“Read My Lips” – Sort of…

Have you heard that the National Retail Federation wants to tax on-line stores that sell to folks out of state? Let’s consider this issue.

Do you want to pay an extra tax if you buy this on-line and live out-of-state from the retailer?Even if you haven’t, lets’ debate the issue.

The pros? Well, some sort of government will receive more tax revenue. Shoppers might be more likely to cancel an intended purchase once the sales tax is added, making them more likely to review all their purchases and tighten their belts a bit more, adding to their savings. On-line retailers might even lower their prices a bit, to make up for the addition of a sales tax. Wait…that’s not exactly a pro – it’s more of an even-Stephen.

The cons? Purchases from on-line stores will cost more. Less people might make on-line purchases.

Did you see a pro that local retailers will make more money because less people will buy on-line items? No, you’re not crazy. I don’t believe it’s actually going to happen if this law comes into effect.

But there is another side to this issue, and that is whether or not the federal government has the right to make a decision about this, like the U.S. Supreme Court already did (http://blogs.wsj.com/washwire/2012/05/25/retailers-push-gop-on-online-sales-tax/?mod=WSJBlog).

I’m not a hater of the federal government. I’m not sure where I stand on the so-called “flat tax” – mostly because I haven’t heard enough from supporters to make up my mind. But most people in favor of the flat, or fair, tax, believe in less federal government and more states’ rights, and I definitely agree on a case-by-case basis. This is one of those cases. Either each state should decide to add sales tax to on-line sites so that when retailers sell out of state, that buyer is additionally taxed, or the voters of each individual state get to decide. What do you think?


2 thoughts on ““Read My Lips” – Sort of…

  1. I don’t agree about sales tax for on-line purchases but I really like the fair tax. It will bring in a ton of revenue, place the same % of tax burden on everyone, give kick backs for food purchases for the needy and much more. This will eliminate those on welfare from having more designer clothes and make-up/fancy manicures, electronics, booze and ‘illegal drugs’ than I can afford. Plus I want my tax money to go to the ‘needs’ of people and not the ‘wants’. Herman Cain’s 999 is a good place to start on the road to the fair tax.

  2. thanks for the comment! i especially like the part about kickbacks for the poor. that is my number-one concern for the country at the moment. people like me struggle in a minor way, and i think most Americans are facing that right now. but there is that group of people who have lost everything and need help.

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