is lower total tax. This is what motivated my question.
The absence of taxation on internet hurts small businessman with brick and mortar shops. That is both unfair and unproductive (creates allocative distortions). What one needs to do is to introduce an internet tax and reduce the current tax liability.

I think your conclusion is partially wrong. The solution to helping a brick and mortar business is not to impose more taxes on the users of internet commerce. Who is keeping the brick and mortar businessman from entering cyberspace? No one.

Although we do agree the current tax liability should be reduced. :)

[_Jim]

You know it made me angry at Rush that he charges for his Internet radio,

Are you dysfunctional or something?

He CHARGES for the SERVICE of re-playing a broadcast, but his LIVE internet broadcast can be had FOR FREE ...

(You DON'T THINK that it takes real, live RESOURCES to provide ANY kind of service on the internet?)

[rivercat]

The absence of taxation on internet hurts small businessman with brick and mortar shops.

Catalog sales (paper) don't charge sales tax for out-of-State sales. Are you suggesting that they be taxed also? Why is the internet any different?

[HoundsTooth_BP]

(You aren't forced to purchase his product. He has a lot of stuff for free on the site. I think he's doing a great job--practicing the capitalism he preaches.)

Yes, he has a right to do that. I am sure he wants me to listen to him on the radio, so why not the net. It seems that sometimes one gets greedy. But that is okay, I hope he makes all the money he wants too, I just am not going to pay for it in that way. My main complaint is the stopping of radio stations sending out the radio Internet at the same time the station is playing, because I live in a rural area where I do not get those stations. I cannot see how that hurts anyone.

[Nuke'm Glowing]

" The absence of taxation on internet hurts small businessman with brick and mortar shops."

You are flying into the face of the premise of free enterprise. I own both. I set up two seperate companies, one brick and mortar and to exploit my volume discounts an internet resale company also. I now dedicate 80% of my resources to the internet business because my cost structure is lower AND I am not being over-regulated to death nor overtaxed to death. If you are trying to use taxation to structure social policy to preserve brick and mortar shops, then you are no better than the tax and spend Pelosis and Kennedys of this world.

"That is both unfair and unproductive (creates allocative distortions)."

Another false premise. Most of my older customers now prefer to deal with my internet company? Why? Because I can sell at a lower cost. Someone has to manufacture the goods I sell. So I cut back on my local employment (thank you Workman's comp and a multitude of other absurd taxes) and increased what I purchased from the manufacturer because I could afford to charge lower prices to my clients and make a higher profit. Overhead is reduced. Customers are happier and I get a higher market share. It's called capitalism. It also introduces efficiency into the market place which is a requirement for growth in any industry. If you want a "fair" economy, move to Cuba or France.

"What one needs to do is to introduce an internet tax and reduce the current tax liability."

I apologize in advance for this:

BWHWHAHAHAHAHAHAAHAHAH

Since when the hell has any government EVER reduced the tax level AFTER a new tax has been intorduced???? We are still paying a telephone excise tax that was introduced in 1898 to pay for the Spanish-American War!!!!!!

I'm sorry but your statements ring hollow. They sound like those of my competition which has been whalloped by my business because they were not nimble and I was. You want a liberal solution to a business problem. Government does not make things fair or equal. Government action distorts and slows down free enterprise and innovation.

[Nuke'm Glowing]

If any company wants to charge for a service they have the right to. The day we introduce regulations forcing companies to share their goods to be "fair" then we might as well remove the stars and put the hammer and sickle on the flag instead.

[HoundsTooth_BP]

(I listen to Rush's internet broadcast and have never paid for it.) Yes, when he is playing on the air you can go to his website and listen. What I was referring to is that radio stations around the country can play his show, but they can no longer send it out on the Internet. You must go to his website to listen. Hope you understand what I mean.