Governor Snyder of Michigan signs online sales tax bill
23 replies, posted
[QUOTE]LANSING -- Retailers on Thursday praised Gov. Rick Snyder for signing legislation they said would help put them on a level playing field by requiring large online retailers such as Amazon to collect and remit the state's 6% sales tax.The "Main Street Fairness" legislation is aimed at requiring large Internet retailers with a presence in Michigan, such as Amazon, to collect and remit the state sales tax on Michigan purchases, starting Oct. 1.
The bipartisan legislation was pushed by traditional retailers who say tax-free Internet sales are unfairly undermining their businesses.
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[URL]http://www.freep.com/story/news/local/michigan/2015/01/15/michigan-internet-sales-tax/21818805/[/URL]
oh well, it was a good run while it lasted.
michigan dude here
fuck that guy
[QUOTE=deerinheat;46943906]michigan dude here
fuck that guy[/QUOTE]
It's basically retailers being massively butthurt.
[QUOTE]The bipartisan legislation was pushed by traditional retailers who say tax-free Internet sales are unfairly undermining their businesses.[/QUOTE]
Noooooooo
It says the act only applies to certain retailers "that have a physical presence" in the state. A full list wasn't given but it mentioned Amazon and Overstock. Can't really say I blame them, it's closing a big hole for tax evasion.
Well when you think about it, the current scheme is unfair for the retail stores. They already have heaps of indirect costs that online stores don't have - a walk-in location for customers which is rented out to the retailer, the staff to serve customers and stock and face the shelves, and of course the logistics of having goods shipped to every retail store of the franchise instead of holding all of the stock at a central location. Then on top of those indirect costs that must be accounted for in the costings of the products, the retailers need to add a sales tax on top as well which will further inflate the pricce of a product over that of one sold at an online store. Even if online stores have to charge a sales tax, they will still be able to sell products at a lower cost, at least if shipping is free.
really is a tax loophole, federal judges have upheld this already
I know they're just closing a loophole but still, NOOOOOOOOOOOOO! I haven't paid sales tax on anything for ages thanks to Amazon.
[QUOTE=patq911;46943916]It's basically retailers being massively butthurt.[/QUOTE]
Remember that the desire for what's pleasurable or cheap will undermine moral decisions. It makes sense to me that ordering stuff online should be subject to sales tax.
[QUOTE=Tone Float;46944228]Remember that the desire for what's pleasurable or cheap will undermine moral decisions. It makes sense to me that ordering stuff online should be subject to sales tax.[/QUOTE]
It always was subject to sales tax...
To clarify, if your state has a sales tax and it's not paid at time of purchase you are supposed to pay it when filing taxes.
You'd be stupid to think this wouldn't happen sooner or later, especially with how cash strapped our state is. Technically you should've already been filing taxes for your online purchases.
[QUOTE=Antdawg;46944111] They already have heaps of indirect costs that online stores don't have [/QUOTE]
I seriously doubt online stores not having to pay sales tax is the straw that broke the camel's back in hammering down retail sales away from physical stores.
So what if they have a "heap of other costs" - if online is superior, then they should change to that. That's how the market functions, better businesses and industries grow and other die out and go out of business. Yeah, this tax was unfair, but rest of the stuff you mention really doesn't matter to that unfairness.
Michigan tax payer here - fuck Governor Snyder. The only time both parties work together is when they're planning something that's a bad idea and will undermine the little guy.
It's my opinion we shouldn't even have a state sales tax, but I digress. Just because politicians have mismanaged the state's/country's budget does not mean I should have to pay for their mistakes. The last thing you want to do when people are struggling is increase the amount of money they have to pay for goods. They want to increase the regular state sales tax from 6% to 7% if I remember correctly.
Bullshit.
All so they can look good by "supporting business" in a huge swell of bi-partisan cooperation, while screwing over everyone who is struggling. Like me. I'm calling it right now that this will worsen everything and cause people to spend less money; therefore, generate less money for the government.
[QUOTE=asteroidrules;46943946]It says the act only applies to certain retailers "that have a physical presence" in the state. A full list wasn't given but it mentioned Amazon and Overstock. Can't really say I blame them, it's closing a big hole for tax evasion.[/QUOTE]
Its not tax evasion if there's no tax to be paid. Its more like cashing in on an untapped source of revenue.
[QUOTE=outlawpickle;46946440]Its not tax evasion if there's no tax to be paid. Its more like cashing in on an untapped source of revenue.[/QUOTE]
No, it's tax evasion. Sales tax is always supposed to apply to online sales, just before you were supposed to remit it on your tax return, something nobody did since it was very easily avoided.
[QUOTE=asteroidrules;46946746]No, it's tax evasion. Sales tax is always supposed to apply to online sales, just before you were supposed to remit it on your tax return, something nobody did since it was very easily avoided.[/QUOTE]
It's not. Before this Michigan did not collect sales tax on online purchases. There are many other states that are the same.
[QUOTE=Emperor Scorpious II;46946038]I seriously doubt online stores not having to pay sales tax is the straw that broke the camel's back in hammering down retail sales away from physical stores.
So what if they have a "heap of other costs" - if online is superior, then they should change to that. That's how the market functions, better businesses and industries grow and other die out and go out of business. Yeah, this tax was unfair, but rest of the stuff you mention really doesn't matter to that unfairness.[/QUOTE]
I agree with your point but then unemployment jumps up since you need less people to run an online store than an actual one. Honestly if sales tax cannot be eliminated entirely (and obviously it can't) then this is the fairest alternative.
[QUOTE=Emperor Scorpious II;46946038]I seriously doubt online stores not having to pay sales tax is the straw that broke the camel's back in hammering down retail sales away from physical stores.
So what if they have a "heap of other costs" - if online is superior, then they should change to that. That's how the market functions, better businesses and industries grow and other die out and go out of business. Yeah, this tax was unfair, but rest of the stuff you mention really doesn't matter to that unfairness.[/QUOTE]
I'm not saying that retail stores should receive concessions because online stores do it cheaper. I'm saying that online stores should charge sales tax, because retail stores do even though they already have all these exta costs yet online stores with lower product costings, so they have that competitive advantage, are so far allowed to get away with it. It's putting everyone on an as-equal playing field as possible, by making them charge sales taxes, without punishing the entrepreneurship of online stores.
no, fuck you
[QUOTE=ProfHappycat7;46949136]no, fuck you[/QUOTE]
Why should online stores not have to charge sales tax but retail stores have to? Are you one of those people who get an allowance from mummy and daddy and use it to be as stingy as you can and buy everything online?
I can indeed say fuck Governor Synder. The guy also wants to run for president in 2016, so the rest of you may have to deal with this asshole.
I live in California and have been paying a stupid amount of tax on everything for years now. Glad you can all share in my pain. :suicide:
It was bound to happen eventually. Michigan needs all the money they can get
[QUOTE=Antdawg;46948561]I'm not saying that retail stores should receive concessions because online stores do it cheaper. I'm saying that online stores should charge sales tax, because retail stores do even though they already have all these exta costs yet online stores with lower product costings, so they have that competitive advantage, are so far allowed to get away with it. It's putting everyone on an as-equal playing field as possible, by making them charge sales taxes, without punishing the entrepreneurship of online stores.[/QUOTE]
Online stores have a lot of expenses themselves. Just because all you see is a website then a package at your door doesn't mean that there is a massive process of materials and employees in the mix.
[editline]16th January 2015[/editline]
[QUOTE=Fetret;46946827]I agree with your point but then unemployment jumps up since you need less people to run an online store than an actual one. Honestly if sales tax cannot be eliminated entirely (and obviously it can't) then this is the fairest alternative.[/QUOTE]
No one cares about the unemployment rate, especially industries as a whole. A business's goal is to stay a going concern, not give out jobs to those who need them. And I doubt the lack of a sales tax really pushed internet retail far forward than other retail stores.
The reason why internet retail is popular is because they offer a wider variety of products, all shoppable from the comfort of your own home with no inconvenience of going out to a store, looking for it, and having to wait in line.
So much to the point that some places, like the retail store that I work in, have online kiosks that go to the retail website [I]while in the store[/I] for customers to search for items they can't find in the store so that they don't lose the sale to other internet retailers when the customer inevitably googles what they want.
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