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Post by Johnkenn on Jun 22, 2018 11:43:35 GMT -6
So - I realize none of this has come to pass, but are they suggesting that you only pay taxes if you do more than $100k in sales?
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Post by EmRR on Jun 22, 2018 11:45:37 GMT -6
So - I realize none of this has come to pass, but are they suggesting that you only pay taxes if you do more than $100k in sales? That's gonna depend on the state, and when they do what.
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Post by winetree on Jun 22, 2018 11:48:07 GMT -6
How much does the government pay business for accounting, collection, and payment of sales tax collected? This is another burden Government puts on all businesses to do their work for free.
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Post by matt on Jun 22, 2018 12:02:36 GMT -6
we all like pushing the "buy" button and having UPS show up two days later For your business, the sale is instantaneous. That was not the case, ever, in the pre-Internet age. Software was delivered by mail like any other product- in a box. In many ways we are spoiled. I'm definitely not complaining. As an example, I purchased your Nimbus/R4 Stereo Bundle the other day and my previous bundle was so old the iLok update didn't work. You personally saw that my issue was resolved in less than 30 minutes! And it was accomplished 100% over the Internet. That's awesome, and appreciated. I think back on the pre-Internet world and shudder. How did we survive? By doing business as it was done for hundreds of years. Not anymore!
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Post by EmRR on Jun 22, 2018 12:36:03 GMT -6
How much does the government pay business for accounting, collection, and payment of sales tax collected? This is another burden Government puts on all businesses to do their work for free. WE are the government. We are paying ourselves. One way or the other.
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Post by Deleted on Jun 22, 2018 12:49:08 GMT -6
So - I realize none of this has come to pass, but are they suggesting that you only pay taxes if you do more than $100k in sales? There's probably a minimum reasonable trigger for any state as well. It would be too much bother for you to collect and pay tax on a single $200 sale to, say, Montana. And it would probably be too much bother for them to collect and account for it. I can see some time in the future where there might be some sort of automatic payment system that could collect and distribute this for the nation--let's say a service that states might join--but that won't be next week. The one nightmare I really want to avoid is dealing with VAT in the EU and other places off our shores.
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Post by drbill on Jun 22, 2018 12:49:51 GMT -6
How much does the government pay business for accounting, collection, and payment of sales tax collected? This is another burden Government puts on all businesses to do their work for free. WE are the government. We are paying ourselves. One way or the other. That's pretty idealistic Doug. I'd modify that statement...... We empower government to pay themselves, and the uber rich and corporations.
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Post by winetree on Jun 22, 2018 12:53:26 GMT -6
"WE are the government. We are paying ourselves. One way or the other."
Yea, I'd like to think so. No further comment do to possible political responces.
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Post by adamjbrass on Jun 22, 2018 12:55:27 GMT -6
This seems to be evening the playing field for online retail. Interesting times ahead.
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Post by EmRR on Jun 22, 2018 12:56:53 GMT -6
There is no 'they'. Only 'we'. Read what you want into that, consider all the angles.
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Post by christopher on Jun 22, 2018 12:57:14 GMT -6
I drive at night and listen to satellite radio. The news channels, (CNBC-FOX-Bloomberg).. once the ruling came through they immediately started saying it's a green light for every district to charge taxes. But only the state of South Dakota right now is ready. Who knows if this is fake news.. but here you go: They've been saying the seller(dealer) has to collect the tax according to each county at purchase time.. then send a payment to each of the counties and states come tax time. So yeah they are complaining that there's no organized way to do this, and there are up to 10000 different tax areas. So they say Amazon will be fine, they have the money to deal with the nightmare, but small online businesses ..etsy, etc.. are going to have to deal with crazy headaches. I personally think either congress will change the law, or PayPal will add this stuff into their services. I wouldn't worry too much at this point. Still... it's pretty crazy to think about :\
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Post by spindrift on Jun 22, 2018 13:00:09 GMT -6
As much as I lament living in rural Oregon and the relatively dull music scene, we ain't got no sales tax (yet)! Now (with the lack of musicians), I'll just huddle in the corner and carress my shiny audio baubles. Attachments:
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ericn
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Post by ericn on Jun 22, 2018 13:48:01 GMT -6
Yes but it will be the buyers State tax that will be changed, not the sellers. So everything is equal. Plus at this point it is only state being collected not local. So if your buyer is in TN he will pay the same tax no matter who he buys from. Are you sure? I would think the sales tax that would be charged would be from the point of the sale. So - all sales that I make would be subject to TN state sales tax. Nope it’s the buyers location, other wise South Dakota would have just needed to pass a law charging all internet sales from in state vendors a sales tax rather than roll the dice on the courts.
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ericn
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Post by ericn on Jun 22, 2018 13:49:26 GMT -6
How much does the government pay business for accounting, collection, and payment of sales tax collected? This is another burden Government puts on all businesses to do their work for free. Government Compliance has always been part of the cost of doing business.
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ericn
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Post by ericn on Jun 22, 2018 13:56:32 GMT -6
Speaking as someone whose business is nearly entirely online, I've been waiting for this for quite some time. My dread is not really based on collecting and paying the taxes--as long as it's easy to manage. The real issue is whether or not I (or my accountant) have to worry about the time administering and paying a small amount for a state where I do limited sales. In those cases, a handful of sales probably aren't worth the bother. Kansas (the original plaintiff) was trying to establish $100K in sales--for sales in the state of Kansas--as the trigger for collecting taxes. That seems pretty reasonable and I hope that other states come to similar conclusions. This party's been nice while it lasted, but it really had to end sometime. We all like smooth roads, good schools and safe public places. Those aren't free. I don't mind paying for that and I hope it's the same for my customers. It's true that every state will spend tax money in ways we don't like. Utah, where I live, always seems to spend a few million a year on stupid moralistic message bills. But they would anyway. The slow death of brick-and-mortar meant those taxes weren't being paid. I don't think this so-called "level playing field" is going to bring them back (we all like pushing the "buy" button and having UPS show up two days later). But it's kind of hard to argue against paying for what we use. My neighbor who’s a tax lawyer and I were talking about this last night and here’s the thing, best to invest in software that just charges collects and distributes taxes for all entities that have a sales tax; because if the requirement kicks in for let’s say 100 transactions for KY they are not going to require the sales tax for just transaction number 101 and beyond they are going to want it for every transaction that tax year. Do you really want to possibly take the hit at tax time? Or have money earmarked in the bank?
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ericn
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Post by ericn on Jun 22, 2018 13:58:54 GMT -6
As much as I lament living in rural Oregon and the relatively dull music scene, we ain't got no sales tax (yet)! Now (with the lack of musicians), I'll just huddle in the corner and carress my shiny audio baubles. So any really big purchases go through Spindrift! Time to invest in a mailbox place in Oregon to help people dodge sales tax on major purchases 😁
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Post by Deleted on Jun 22, 2018 14:12:42 GMT -6
Do you really want to possibly take the hit at tax time? Or have money earmarked in the bank? The only place for which I currently have to collect sales tax is Utah. So of course that amount of money is earmarked in the bank. The card processors I use and the shopping cart I employ actually make it pretty easy to withhold the proper amount of money based on the state of the buyer's residency. And I get big Excel files that tell me all about the particulars of the transaction (except credit card numbers, which I don't want). I am responsible for not spending that money. But of course it's not my money anyway. The real potential bother is how I get the money to the state. Since I'm incorporated here, I've got a payment portal and I don't have to use it but once a year. I'd be a lot less happy if I had to duplicate that process 50 times every year. But of course (assuming 100K as a threshold) if I crossed that threshold for all fifty states I wouldn't be complaining ;-)
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Post by drbill on Jun 22, 2018 14:16:26 GMT -6
I drive at night and listen to satellite radio. The news channels, (CNBC-FOX-Bloomberg).. once the ruling came through they immediately started saying it's a green light for every district to charge taxes. But only the state of South Dakota right now is ready. Who knows if this is fake news.. but here you go: They've been saying the seller(dealer) has to collect the tax according to each county at purchase time.. then send a payment to each of the counties and states come tax time. So yeah they are complaining that there's no organized way to do this, and there are up to 10000 different tax areas. So they say Amazon will be fine, they have the money to deal with the nightmare, but small online businesses ..etsy, etc.. are going to have to deal with crazy headaches. I personally think either congress will change the law, or PayPal will add this stuff into their services. I wouldn't worry too much at this point. Still... it's pretty crazy to think about :\ yup. I suspect an "internet" tax law at some point - administered by the feds, with them taking the lion's share, and some trickle down to the states.....
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Post by swurveman on Jun 22, 2018 14:24:43 GMT -6
It's yet another case of technology subverting the status quo. When you think about it, being able to instantly purchase something -anything!- from someone thousands of miles away is a game-changing shift in the retail sales paradigm and has already had a seismic impact on the business world. This latest is part of the fallout. As sellers and purchasers of expensive gear, we have enjoyed the interim period. I am sad to see it go, as is my wallet. I foresee deeper discounting to make up for the painful bump in final prices. In one of those random connections that happens in life, I worked at Sears in the 90s and I remember the then-CEO saying that in his opinion, the Internet was a place for crackpots and would never amount to anything. The company shut down it's catalog just as online sales started taking off. The penalty has been harsh, as it always is in business- Sears has been on a death watch for years, and will no doubt disappear. The store I worked at in urban Phoenix is closing, along with 100s of others. Survival of the fittest, distilled. The American way. The one thing nobody has been talking about is the fact that suddenly the penalty for setting up a distribution center in another state is gone! This might mean we all get stuff faster. Look collecting taxes in every state hasn’t hurt Amazon one bit! I wonder what it's going to do to the used market. For example, that shipping fee to California-seller usually pays 2.9% pay pal- is less compared to the 7.25% sales tax on new goods when you look at higher end purchases. Like you said, maybe the dealers will discount new goods though. We'll see.
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Post by Bender on Jun 22, 2018 15:16:04 GMT -6
While I understand what you’re saying, I think 90% of the time, people will go with the cheaper price all other things being equal. This! It's a race to bottom as my primary chaching online is from building kit's like CAPI & hairball on reverb...and the prices at times are a race to the bottom as of late. Not to mention those that STILL send me offer's either barely above price cost's or 10 bucks under asking price....in both those cases if I don't accept I never hear from them again.
OVER 10 bucks!!! After reverb fee's(selling & transaction), parts & final shipping and insurance and now tax on top of it- things are gonna have to get more expensive. Cheaper than brick and morter considering overhead, yeah probably, but once those big boy's realize it's not economical and they all streamline their business to adapt to online sales they'll have the power & resources to take advantage and squash the little guys out probably....
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Post by Bender on Jun 22, 2018 15:18:56 GMT -6
How much does the government pay business for accounting, collection, and payment of sales tax collected? This is another burden Government puts on all businesses to do their work for free. WE are the government. We are paying ourselves. One way or the other. Except we aren't... Our "representatives" don't keep the publics interest into account...BLUE or RED, they're both in the pockets of high paying special interest group,think tanks,& corporations that they CAN'T run for election & win without. Not to get all political, but political finance reform should be everyone's TOP priority these days...but that's unfortunately not the case.
All that with the destruction of net neutrality & now those financier's mouths are really watering...
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Post by swurveman on Jun 22, 2018 16:18:24 GMT -6
How much does the government pay business for accounting, collection, and payment of sales tax collected? This is another burden Government puts on all businesses to do their work for free. To be fair, I just got a 20 percent tax cut due to my shares in my S Corporation and my S Corp got to depreciate $600,000.00 off of our total net revenue to make my tax burden even less. I'm gonna pay about half of what I did last year in taxes.
Oh yeah, that Aluminum tariff: We passed in onto the consumer.
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ericn
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Post by ericn on Jun 22, 2018 22:02:59 GMT -6
Do you really want to possibly take the hit at tax time? Or have money earmarked in the bank? The only place for which I currently have to collect sales tax is Utah. So of course that amount of money is earmarked in the bank. The card processors I use and the shopping cart I employ actually make it pretty easy to withhold the proper amount of money based on the state of the buyer's residency. And I get big Excel files that tell me all about the particulars of the transaction (except credit card numbers, which I don't want). I am responsible for not spending that money. But of course it's not my money anyway. The real potential bother is how I get the money to the state. Since I'm incorporated here, I've got a payment portal and I don't have to use it but once a year. I'd be a lot less happy if I had to duplicate that process 50 times every year. But of course (assuming 100K as a threshold) if I crossed that threshold for all fifty states I wouldn't be complaining ;-) I’m going to bet your sales platform provider makes this super simple because if they don’t they are going to lose customers who are thinking “I don’t have time for this shit” infact I’ll bet PayPal has had something ready to roll on their hard drives for at least 12 years.
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Post by Blackdawg on Jun 22, 2018 23:22:26 GMT -6
hmm. Maybe I should start slinging gear. No sales tax in MT
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Post by jtc111 on Jun 23, 2018 8:57:11 GMT -6
How much does the government pay business for accounting, collection, and payment of sales tax collected? This is another burden Government puts on all businesses to do their work for free. WE are the government. We are paying ourselves. One way or the other. You must have me confused with a military defense contractor.
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