The Ecommerce Taxman Cometh?

from the watch-out dept

Analysts are now saying that the ban on ecommerce taxes is making less and less sense and they expect it to go away in the near future. They say it made sense for a while, since companies were trying to get established. However, now, they think most ecommerce offerings are well enough established that they can handle taxes. Of course, with all the struggling ecommerce offerings out there, I'm not sure this is true. Plus, as the article points out, the overhead of figuring out how to deal with so many different local tax regulations will probably kill some sites alone.
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  • identicon
    Lee, 6 May 2002 @ 10:55am

    Currently a nightmare

    The local and state tax situation is currently a nightmare of varying rates. Sure once a data base of the rates is set up, "check out" software should be able to make the computations.

    A solution could be to establish a nationwide sales tax, just for e-commerace. This e-tax would overide any state local tax. It may not be the best solution, but it is a consideration.

    link to this | view in chronology ]

  • identicon
    Chris, 6 May 2002 @ 11:27am

    This is different from mail-order?

    There haven't been taxes on mail-order items called in over phones since well before the internet existed. Why all this concern? What happens if I shop online, select the best prices, then call in my order using the phone?

    link to this | view in chronology ]

    • identicon
      LordSlakyr, 6 May 2002 @ 12:13pm

      Re: This is different from mail-order?

      I don't think the tax would apply unless the
      company had a local presence, like Gateway.

      link to this | view in chronology ]

      • identicon
        Anonymous Coward, 6 May 2002 @ 3:17pm

        Re: This is different from mail-order?

        That's how it already works. What they're talking about is a tax on all goods sold over the internet.

        link to this | view in chronology ]


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