Amazon will start charging sales taxes in some US states!

[xbl0x180]

Ugh! As of Sept. 2012, Amazon.com will start charging sales taxes, which means nothing from Amazon will be a good deal if I have to pay 10% in excess of their listed price. This may be a sign that I need to stop spending and save more.

http://articles.cnn.com/2012-07-12/tech ... -retailers

Goodbye, Amazon. It was a good, solid decade of runaway spending

[njiska]

Welcome to my world. Been paying taxes on Amazon for ages.

[null1024]

Well, fuck.
Glad I bought most of the stuff I've felt like getting now instead of after this takes effect, but asdfhgjk.

[drunkninja24]

Technically, you're supposed to pay taxes on anything you purchase outside of state by reporting it on your yearly income tax form (if you're in the US). But of course, like .5% of people actually do that.

[xbl0x180]

No way, breh. I'm not gonna pay a cent. I will buy stuff elsewhere or not buy it at all

[njiska]

Well you could break your roommate's AC to free up some cash for taxes

[xbl0x180]

Well you could break your roommate's AC to free up some cash for taxes

I'd love to break that fucking thing... and buy a more efficient one on Amazon!

[drauch]

Sucks, but yeah, I'm surprised it's gone on this long. Still a hell of a lot cheaper than anything in town.

[drunkninja24]

Sucks, but yeah, I'm surprised it's gone on this long. Still a hell of a lot cheaper than anything in town.

Yeah, I've picked up a few DS RPGs as of late for substantially less than stores in town (Namely Dragon Quest VI and IX for about $14-$16 each brand new). Combine this with the fact I have Amazon Prime (at a discounted $40 rate for being a "student" account), and I pretty much have no reason to shop anywhere else for the stuff, even if they do end up tacking on sales tax.

[xbl0x180]

Sucks, but yeah, I'm surprised it's gone on this long. Still a hell of a lot cheaper than anything in town.

It's cheap, but it's not cheaper. I think this may only apply to junk from Amazon itself, not it's z-shops. If that's the case, then I'll have to be real careful to not choose items from Amazon or anyone who will want to stick me with extra fees. I noticed Target sells on Amazon and they'll go ahead and shank me with CA sales tax, so I immediately get rid of that item and go to the next seller.

If it turns out that goHastings, overman2000, z-overstocks, and other favourites all start chargin' me this god damn tax, then I'll just have to do without buying anything

[moh]

Well you could break your roommate's AC to free up some cash for taxes

njiska you son of a bitch......I was drinking pepsi while reading that.

now my keyboard is covered in pepsi..

[njiska]

Well you could break your roommate's AC to free up some cash for taxes

njiska you son of a bitch......I was drinking pepsi while reading that.

now my keyboard is covered in pepsi..

Thank you, I try.

[Ganelon]

I don't see any new info in the link that suggests a nationwide sales tax. To avoid confusion, perhaps the topic title should be changed to indicate that only a few new states will be affected (about as many as are already affected)?

[Acid King]

They resisted it at first, but I think they've come around because they know it will help them crowd out competitors should interstate sales tax become the norm. The accounting involved with collecting, tracking and reimbursing sales tax in accordance with 50 individual state tax codes is sizeable, something that a company as large as Amazon can afford and something that any upstart will have to add to their start up costs.

[undamned]

Welcome to my world. Been paying taxes on Amazon for ages.

I'm pretty sure this has been the case for me. We have a local Amazon warehouse, though, so as much as I may have to play sales tax, at least most of my stuff gets here smoking fast
-ud

[njiska]

Welcome to my world. Been paying taxes on Amazon for ages.

I'm pretty sure this has been the case for me. We have a local Amazon warehouse, though, so as much as I may have to play sales tax, at least most of my stuff gets here smoking fast
-ud

I'm in Canada so we've been paying taxes nation wide for a long time. That said I am also close to a shipping centre and I love that my Super Saver free shipping still results in next day delivery.

[DragonInstall]

About damn time...

[Davey]

Welcome to my world. Been paying taxes on Amazon for ages.

I'm pretty sure this has been the case for me. We have a local Amazon warehouse, though, so as much as I may have to play sales tax, at least most of my stuff gets here smoking fast
-ud

This brings up an interesting point. Amazon got away with not collecting sales tax because it didn't have a physical presence in most states. In fact, it purposefully stayed out of states to avoid having to collect taxes. Without that loophole, they have no reason not to set up more distribution centers throughout the country. It has been brought up that they might now be able to provide same day delivery.

[Vexorg]

Amazon was founded here (and happens to be where I'm working currently) so I've had to pay sales taxes on Amazon for as long as it's been around. On the other hand, up here in the Seattle area we can actually get groceries delivered by Amazon, and same-day delivery on a limited selection of items has been around for a while as a side effect of that.

[Ed Oscuro]

Well you could break your roommate's AC to free up some cash for taxes

njiska you son of a bitch......I was drinking pepsi while reading that.

now my keyboard is covered in pepsi..

Thank you, I try.

Well, at least it promotes freeing up cash for taxes! Just be sure to buy the new pepsi, soap, and keyboard at a local brick 'n' mortar.

They resisted it at first, but I think they've come around because they know it will help them crowd out competitors should interstate sales tax become the norm. The accounting involved with collecting, tracking and reimbursing sales tax in accordance with 50 individual state tax codes is sizeable, something that a company as large as Amazon can afford and something that any upstart will have to add to their start up costs.

That's actually a damn good argument against the current byzantine tax code. Not necessarily against all taxes, per se, but certainly against implementing them in a way that favors some and not others.

Some excerpts from the Wiki "Amazon tax" article (!):

Kentucky
In an editorial The State criticized the incentives given to Amazon to build a distribution center in Lexington. They wrote that deal with Amazon created "...yet another exemption in our Swiss-cheese tax code, and surrender[ed] what little leverage we have to collect taxes on the fastest-growing segment of the retail sector — from which we derive the largest share of the revenue that runs state government. It’s only a small step from giving Amazon a five-year exemption from collecting the sales taxes from S.C. residents to giving that same break to WalMart, Target and all the other businesses that offer online shopping — as one Senate amendment actually proposed to do."[15]

[...]
The Illinois Policy Institute has said that the law has been "all pain and no gain." While it was "sold as a significant revenue raiser and a step toward improved tax fairness, it is accomplishing little more than pushing online entrepreneurs out of state."[18]

[...]
In a statement made after the deal for Amazon passed the state House the Alliance for Main Street Fairness said, “Today’s vote in the South Carolina House of Representatives is just one step in the process, yet it’s unfortunate that the majority of the House favors special deals for one prospective retailer at the expense of our state’s existing employers and their 375,000 employees. The vote is particularly disappointing in light of dubious, last minute promises that certainly appear to have influenced some legislators to switch their vote. We’ll rally our troops and voice our concerns to the Senate where we hope they will come to a more fair and rational decision. The case against this special deal continues to grow on a daily basis."[31]

Main Street expressed strong disapproval of the South Carolina Senate's approval of this arrangement. In a press release Main Street said, “Nobody complained when Amazon was given free land, property tax cuts, job tax credits and a repeal of the limits on weekend sales. But in the end, this special exemption only passed after backroom deals and last-minute promises were made by Amazon officials – something which should disappoint everyone interested in transparency and good government."[32]

[Acid King]

From a year ago...

Amazon to shut down California affiliates over new sales tax law

Six months later...

Surprise: Amazon "strongly supports" new sales tax bill

The bill in the Senate has some provisions to force states to streamline the process, but it's not hard to imagine why Amazon would get behind this whole process.

[PC Engine Fan X!]

In the Golden state of California, Amazon purchases will soon have to cough up the sales tax. Amazon made a deal with California that they'd agreed to start charging sales tax after a one year break. That time extension agreement will shortly be coming up. Go figure. It truly is the end of an era of not having to pay a sales tax with your cool Amazon purchase.

PC Engine Fan X! ^_~

[Dave_K.]

Amazon launches Yesterday Shipping to offset the bad news about internet tax.

[xbl0x180]

I don't care about Super Saver free shipping. I was already getting that prior to getting cut up on sales tax. If they don't provide free 2-day Prime service, then it's "goodbye Amazon." This may be a silver lining for freeing up some cash to put into an offshore shell account tax shelter or in a Swiss bank account tax shelter

[Dave_K.]

Super Saver Shipping and Amazon Prime can't compare to Yesterday Shipping. Trust me, this is going to revolutionize online marketplaces.

[gameoverDude]

I think states should just totally KILL the sales tax. The sales tax is old, outdated shit that has become irrelevant in a digital age. Killing the sales tax would make level ground for all merchants. I can understand keeping the hotel tax, to get money from tourists.

To make up for killing the sales tax, states could increase the income tax about 2-4% given that not all merchandise is taxable.

I don't care about next-day/same-day shipping. Five days is good enough.

[xbl0x180]

I don't care about next-day/same-day shipping. Five days is good enough.

This, right here, is the crux of why I used to love buying from Amazon