Quote:
Originally Posted by jimbo2012
Being an owner of retail stores and a Internet website, I see both sides.
As a online dealer it's great we offer low prices no taxes, as retail store we always have people come in asking to match the price on something, even if we match they scream that they still have to pay tax.
It hurts the retail store many times, this will level the playing field in several respects.
Now back to Internet sales, there are about 5,000 different tax codes for all the counties thru out the US, it is nightmare to manage all that and then mail checks to each taxing authority.
If there is a nationwide tax it should be flat rate not each county.
Sucks both ways, but the tax we feel is a better way to go.
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The bill requires that any state which chooses to implement a requirement for collecting this tax also provide for free the software needed to simplify the merchants job in correctly managing the amount of tax... From the bill:
(D) Provide--
(i) adequate software and services to remote sellers and single and consolidated providers that identifies the applicable destination rate, including the State and local sales tax rate (if any), to be applied on sales sourced to the State,
I would think this could be as simple as an app where the seller enters the charges and the zip code for shipping and it gives the correct additional sales tax to be added.
Additionally it is very clear that the merchant is required to remit the total tax to a single entity in the state not to each locality. The state would be responsible for distribution to each locality.
(A) Provide--
(i) a single State-level agency to administer all sales and use tax laws, including the collection and administration of all State and applicable locality sales and use taxes for all sales sourced to the State made by remote sellers
I do foresee the possibility of companies adding tax and never remitting it to the state. I know that already occurs with brick and mortar companies.