Sellers Beware Online Sales Made to Colorado

[iwiw60]

Merchants, Beware Online Sales Made to Colorado
By David A. Utter
EcommerceBytes.com
August 29, 2013



The debate rages on regarding the collection of online sales taxes, as states that are desperate to collect any revenue legitimately due them work on revising their own laws to ensure compliance. The most noteworthy federal legislation regarding the matter, the Marketplace Fairness Act, (MFA) is currently being considered in the House of Representatives after passing the Senate.

The House may draft legislation similar to the MFA, but states aren't eager to wait for this. Many like California now require businesses to collect sales taxes from visiting consumers regardless of whether the business has a physical locus in the buyer's home state.

Consumers in states with sales taxes have always been required to pay such taxes, but enforcement (itself a costly effort for states hurting for cash) has been lax. New laws like California's put the collection burden on the retailer.

Meanwhile the state of Colorado has been working on getting its own online sales tax legislation into place. A federal appeals court reversed a ruling against Colorado's proposed law that had sidelined that bill in 2012.

However, Colorado has a little something extra baked into its bill, according to the Post:

...the Amazon law requires non-collecting online retailers whose gross sales in Colorado exceed $100,000 to mail annual notices to residents who purchased more than $500 in goods from them during the preceding calendar year.
The e-tailer must also file annual reports with the Colorado Department of Revenue that include consumers' names, addresses and the amount of goods they purchased during the previous year.

Laws like the Colorado bill and similar legislation have struck a chord with House Republicans who oppose the current MFA. House Rep. Ron DeSantis (R-FL) criticized the Senate in May for passing the MFA.

"Why would any small business in Florida want to be the tax collector for the bloated welfare state of California or Illinois," DeSantis said. He also faulted Senators for "forcing small businesses to collect taxes for states in which they have no physical presence and thus no way to hold elected officials accountable."

[CopperLocker]

One day any type of business done on the net will see a tax. The bandits in government need more money to spend without reason.

[Oldandintheway]

OMG! What a load of utter unworkable garbage!
Don't let them do it - down here it would be war, & any government trying that on would be out on their ear! ASAP
As it said, it's costly to enforce, they are lax & turning it back on the e-tailer, 'aint gonna change any of that.
Will they try to levy it on international sales???
I can see that law turning into melting custard under a blazing sun very soon.

We no longer have a sales tax system (it was too complex & expensive to run) now we have an across the board straight 10% GST (Goods & Services Tax) similar to the UK's VAT.
Much cheaper & easier for the government to control.

[hurryb4itsgone]

OMG! What a load of utter unworkable garbage!
Don't let them do it - down here it would be war, & any government trying that on would be out on their ear! ASAP
As it said, it's costly to enforce, they are lax & turning it back on the e-tailer, 'aint gonna change any of that.
Will they try to levy it on international sales???
I can see that law turning into melting custard under a blazing sun very soon.

We no longer have a sales tax system (it was too complex & expensive to run) now we have an across the board straight 10% GST (Goods & Services Tax) similar to the UK's VAT.
Much cheaper & easier for the government to control.

Well then it seems that's something that could never work in the U.S. ... too many government jobs would be lost!

[CopperLocker]

Oh don't get me started. The new US government is expecting a lot from us who have work and put money away for a rainy day. Uncle Sam is now the Uncle Gimme. They expect us to pay for the entitlements of others who have NOT earned their way. My Mrs and I struggled through our first years with 4 kids, but we persevered and made it. We played the early US game. Work hard, put money away, keep you kids inline, pay your taxes and prepare one day to retire. Well now they want more and I say the hell with them. That's why the Mrs. and I are moving. The new US wants to control everything. Not going to join that game.

So in a few years it's, Hello Ireland. Where's a good pub?

[Oldandintheway]

Well then it seems that's something that could never work in the U.S. ... too many government jobs would be lost!

No,no,no hurry - don't kid yourself, they take it as an opportunity to add more bottoms on the public servants seats.
As they did down here!

Apparently, it takes MORE people to run an easier system!

Shades of Sir Humphrey!

[hurryb4itsgone]

No,no,no hurry - don't kid yourself, they take it as an opportunity to add more bottoms on the public servants seats.
As they did down here!

Apparently, it takes MORE people to run an easier system!

Shades of Sir Humphrey!

Ah ... now that's a government I know and live with!
Unemployment in the private sector on the rise at the same rate that the number of government jobs are rising!

[CopperLocker]

Hey! Wasn't this topic suppose to be on the political thread that Tony started then they deleted.

[bettyswollocks]

So in a few years it's, Hello Ireland. Where's a good pub?

Absolutely everywhere !!!!

[Oldandintheway]

Hey copper, we have lots of pretty good pubs down here too!
This is Brisvegas. C'mon down!