E-commerce is beginning to do to states’ sales tax receipts what Netflix once did to Blockbuster Video.
In the near years to come this collapse will begin to multiply, with the only hope being that the SCOTUS will revisit their ’92 Quill decision on state sales tax collections.
But such a hope would at best give states a long arm reach with an enforcement nightmare to contend with. Unless the Feds become the collectors and enforcers for the states, which would ironically mean more federalism coming to the aid of state conservatives who tend to covet sales taxes over more progressive tax systems; which will, through further complex irony, require congressional intervention that conservatives in DC will most likely resist, however.
Sales tax revenues are down everywhere due to freeloaders like Dan Dailey and Amazon sales.
We need an internet sales tax. Not only will it bolster sales tax revenue, but it will create fair trade for brick and mortar jobs.
Many will be back to the old bandwagon of income tax. Most of those who will fund this push have low taxable incomes (retirees and trust fund hoarders) know full well an income tax will not solve the problem.
Solve this problem by implementing a sales tax on EVERYTHING. You are now required to record and pay sales tax on all purchases which you take possession of in this state and did not pay sales tax of. This process is a pain in the ass.
If the fed is hell bent on not implementing a national system to collect state sales tax, the states must enact banking laws which require banks to report all account holder purchases which state sales tax was not collected. This would not be hard and will give a citizen and the state a far easier way of accounting/auditing of online purchases.
Am I looking at the numbers wrong? I do not see a decrease in sales tax revenue. It’s not growing at the projected rate that they put in the budget that does not mean that it’s down. That is a different issue than sales tax revenue going down.
Last week, the US Supreme Court refused to hear about collecting state tax from E-Commerce. I buy everything from the Internet and groceries from Tea. It’s not a big impact but it’s my way to protest arrogant city spending and denying us a voice (vote). It’s time to lay off city employees and cancel retirements. Might also be time for a California cities styled bankruptcy in order to erase bond debt.
The percentage is down, and that is what is concerning. Especially when you factor in we have 3000 more people living in the city and the Food Banks can’t keep up.
I’m a freeloader. Thanks for the compliment. I’m not the one with lots of coupons ahead of you at checkout. I’m the one never there who has everything delivered to my door free for 30% less.
The growth is definitely slowing, though. Even our Governor made mention of that, recently. This declining inertia will eventually lead to a collapse of the sales tax system as we know it and depend upon it.
the growth is down, but the city is being run like a business? elsewhere in the agenda is a write off of uncollectible accounts $131,000 at the landfill and $9000 for a water bill however we just moved, got a final bill and check and dun letter (for $40) crossed in the mail how can we chase $40 but not $9000 or $131,000?
No personal or corporate income tax is why there’s a reason to live in Southeast South Dakota. Shopping in nearby food and clothes sales tax free Minnesota is another. Much of internet sales is tax free. Annual tax on nearly every type of vehicle is lowest in the nation. There are lots of RV owners who’ve never been to South Dakota. Health care is well above average. Cost of living was low but is still affordable. If you can live on less, you pay less federal taxes and can almost live on social security. There’s lots of reason to live and retire in South Dakota. Now, let’s remove corrupt government so we can also be proud to live here.
This declining inertia will eventually lead to a collapse of the sales tax system as we know it and depend upon it.
Then, we can join the other 43 states who understand that less dependence on sales tax and property tax revenue and more dependence on a state income tax is a much more progressive, equitable way to go.
E-commerce is beginning to do to states’ sales tax receipts what Netflix once did to Blockbuster Video.
In the near years to come this collapse will begin to multiply, with the only hope being that the SCOTUS will revisit their ’92 Quill decision on state sales tax collections.
But such a hope would at best give states a long arm reach with an enforcement nightmare to contend with. Unless the Feds become the collectors and enforcers for the states, which would ironically mean more federalism coming to the aid of state conservatives who tend to covet sales taxes over more progressive tax systems; which will, through further complex irony, require congressional intervention that conservatives in DC will most likely resist, however.
http://www.argusleader.com/story/blogs/jonathanellis/2015/12/16/internet-tax-bill-spurs-gop-division/77426728/
It’s time for tax reform in this state!
Sales tax revenues are down everywhere due to freeloaders like Dan Dailey and Amazon sales.
We need an internet sales tax. Not only will it bolster sales tax revenue, but it will create fair trade for brick and mortar jobs.
Many will be back to the old bandwagon of income tax. Most of those who will fund this push have low taxable incomes (retirees and trust fund hoarders) know full well an income tax will not solve the problem.
Solve this problem by implementing a sales tax on EVERYTHING. You are now required to record and pay sales tax on all purchases which you take possession of in this state and did not pay sales tax of. This process is a pain in the ass.
If the fed is hell bent on not implementing a national system to collect state sales tax, the states must enact banking laws which require banks to report all account holder purchases which state sales tax was not collected. This would not be hard and will give a citizen and the state a far easier way of accounting/auditing of online purchases.
Am I looking at the numbers wrong? I do not see a decrease in sales tax revenue. It’s not growing at the projected rate that they put in the budget that does not mean that it’s down. That is a different issue than sales tax revenue going down.
Last week, the US Supreme Court refused to hear about collecting state tax from E-Commerce. I buy everything from the Internet and groceries from Tea. It’s not a big impact but it’s my way to protest arrogant city spending and denying us a voice (vote). It’s time to lay off city employees and cancel retirements. Might also be time for a California cities styled bankruptcy in order to erase bond debt.
My (your) Man Mike Means Municipal Mismanagement. Double trouble from 3M to 6M.
The percentage is down, and that is what is concerning. Especially when you factor in we have 3000 more people living in the city and the Food Banks can’t keep up.
I’m a freeloader. Thanks for the compliment. I’m not the one with lots of coupons ahead of you at checkout. I’m the one never there who has everything delivered to my door free for 30% less.
Derek,
The growth is definitely slowing, though. Even our Governor made mention of that, recently. This declining inertia will eventually lead to a collapse of the sales tax system as we know it and depend upon it.
the growth is down, but the city is being run like a business? elsewhere in the agenda is a write off of uncollectible accounts $131,000 at the landfill and $9000 for a water bill however we just moved, got a final bill and check and dun letter (for $40) crossed in the mail how can we chase $40 but not $9000 or $131,000?
You’ve certainly posted many times about buying goods in other states to avoid paying taxes. Thats freeloading in this state.
No personal or corporate income tax is why there’s a reason to live in Southeast South Dakota. Shopping in nearby food and clothes sales tax free Minnesota is another. Much of internet sales is tax free. Annual tax on nearly every type of vehicle is lowest in the nation. There are lots of RV owners who’ve never been to South Dakota. Health care is well above average. Cost of living was low but is still affordable. If you can live on less, you pay less federal taxes and can almost live on social security. There’s lots of reason to live and retire in South Dakota. Now, let’s remove corrupt government so we can also be proud to live here.
“The Blogger Formerly Known as “Winston” says,
This declining inertia will eventually lead to a collapse of the sales tax system as we know it and depend upon it.
Then, we can join the other 43 states who understand that less dependence on sales tax and property tax revenue and more dependence on a state income tax is a much more progressive, equitable way to go.