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Thread: Amazon to start charging sales tax in Texas

  1. #1
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    Amazon to start charging sales tax in Texas


  2. #2
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    What the $#@!, Amazon?

  3. #3
    angry face

  4. #4
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    Welcome to my world. At least NewEgg doesn't charge sales tax.

  5. #5
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    nexus :(

  6. #6
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    There goes my prime account.

  7. #7
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    $#@!.

  8. #8
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    Damn.

  9. #9
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    Thanks Gov. Perry.

  10. #10
    amzn plz :(

  11. #11
    $#@!, $#@!ing $#@!heads!!!!! I order a ton of $#@! from amazon, I may have to start looking elsewhere, $#@!ing $#@!s, douchebags!!!!!

  12. #12
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    Quote Originally Posted by Rick Simon - S&S PI, Inc View Post
    There goes my prime account.
    ya this.

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    I knew this would come someday. I thought it would be a lot sooner. This sucks. I do all my shopping on Amazon. I guess it will still be cheaper and more convenient then local stores.

  14. #14
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    Quote Originally Posted by Rick Simon - S&S PI, Inc View Post
    There goes my prime account.
    Exactly.

    And $#@! you, Perry, you aggy piece of $#@!.

  15. #15
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    This is just the beginning...if they can make one of the largest Internet players charge one of their biggest markets tax...

    In a news release Combs thanked Amazon for moving forward and encouraged Congress to act too. "This is an important step in leveling the playing field in Texas; however, Congress should enact federal legislation that will give states access to revenues that are already due, which would resolve this issue fairly for all retailers and all state," she said.

    http://bizbeatblog.dallasnews.com/ar...ecting-sa.html

  16. #16
    This $#@!ing sucks.
    Y'all know taxes are still due to the State of Texas on all purchases, right? If you buy something online and seller doesn't collect the sales tax, you're required to file This Form and remit the money directly to the State.

    Bunch of tax cheats on this board.

    Bernard

  17. #17
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    In NY, we have a pretty sweet deal (not as sweet as it was now that Amazon collects tax), but you could basically just pay $250 extra when you filed your taxes and they'd considered you having paid all owed sales tax in full.

  18. #18
    Quote Originally Posted by Bernard View Post
    Y'all know taxes are still due to the State of Texas on all purchases, right? If you buy something online and seller doesn't collect the sales tax, you're required to file This Form and remit the money directly to the State.

    Bunch of tax cheats on this board.

    Bernard
    That is quite law abiding of you, for someone who doesn't respect those whose job it is to enforce the law.

  19. #19
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    Quote Originally Posted by TOR View Post
    And $#@! you, Perry, you aggy piece of $#@!.
    This is on Susan Combs, not Perry. As I recall, Perry was on Amazon's side during the session.

  20. #20
    Sales tax plus shipping = same price as b&m stores = much less amazon shopping for me = more money in wallet = happy hookers
    Last edited by crash_davis; 04-27-2012 at 12:33 PM.

  21. #21
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    I bet this dumb $#@! is about to feel a backlash like she can't imagine and Amazon will get the same ......

  22. #22
    That is quite law abiding of you, for someone who doesn't respect those whose job it is to enforce the law.
    I've NEVER stated that law enforcement was not a valid and valuable government service. My complaints are about the ethical, mental and psychological shortcomings of the people who are drawn to the profession and the manner in which those people arbitrarily, capriciously and violently perform their jobs.

    Case in Point: Millions of upper middle class white people are flagrantly stealing hundreds of millions of tax dollars from state coffers. Will law enforcement officials even raise a finger to stop this theft? No. But these same officials are more than happy to flood Houston Metro buses with officers to perform warrant-less bag searches on dark skinned folks who are carrying around some recreational amount of weed. Then they suck each others $#@!s over their "success" and have their PR peeps go on TV and tell us how much safer we are now.

    Bernard

  23. #23
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    Only white people order from Amazon?

  24. #24
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    Quote Originally Posted by Bernard View Post
    I've NEVER stated that law enforcement was not a valid and valuable government service. My complaints are about the ethical, mental and psychological shortcomings of the people who are drawn to the profession and the manner in which those people arbitrarily, capriciously and violently perform their jobs. because I'm a loser who has been arrested like a dozen times and have a personal ax to grind.


    Bernard
    Bernard

  25. #25
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    This sucks. I often find things cheaper on Amazon than I can get them locally, but this cuts into the bottom line. Prime may have to go.

  26. #26
    Haven't been following the story closely, but I thought Amazon's stance was charge sales tax and we're taking our jobs and leaving. Surprised to see them collect sales tax AND to invest money/create jobs. I love Amazon so this sucks.

    Got to imagine the (many more) states in real fiscal trouble see this as a go ahead to push Amazon for sales tax collection. October Puts purchased.

  27. #27
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    Damn! For a bunch of 1%ers that ball on nothing but the finest foods, drinks, women and luxuries, the LEGAL 6 1/4% is surely causing some whining.

  28. #28
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    Quote Originally Posted by Wizard of Foz View Post
    Surprised to see them collect sales tax AND to invest money/create jobs.
    I think it said Amazon owed $269M in back taxes and was going to invest $200M. So maybe they reached an agreement where they forgave the back taxes in exchange for the investment.

  29. #29
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    I am pretty sure that if you setup shop in Texas (ie, have a business and physical address), like the distribution center they closed down, then you're supposed to collect Texas sales taxes. If they were to keep their distro center out of Texas, they wouldn't be forced to collect taxes. Amazon $#@!ed up here, not Texas. Amazon came in , setup shop, and didn't do what they were supposed to do. I wonder what loophole they found that actually let them get away with it for so long. Also, I keep hearing that you're still supposed to pay sales tax when you buy out of state, but I do not know anyone, or ever met anyone that has done so.

    Amazon prime is pretty bad ass and you can pick up some deals, but I think I shop there mostly because it is convenient (1 click ), has a huge selection, and I can get it the next day if I really want it. They aren't the only show in town, though, and you're starting to see a lot more places with free shipping now.

  30. #30
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    Wasn't the issue that their distribution center was in a federal free-trade zone, hence they were exempt from state sales taxes?

  31. #31
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    Quote Originally Posted by Hellraiser97 View Post
    Only white people order from Amazon?
    Pretty much, yeah.

  32. #32
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    If bricks and mortar merchants are required to charge sales tax, than Amazon should be required to charge as well. Its an unfair advantage, because nobody submits the tax directly to the state. If your argument is that all sales tax is wrong, fine.....but thats a separate discussion.

  33. #33
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    Quote Originally Posted by Blotto View Post
    If bricks and mortar merchants are required to charge sales tax, than Amazon should be required to charge as well. Its an unfair advantage, because nobody submits the tax directly to the state. If your argument is that all sales tax is wrong, fine.....but thats a separate discussion.
    Not really. Online/mail-order have to pay for shipping to the end client which B&Ms don't. IMHO, I think it evens out.

  34. #34
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    Quote Originally Posted by Hellraiser97 View Post
    Not really. Online/mail-order have to pay for shipping to the end client which B&Ms don't. IMHO, I think it evens out.
    B&M have to pay to ship the product to their stores for which they pay rent/utilities/employees wages.

  35. #35
    Good. They should be paying sales tax!

    Quote Originally Posted by Hellraiser97 View Post
    Not really. Online/mail-order have to pay for shipping to the end client which B&Ms don't. IMHO, I think it evens out.
    B&M have to collect sales tax on all their taxable purchases. Including the ones they ship. It's not an even playing field if one company has to collect taxes and and other doesn't. I think I've already posted my arguments on the other Amazon thread so I won't rehash it here. But to summarize: Amazon has a facility here (and you were right earlier it was located in a free trade zone, I'm going to skip that part here because it's a bit confusing), ergo they are using resources the state provides from collecting sales tax (roads, police, educated emplyess, ect.). Barnes and Nobles, Walmart, and Target all have to collect sales tax in Texas even though they have large online ordering as well. Why should get the added benefit of not collecting sales tax?

  36. #36
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    The convenience is still worth it to me. Maybe Amazon will lower the price of their goods to retain customers.

  37. #37
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    Quote Originally Posted by zzzz View Post
    B&M have to pay to ship the product to their stores for which they pay rent/utilities/employees wages.
    Online have to pay to ship the product to their distribution warehouse for which they pay rent/utilities/employees wages.

  38. #38
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    Quote Originally Posted by Jameslaw View Post
    B&M have to collect sales tax on all their taxable purchases. Including the ones they ship.
    And how much shipping business do most B&M do? Obviously for some businesses I would assume it is a fair amount, but not most.

  39. #39
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    First CISPA passes and now this...WTF government?

  40. #40
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    The trade-off between the costs associated with shipping (online) vs maintaining local inventory and employees (B&M) are directly related to the business models each choose to pursue. I fail to see why one business model should be exempt from charging sales tax which in my mind should be consistent no matter which model you choose.

    If online merchants can get away with not collecting sales tax at the time of purchase by pushing the responsibility onto the consumer (who never pay), then B&M stores should have the same option. At which point sales tax revenue would all but disappear.

  41. #41
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    Hopefully Amazon will run a perpetual or periodic special where you can enter a code and get a discount equivalent to the sales tax. Woot does this I believe.

  42. #42
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    Quote Originally Posted by Hellraiser97 View Post
    Online have to pay to ship the product to their distribution warehouse for which they pay rent/utilities/employees wages.
    Most stores are part of retail chains that ship the product to their stores from distribution warehouses for which which they pay rent/utilities/employees wages.

  43. #43
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    B&M stores now have the advantage. They can perform hand-to-hand cash transactions off the books and not pay sales tax. I see this quite frequently, and it's becoming more pervasive.

  44. #44
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    wtf didnt amazon just move their operations to Louisiana or Arkansas?


    so who is Amazon 2.0 i can start making tax free purchases with?

  45. #45
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    Quote Originally Posted by zzzz View Post
    Most stores are part of retail chains that ship the product to their stores from distribution warehouses for which which they pay rent/utilities/employees wages.
    Shipping in bulk to store =/= shipping in small quantity to customers.

  46. #46
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    Quote Originally Posted by Hellraiser97 View Post
    Shipping in bulk to store =/= shipping in small quantity to customers.
    Unloading truck, breaking down shipment, discarding packaging, stocking shelves, ringing up customers one by one - without the use of robots.
    Last edited by zzzz; 04-27-2012 at 04:36 PM.

  47. #47
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    Quote Originally Posted by zzzz View Post
    Unloading truck, breaking down shipment, discarding packaging, stocking shelves, ringing up customers one by one - without the use of robots.
    Don't really see your point, its still a large cost. The main difference is that they can do higher volumes since they have a larger potential customer base.

  48. #48
    There's really no reason sales tax shouldn't get paid on the internet. The only question should be does the tax go to the state the purchase comes from or the state the purchase goes to? The reasonable thing should be where the person spending the money is located.

  49. #49
    Quote Originally Posted by Hellraiser97 View Post
    And how much shipping business do most B&M do? Obviously for some businesses I would assume it is a fair amount, but not most.
    For my store - it's about 50% or so. But the real question is how much would it be if I could give each customer an 8.25% discount?

    Look - I have a different business model than Amazon. And It works fine for me (and for them too). My analogy is more like this: If I have a retail store and someone else opens a warehouse down the street, but only does mailorder (and a much cheaper rate) butyou can't go in the store and buy something. But you can go into my store and pay a little more to get it right then and be able to see and hold what you're getting. Fine. Thats how free market go. But if the let's have that same example but the warehouse gets a tax exemption too, then that's hardly an even playing field.

  50. #50
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    Quote Originally Posted by Jameslaw View Post
    For my store - it's about 50% or so. But the real question is how much would it be if I could give each customer an 8.25% discount?
    How much of your shipping is out of state? I imagine you are not collecting anything on those orders, right?

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