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June 05, 2005

Dipstick Taxation

Just when you thought that this issue was 'dead', along comes another attempt to tax the crap out of everything:

Majority of states pressing for taxing all Internet sales

DENVER - 9News has learned that 43 states have joined together in a coalition to collect sales tax on all Internet purchases.

You already pay sales tax when you go online to buy from an established business like Eddie Bauer or Wal-Mart. But a lot of small Internet businesses and individual transactions float under the radar.

The coalition is seeking expertise from Colorado's high tech industry to get the tax collection done electronically.

"The Internet Tax Freedom Act says that states cannot treat sales on the Internet differently than they treat any other kind of sale--and this system that we've created does exactly that," says Scott Peterson with the Conforming States Committee, which is spearheading the effort.

"It treats every sale exactly the same regardless if it's over the counter, over the catalogue, over the phone or over the Internet," he says.

The states say they've been losing as much as $16 billion annually to the Internet. They say that new software will make collecting the money almost automatic and that they can have a system in place by Oct. 1.

Colorado Governor Bill Owens says he doesn't like the idea and that Colorado won't be part of it.

"We're getting lots of taxes in terms of income taxes and other taxes because of the rise of the Internet, we shouldn't tax sales over the Internet," said Owens.

The proposal is for the new system to initially be voluntary. "So (unless) Congress were to act and make this mandatory, there would be no penalties," says Peterson. But there's a plus for businesses who do adopt the software. The states say the electronic system is so good, they'll designate participating businesses "audit proof."

Colorado Governor Bill Owens has it right: there's already enough tax income being generated. I have to believe that if you dig deep enough that you'll find that this was started by officials that are looking to fund their 'warm-fuzzy feeling' programs that cannot be sensibly integrated into most state budgets.

And I love that polite back-hand comment about companies that voluntarily commit to this would be "audit-proof" which to me implies that if businesses do NOT adhere will get the state tax boards crawling up their asses with a microscope often.

What a dipstick idea this is....Does this clown - Peterson - understand that probably 99.9999% of business owners aren't going to start increasing taxes on their customers because it would drive business away!? Probably not since he's on this dipstick committee instead of running a business.


|| , 10:08 AM || Permalink || Comments (6) || Add your comment

Comments on Dipstick Taxation

there's already enough tax income being generated

... for what? For a $500 billion military budget? Cut that budget in half and you might be right.

I work for the county. The county hasn't gotten as much money from the state, the state hasn't gotten enough money from the feds. Sure, federal tax has gone down, but local taxes are going to go up.

Who works for the county? The feel good folks who pave our roads every spring and keep the snow off of them in the winter, the people who investigate child abuse, the folks who keep the parks in shape, the folks who empty the garbage, the people who put criminals in jail, the folks who keep those criminals in jail, the folks who guard those criminals in jail, the folks who monitor those criminals when they get out, the folks who help people with disabilities, the folks who work with the elderly, making sure they can live on their all too often all too little incomes, the folks who register your motor vehicle, lots of other folks doing lots of other necessary things, and me, the guy who helps drunks, junkies and crack heads learn to live without booze, junk or crack and stay out of jail. Believe it or not, what I do saves money.

So, I guess we could do away with some of these programs, or we can reduce the defense budget, or we can put the friggin taxes back where they were.

You can't live in the penthouse and expect to pay basement rent...

|| Posted by scroff, June 5, 2005 12:45 PM ||

For a $500 billion military budget? Cut that budget in half and you might be right.

We're talking STATE budgets, not Federal ones. And I'm talking about the semi-uselss to completely useless programs that are here in California.

|| Posted by Mad Mikey, June 5, 2005 04:14 PM ||

"... for what? For a $500 billion military budget? Cut that budget in half and you might be right."

Actually, no, cutting it half would leave you with 157 billion in the red. Now if you cut HEALTHCARE in half, you should be fine. NOT to mention the future savings on social security that would provide!

|| Posted by Yogimus, June 5, 2005 07:10 PM ||

Actually, no, cutting it half would leave you with 157 billion in the red

That's probably true, since the budget deficit is somewhere between $350 billion and $521 billion. And all those people that make their money off the military budget would be shit out of luck, too... But you're right, let's cut "healthcare" (whatever that is, Medicaid? Medicare? Part A? Part B? Bush's prescription Drug Plan?) Just because some American has worked his or her whole life doesn't mean crap. Charity begins at home, I always say. BTW, "healthcare" has nothing to do with Social Security, unless you mean SSD.

We're talking STATE budgets, not Federal ones

States get block grants from the feds, when the feds don't have it, the states don't get it and when the states don't get it, local taxes go up. Thank Bush for that. Or start cutting programs, just don't bitch when they cut the one you like.

|| Posted by scroff, June 11, 2005 02:09 AM ||

semi-uselss to completely useless programs that are here in California

Well, I always say California has more than it's share of fruits and nuts...

but what you think is useless someone else might not, and what someone else thinks is useless you might not.

I'd say lets start with those pesky faith based initiatives...

|| Posted by scroff, June 11, 2005 02:15 AM ||

Just because some American has worked his or her whole life doesn't mean crap. Charity begins at home, I always say.

If people started paying for their healthcare, the COST of health care would plummet, as it would have to be competative. You *might* consider insuring yourself, or working for an employer who insures you.

BTW, "healthcare" has nothing to do with Social Security, unless you mean SSD.

It DOES when people start dropping like flies! :D

|| Posted by Yogimus, June 11, 2005 04:36 AM ||

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Yogimus said:

Just because some American has worked his or her whole life doesn't mean crap. Charity begins Read more in Dipstick Taxation
scroff said:

semi-uselss to completely useless programs that are here in California

Well, I alw Read more in Dipstick Taxation
scroff said:

Actually, no, cutting it half would leave you with 157 billion in the red

That's p Read more in Dipstick Taxation
Yogimus said:

"... for what? For a $500 billion military budget? Cut that budget in half and you might be right Read more in Dipstick Taxation
Mad Mikey said:

For a $500 billion military budget? Cut that budget in half and you might be right.

< Read more in Dipstick Taxation
scroff said:

there's already enough tax income being generated

... for what? For a $500 billion Read more in Dipstick Taxation

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