| What affect does Internet purchasing have on local governments and sale tax revenues?

What affect does Internet purchasing have on local governments and sale tax revenues?

Cotton Eye Joe asked:


Do you ever feel guilty that you are buying something out of state for tax free?

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Comments

One Response to “What affect does Internet purchasing have on local governments and sale tax revenues?”

  1. MadMan on May 1st, 2009 2:00 pm

    Buying online and not paying sales tax reduces the taxes available in your local community to pay for things like roads, police and schools. Also, is it really fair competition with local stores if the only advantage that an online retailer has is that it does not collect sales tax? In New York state, it is the responsibility of residents to pay the taxes even if they are not collected by the online retailer, though most do not. I think that eventually large retailers, like Amazon, will have to collect the tax no matter where you live.