Supreme Court Rules States Can Collect Online Sales Tax

They've been doing this in Canada for years now. It's just part of how businesses operate up here.
 
If your business is dependent on whether or not your customers pay sales tax, then you were already in a precarious position.
 
If your business is dependent on whether or not your customers pay sales tax, then you were already in a precarious position.

It's a question of how some mom and pop shop can know sales tax law in all states and counties around the US. They simply don't have the resources to work that our or file in those localities.

Amazon, Target, Wal-Mart different story. They already have those resources in place for the most part.
 
It's a question of how some mom and pop shop can know sales tax law in all states and counties around the US. They simply don't have the resources to work that our or file in those localities.

Amazon, Target, Wal-Mart different story. They already have those resources in place for the most part.

Yeah... but Sithborg is still right.
 
Yeah... but Sithborg is still right.

The only thing that is dependent upon taxes are governments. Everything else is burdened by them to some degree.

This also impacts random eBay sellers. You live in LA and sell a comic to someone in NYC you now have to file and pay NYC sales tax. You fail to file or pay the tax you get fined or worse.
 
The only thing that is dependent upon taxes are governments. Everything else is burdened by them to some degree.

This also impacts random eBay sellers. You live in LA and sell a comic to someone in NYC you now have to file and pay NYC sales tax. You fail to file or pay the tax you get fined or worse.

Let's clear this up... because you used "governments" but you really meant the state government.

As the states can set the tax mandate how they see fit.

In South Dakota, for example, businesses with less than 200 transactions or less than $100,000 sales in the state are exempt from the tax.

So this may or may not affect every mom and pop shop, here.

Note: I don't have an online business, but the implications seem to be on a state by state basis. Albeit it's an extra headache for the small business to consider... but I am interested to see on how this plays out and what comes out of this ruling.
 
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^ I meant it in the broader sense that all governments are dependent on tax money to function and the burden of providing that money falls upon the people and institutions operating under said government. Therefore governments will always look for new ways to fill their coffers. In this case the ruling almost says as much in that they discuss the changing dynamics and impact of lost revenue on states.

However, in this case, yes, the issue is limited to state sales tax and what it means for state coffers. This ruling opens the door for every state to now require that any online sales include a tax based on the location of the purchaser and not the seller. Thing is its not just states either. Counties can have tax codes that differ from the state code, so cities/counties can require additional taxes on certain goods. In my specific case the county I work in charges 1% more in sales tax than the one I live in.

In response to the ruling I can already see those states that charge a sales tax and that have not done so already will draft legislation going after this new revenue stream.

So if a Hobby seller of comics sells to someone in NYC, LA, Sioux Falls, etc. The online seller now needs to know the specifics of the tax code of every customer they sell to. A rather daunting task. Unless states in the drafting/editing of their legislation limit the overall income from a business to grosses over a certain dollar value.

It will also be interesting to see if eBay, Etsy, etc. offer a service which tells the seller what they owe to where based on what they've sold.
 
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