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Fight Expected In House On Online Sales Tax

#1 User is offline   azjetfan Icon

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Posted 07 May 2013 - 08:51 AM

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(Reuters) - The Senate voted overwhelmingly on Monday to give states the power to enforce their sales tax laws on online purchases, but the legislation faces a tougher fight in the Republican-controlled House of Representatives.

The Democratic-controlled Senate voted 69 to 27 to back the measure, which pits brick-and-mortar stores like Wal-Mart Stores Inc and cash-hungry state governments against such Web retailers as eBay Inc and Republicans wary of new tax measures.

"Call me a conservative, but I believe the right approach to tax fairness is to reduce rates not force higher rates onto others," said Tom Graves, a House Republican from Georgia.

House Speaker John Boehner plans to send the bill to the House Judiciary Committee, a senior Republican aide said. That will mean hearings ahead. The Senate uncharacteristically bypassed this step.

Judiciary Committee Chairman Robert Goodlatte, a Republican, has reservations about the legislation, including its complexity and potential impact on small businesses, a spokeswoman said.

Goodlatte has yet to schedule any hearings on it, she said.

Backers of the measure include major traditional retailers Wal-Mart and Best Buy Co Inc, as well as e-tailing giant Amazon.com Inc, which wants to simplify its U.S. state sales tax payments.

Opponents include many other online merchants such as eBay, Overstock.com Inc and anti-tax activist Grover Norquist. Lawmakers from states without sales taxes - like Montana, Oregon and New Hampshire - largely oppose the measure.

States that charge sales tax have largely been unable to require e-tailers to collect it from purchasers unless the e-tailer had a physical presence in the state. Otherwise, consumers are supposed to pay the tax, but very few do.

Some states have made separate arrangements with Amazon on the issue, while others have not.

The bill would let states require out-of-state retailers to collect sales tax on purchases made over the Internet, even if the e-tailer has no physical presence in the purchaser's state.

The bill would allow states to do this but not require them to do so. It would also exempt merchants with online annual out-of-state sales of $1 million or less.

"We place a 30 percent probability that the bill is signed into law by the end of the year" primarily due to opposition in the House, said Guggenheim Securities analyst Chris Krueger.

"Our odds will increase following passage of this bill in the Senate provided it receives a big vote of support," he said.

The online sales tax bill debate is moving on a separate track from efforts in Congress on a broader tax overhaul.

The main obstacle on that front remains the dispute between Republicans who refuse to consider new federal revenue from ending tax breaks that would be part of tax reform, and Democrats who insist that such new revenue is vital.

(Reporting By Kevin Drawbaugh, Patrick Temple-West, Kim Dixon and Nanette Byrnes; Editing by Kevin Drawbaugh, Steve Orlofsky and Eric Walsh)


I agree with the Senate on this one. Not because I want to pay more tax, but because It would help the local retailers be more competitive. This could help job growth. Job growth right now is key.
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#2 User is offline   Mr_Jet Icon

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Posted 07 May 2013 - 11:42 PM

View Postazjetfan, on 07 May 2013 - 09:51 AM, said:

I agree with the Senate on this one. Not because I want to pay more tax, but because It would help the local retailers be more competitive. This could help job growth. Job growth right now is key.



It would definitely be more fair to brick and mortar retailers. But I doubt Boehner and Cantor will even let the bill come to a vote on the House floor. It wouldn't surprise me if they let the bill die in committee.
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View PostFlyHiJets, on 01 June 2013 - 08:35 PM, said:

You're the scumbag that thinks everyone should kiss the as$es of a bunch of criminals but I'm a dumbass. Yeah okay douchebag. Go give some illegal wetback or Revis another blowjob. But then again.....don't you live in an entirely different country but yet think you can tell us how to live? Go fvck yourself little boy. You're likely still living with mommy & daddy. Pu$$y.
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#3 User is offline   azjetfan Icon

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Posted 08 May 2013 - 09:34 AM

View PostMr_Jet, on 07 May 2013 - 11:42 PM, said:

It would definitely be more fair to brick and mortar retailers. But I doubt Boehner and Cantor will even let the bill come to a vote on the House floor. It wouldn't surprise me if they let the bill die in committee.

I assume if the sales tax rate was dropped so we took in the same amount of money but everyone paid in they would. They just dont want to see an increase.
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#4 User is offline   santana Icon

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Posted 08 May 2013 - 10:54 AM

All I know is that ebay emailed me trying to get me to support their fight against sales tax

eBay and paypal have made a fortune ripping money away from people because of their control on the market
I say they can go to hell.

My line of work calls for a ridiculous amount of online shopping I see no reason to make the online retailers more competitive with the local retailers.

Its a top down economy and technology is allowing the gap to widen exponentially.
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#5 User is offline   azjetfan Icon

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Posted 08 May 2013 - 11:11 AM

View Postsantana, on 08 May 2013 - 10:54 AM, said:

Its a top down economy and technology is allowing the gap to widen exponentially.

Thats a great statement. Walk into a bank, an Insurance company or a bookstore. You will see 1/3 the staff of 5 years ago.
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#6 User is offline   santana Icon

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Posted 13 May 2013 - 06:53 PM

View Postazjetfan, on 08 May 2013 - 12:11 PM, said:

Thats a great statement. Walk into a bank, an Insurance company or a bookstore. You will see 1/3 the staff of 5 years ago.


Yep and I'm the guy installing the machines and talking to the people in charge on how to add more solutions to further automate the work flow.

Whats more insulting is when companies decide to throw additional "convenience" fees for automating these services or product delivery. The constant demand for higher margins and profit backed with technology is dangerous.

And right around the corner are driverless cars... once you can automate a car imagine where else you can adapt that technology into. the gap will widen and widen THE WAY OF THE FUTURE THE WAY OF THE FUTURE THE WAY OF THE FUTURE
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#7 User is offline   azjetfan Icon

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Posted 13 May 2013 - 07:33 PM

View Postsantana, on 13 May 2013 - 06:53 PM, said:

Yep and I'm the guy installing the machines and talking to the people in charge on how to add more solutions to further automate the work flow.

Whats more insulting is when companies decide to throw additional "convenience" fees for automating these services or product delivery. The constant demand for higher margins and profit backed with technology is dangerous.

And right around the corner are driverless cars... once you can automate a car imagine where else you can adapt that technology into. the gap will widen and widen THE WAY OF THE FUTURE THE WAY OF THE FUTURE THE WAY OF THE FUTURE

Gee thanks for trashing the economy Santana.
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#8 User is offline   HurricaneJet32 Icon

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Posted 15 May 2013 - 08:12 AM

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Wall-e...probably one of the most prophetic movies ever...unfortunately no one is listening.

I refuse to buy stuff online...or at any corporate chain store really. I buy American even if it's double the price...I consider it money well spent.
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#9 User is offline   azjetfan Icon

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Posted 16 May 2013 - 11:05 AM

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#10 User is offline   santana Icon

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Posted 17 May 2013 - 01:31 PM

View Postazjetfan, on 13 May 2013 - 08:33 PM, said:

Gee thanks for trashing the economy Santana.


Ha just a grain of sand in all of this

At least there's some hope when you see people like bill gates or warren buffet who are injecting their wealth back into charity and what not
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