Amazon is going to have to start paying sales taxes to the State of California. Apparently, at least for the moment, other states need not apply, though Amazon’s aspirations to achieve same day delivery (which implies distribution centers almost everywhere. ) seem to bode ill for any continued legal basis to justify Amazon’s exemption from state sales taxes elsewhere.
If, and I know this is not to be expected, we had sane, non-corrupt Congresspeople all e-commerce would be subject to local sales taxes. The states need it, and it could be implemented easily by even a mom and pop Internet retailer. All it takes is software. Even Republicans like Romney should like the idea, because though it makes sense to even the retailing playing field and get badly needed cash to the states, it’s still, in a larger sense, just the kind of bad policy they like, since it’s the kind of regressive tax they favor, if taxes we must have.
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