The internet has been a cost-effective place where people could obtain goods at amazingly competitive prices because online merchants are able to sell products without sales tax. This means that an $800 item could be about $80 cheaper in online store compared to the same item in brick-and-mortar store in cities with high sales tax such as San Francisco. Well, it may not be long before the government start to put sales tax on online goods, an article supporting internet sales tax appeared in PC World, as posted by Roni Deutch from Roni Deutch Tax Center in her blog.
The article tells a story about Rep. Bill Delahunt (D-Mass) who introduced the Main Street Fairness Act this month. This act would end the tax exemption for large online retailers such as eBay and Amazon.com. The two online retail giants have feared that the act would bring negative outcomes to their businesses. For years, the web sales tax issues have been debated and litigated. Although it is not quite popular, if the state and local governments are deep in debt, they may eventually decide to put the online sales taxation into practice to help add to their revenue stream.
According to the article, uncollected use taxes for a six-year period ending in the next two years (2012) would range from $52 billion to $56 billion nationally. It was estimated that New York City alone would lose at least $390.6 million in 2012 and Chicago would lose $229 million. The writer goes on, stating that favoring internet business over land-based ones via tax exemption was not quite fair especially for the small brick-and-mortar business. Well, if finally the internet sales taxation is applied, then consumers would need the right tax help from experienced tax law office such as Roni Deutch Tax Center.
Known for her expertise and experience in the industry, Roni Deutch, the founder of Roni Deutch Tax Center, has been featured in several national shows such as NBC’s The Today Show, CNBC’s On the Money, CNN’s Your Money, and Your Bottom Line and has been featured in several magazines and newspapers such as the Wall Street Journal, Smart Money, Forbes, LA Times, Chicago Sun-Times and Houston Business Journal, to name a few. Get as much information related to your tax and get the right tax service to help you in times of taxation problems.
