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State Tax Collectors Coming After YOur ONline Purchases (Page 2)
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andi*pandi
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Apr 14, 2006, 10:51 AM
 
Originally Posted by SimeyTheLimey
Anyway, right now in the US, if you buy goods from out of state, in many states you are supposed to pay your state use tax on the goods. For example, when I bought a camera from a dealer in Hong Kong, I paid use tax to Virginia. This has nothing to do with Hong Kong, everything to do with the law of the state in which I live. It's also not because Virginia can regulate a business in Hong Kong, but rather because they can regulate me.
when you put it that way, it makes sales tax sound very very silly. If I go to New Hampshire, which has no sales tax, and buy something... I still have to pay sales tax because I live in Mass? How does anyone know where I'm from? Will stores have to require a driver's license to see if they should charge tax? What if I buy with cash? Is the whole purpose of this to discourage people from shopping out of state... in which case why do New Hampshire stores/malls advertise "come shop in tax-free New Hampshire!" and if my local stores can't compete due to the cost of sales tax, well maybe they should protest having to charge it. Once a year Mass has a tax-free shopping day and it's crazy, that's the day people buy big ticket items... lines around the block... the stores are very happy. For a day.

I'm sounding more libertarian every day.
     
ambush  (op)
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Apr 14, 2006, 11:40 AM
 
Originally Posted by euchomai
Oh, just so you know. I never paid a single cent in tax online and I buy for like 2000$ every year, or more.

Sorry for the thread title, in fact I copied the title from Digg.com. I figured the poster had a clue, since it was on the front page, but he didn't. I'm really sorry if I offended your country.

But then again, you probably know nothing about our government instances and whether they are provincial or federal. So basically here's what I have to say: piss off, tards.

I have a question for the US government: why do you have to find ways to tax citizens when corporations are clearly getting away with billions of dollars in offshore accounts? LOL. In this case, it pretty much applies to the rest of the world.
     
tooki
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Apr 14, 2006, 06:47 PM
 
Originally Posted by Todd Madson
They need to keep funding those 600 dollar toilet seats and 200 dollar hammers.

Actually, they're funding those black aircraft we hear about from time to time.
"They" is the federal government. (Though it turns out that the $600 toilet seats and $5000 ash trays are actually just imaginary, just the result of weird accounting. In fact, the gov't paid normal amounts.)

Sales and use taxes are state taxes. The federal government has nothing to do with them, beyond the ability to regulate interstate commerce.

tooki
     
SimeyTheLimey
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Apr 14, 2006, 08:02 PM
 
Originally Posted by andi*pandi
when you put it that way, it makes sales tax sound very very silly. If I go to New Hampshire, which has no sales tax, and buy something... I still have to pay sales tax because I live in Mass? How does anyone know where I'm from? Will stores have to require a driver's license to see if they should charge tax? What if I buy with cash? Is the whole purpose of this to discourage people from shopping out of state... in which case why do New Hampshire stores/malls advertise "come shop in tax-free New Hampshire!" and if my local stores can't compete due to the cost of sales tax, well maybe they should protest having to charge it. Once a year Mass has a tax-free shopping day and it's crazy, that's the day people buy big ticket items... lines around the block... the stores are very happy. For a day.

I'm sounding more libertarian every day.
Enforcement is a different issue from whether or not the state has a right to tax you. In practice, I would guess that enforcement on consumers in most states is low. They do enforce business purchases, however. For example, when I bought that expensive camera, I was in business in Virginia. That meant every quarter I had to fill out a sales and use tax return to account for the sales taxes I had collected from my clients, and the use taxes I owed personally on the goods I purchased for my business.

Individuals, of course, do not fill out sales and use tax returns (at least, they don't to my knowledge), but that doesn't alter your legal obligation to pay the tax to your state or the penalties you can be assessed for tax evasion. And, of course, there is a moral obligation. You live in your state and consume its services. You have a citizen's obligation to pay your fair share of taxes. I'm sure you would be the first to scream at others advocating that you subsidize them.

As for whether or not you specifically owe your state for purchases in New Hampshire (if any) I suggest you consult your state tax authorities or a tax attorney (I am neither).
     
SimeyTheLimey
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Apr 14, 2006, 08:07 PM
 
Originally Posted by ambush
I have a question for the US government: why do you have to find ways to tax citizens when corporations are clearly getting away with billions of dollars in offshore accounts? LOL. In this case, it pretty much applies to the rest of the world.

The US does. US Corporations (and for that matter, US citizens) pay income taxes to the US government wherever they are located. That means that US corporations pay US income taxes even if they are located offshore.

With subsidiaries, it is more complicated. Subsidiaries are often incorporated in other countries, which means they are legally not US corporations. But the rules in that area are complex.

You are batting 3 for 3 of incorrect opinions about US tax laws. That's quite an impressive record.
     
 
 
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