User profile: mike8839
Joined: Sept. 10, 2008
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The problem with some people's logic is that they think the fact that the business didn't collect the tax means it wasn't owed at all. Every state that has a sales tax also has what's called a use tax. That means if you purchase something somewhere else and don't pay tax on the purchase, and you use it in another state you owe use tax equal to the sales tax you would have paid if you bought it in Nevada. That means people who buy online are supposed to keep track of what they spent and account for the tax annually. There's even a nice little place for it on most personal income tax returns. Nearly no one does it, and it's logistically impossible to enforce, so the states lose out. That's why SST is not a bad thing. It's just paying tax you owe and don't pay anyway.
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Also.. the Internet sales tax mentioned by the writer is likely completely unrelated to SST. There's a national moratorium on taxation of Internet access. That's not the same thing as Streamlined Sales Tax. I don't think you're going to find many politicians against governments getting tax revenue they are entitled to by law.