WTF Rockauto?
- Thread starter Supercharged111
- Start date
- Status
Here is what I don't understand.
How does another state know what Summit, Rockauto, etc is collecting in taxes for another state?
How does another state know that Summit, rockauto, etc has done any sales in another state?
I understand the state Summit or rockauto is in physically located knowing what they collect for their in state taxes (because they have to file taxes with the state), but how do other states know they are collecting taxes for out of state sales.
Someone could only submit sales numbers for the sales done in the state they are physically in. That someone could say that the other states could go pound sand because how would they know how many sales have been done in other states.
The racket is, Summit, rockauto, etc can collect taxes for the other 49 states, but they never have to pay the taxes in those other 49 states. I don't know how the state would know what summit, rockauto, etc has in sales for their state. If they never know the sales, why pay taxes to that state.
Ebay/Paypal is the same way. They charge you the sales tax, but how do you know they pay the sales tax.
Maybe I am missing something.
If someone doesn't want to pay taxes, someone could open a "car business" and get a sales tax exempt number. That way that person doesn't have to pay any taxes for any state.
How does another state know what Summit, Rockauto, etc is collecting in taxes for another state?
How does another state know that Summit, rockauto, etc has done any sales in another state?
I understand the state Summit or rockauto is in physically located knowing what they collect for their in state taxes (because they have to file taxes with the state), but how do other states know they are collecting taxes for out of state sales.
Someone could only submit sales numbers for the sales done in the state they are physically in. That someone could say that the other states could go pound sand because how would they know how many sales have been done in other states.
The racket is, Summit, rockauto, etc can collect taxes for the other 49 states, but they never have to pay the taxes in those other 49 states. I don't know how the state would know what summit, rockauto, etc has in sales for their state. If they never know the sales, why pay taxes to that state.
Ebay/Paypal is the same way. They charge you the sales tax, but how do you know they pay the sales tax.
Maybe I am missing something.
If someone doesn't want to pay taxes, someone could open a "car business" and get a sales tax exempt number. That way that person doesn't have to pay any taxes for any state.
It would take a month or more to explain stuff in detail, but basically for e-commerce, if you do the "nexus" test threshold, which is USUALLY $100,000 in sales or 200 separate transactions (check with the state as this could vary), the onus is on YOU to collect the state taxes based on where the customer resides. Shipping address is assumed where the order originated. This simplifies things somewhat but the rest of it can be a nightmare. The seller is accountable to know each and every state tax rates at the time of sale. What a crock. If they don't collect the tax, that's ok. They're still responsible for paying the taxes due or face hefty penalties or possibly getting booted out of the state. The old way of no physical presence in the state means for the most part, those no-taxes-collected-on-internet-orders days are over. And it's on the e-commerce vendor to deal with keeping up with everything. So, if a business doesn't want to serve a certain part of the country because of the tax complications, there's nothing anyone can do about it. If they want to voluntarily give up the business in that area, it's on them.
Crazy rules make you not want to do business on every part of the interwebz. Michigan, for example, requires those vendors that meet the nexus threshold to submit MONTHLY tax receipts for gouging, I mean, taxing customers in that state. That's enough right there to make you go "fugg it". You can skirt it, for a while most likely, but if they ever found it...yeesh. Wouldn't want to be you.
Granted, it's helped the brick and mortar operations by leveling the tax playing field, but it's also much more of a PITA. IMO, it'd be more streamlined to have an e-commerce national sales tax and let the treasury divvy up the taxes collected to ALL the states. Simple. Maybe that's why they didn't do it that way because then the state of NY would whine about not getting the lion's share of the pot. Heck, MLB and NFL does it already by supporting the "smaller teams", so why can't e-commerce support some of the weaker states? I thought we're all in this together (unless you're a greedy, greasy f*ck with a letter after your name).
You just described COMMUNISM!!!!!!!!
I didn't describe communism. Because that isn't what it is. Even Marx described it differently. One main difference, communism gets rid of capitalism. Nor is there any sense of equality. Which means Summit, RockAuto, etc., wouldn't be free to make money the way they do now. I'm never in favor of abolishing capitalism.You just described COMMUNISM!!!!!!!!
I was just looking at ways that businesses could have a bit easier time dealing with all the tax collection and payments separate to all the states. It's kind of BS the way it sits right now. The current method is harder to manage for small e-commerce businesses. I wish we were taxed more on consumerism instead of income.
Go back to the way it was would make it easier on businesses and cheaper for the consumer.
Allegheny County does the same thing with a 1% sales tax on top of the Pa 6%.
Now one thing that burns me with all these online venders taxing all sales is not only the goods get taxed the shipping cost get taxed. When was the last time the USPS charged you local sales tax on your stamps? Packing material used & being added by it's value maybe but I'm on the fence for something they could find a loop hole & use those cost for a tax write off.
Figures, Pittsburgh is just a worse version of Philly... Not surprised they would copy our lame taxes. 😂
I wouldn't be surprised if they (and others) got caught pocketing the money.......
- Status
Similar threads
