AfterDawn: Tech news

Amazon urges lawmakers to move on sales tax standard

Written by James Delahunty (Google+) @ 03 Dec 2011 11:00 User comments (4)

Amazon urges lawmakers to move on sales tax standard Amazon seeking federal standard for sales tax collection by states.
Speaking at a House Judiciary Committee hearing, Amazon.com's vice president for global public policy called on lawmakers to give a federal answer to the questions surrounding the collection of sales taxes by individual states from online retailers.

Paul Misener said exemptions to the tax should be kept "very low" for fairness reasons. Amazon has battled many attempted by individual states to task it, and other online retailers, with the collection of sales taxes. The U.S. supreme court ruled in 1992 that businesses without a physical presence in a particular state, are exempted from collecting sales taxes for that state.

That has given online retailers, such as Amazon, a huge advantage over brick and mortar retailers. "Online retailers have, let's face it, an unfair advantage," said John Conyers, U.S. Representative for Michigan's 14th congressional district.

Republicans question a federal standard for the collection of sales taxes by individual states, likening it to a tax hike. Democrats, for the most part, disagree. "This is not a new tax we're collecting," John Otto, an accountant and state representative from Texas, said. "It's a tax we've been unable to collect."

Tags: Amazon
Previous Next  

4 user comments

13.12.2011 12:56

collecting tax from online retailers seems to come closer to reality, lets think about the their(government)are missing, they are not thinking that this is money people keep in they pockets. No need to redistribution...
I can personally say i have better experience shopping online than physical store...
I know i'll need to get out of the house someday :P



23.12.2011 17:17

Those damned senators in office only want the sales tax so they can keep in their pockets, not to benefit to the taxpayers. Time and history has already proven their track record, so why trust them now? I know I don't.


Chance prepares the favored mind. Look up once in a while and you might learn something. - BLUEBOY

34.12.2011 2:20

There are many facets to taxing online sales:

1) Amazon's duplicity in stumping for a sales tax, is purely to put their smaller online competitors out of business. A giant like Amazon can do the collecting, reporting, and remitting for pennies per sale compared to mom-and-pop vendors who will have to spend huge to comply with the complex, heavily regulated process.

2) Amazon will have a near monopoly just a few years after such a tax is instituted, and their history of bullying the markets will turn into a sledgehammer on consumers with few options.

3) It has always been a blatant lie that online sales have hurt brick-and-mortar stores. Walmart, Barnes and Noble, and hundreds of other retailers, successfully out-compete online sellers easily.

4) It is also a lie that this will not be a new tax. Obviously if the government is collecting more money from us....uhh, we must be paying more taxes!

5) This unwise new tax will badly unbalance a mareketplace that is currently in status-quo, and will result in massive price hikes.
LEAVE IT ALONE!

44.12.2011 12:10

John Otto, an accountant and state representative from Texas, said. "It's a tax we've been unable to collect."

An Otto has TX to blame for that, not online, as TX needs to revise it's own laws first. Folks love to blame others for their own problems.

Comments have been disabled for this article.

Latest news

Intel announces: First commercial 5G modem in development Intel announces: First commercial 5G modem in development (20 Nov 2017 16:46)
The world's second largest semiconductor manufacturer, Intel, has announced a major project in mobile chips. The company has introduced a future portfolio for commercial 5G modems. According ....
1 user comment
CCleaner becomes adware, here's how to avoid Avast ads CCleaner becomes adware, here's how to avoid Avast ads (20 Nov 2017 13:00)
One of the more popular Windows cleanup tools, CCleaner, has added Avast ads on to their software. After being acquired by Avast, CCleaner wants you to install the virus protection suite along ....
4 user comments
Tesla's power pack charges your phone like a Supercharger Tesla's power pack charges your phone like a Supercharger (18 Nov 2017 13:25)
Tesla announced yesterday two incredible products that are due in two or three years. However, you might not have the money, nor the interest, to buy either Tesla Semi or Roadster, but there ....
Apple's newest product misses the entire holiday season, hits the stores in early 2018 Apple's newest product misses the entire holiday season, hits the stores in early 2018 (18 Nov 2017 12:20)
Apple has decided to push back one of the products originally revealed nearly 6 months ago in WWDC. The smart speaker, dubbed HomePod, has been delayed further and won't be seen in stores this ....
1 user comment
Tesla unveils two new vehicles, electric semi and super-fast new Roadster Tesla unveils two new vehicles, electric semi and super-fast new Roadster (17 Nov 2017 10:53)
Tesla has today announced two new vehicle prototypes that will bring the total number of Tesla cars, and now trucks, to six. As expected Tesla unveiled their "beastly" semi-truck the first time ....
1 user comment

News archive