DirigoDev - 11:07 pm on Dec 1, 2011 (gmt 0)
@dibbern2 I don't understand your question.
Even if you were domiciled in a state like New Hampshire which has no sales tax, under the new rules proposed you’d be subject to the Nexus of other states. Anything that you shipped from New Hampshire to Maine would be subject to the 5% State of Maine sales tax. We've got it easy because the entire state has a single tax rate.
Out of state internet purchases are not really tax free. This is a myth. The proposed legislation has to do more with enforcement and collection.
In Maine - where I live - citizens are required already to report on their State income tax form tax free purchases shipped to Maine so that the state can assess a 5% tax. This is called a Use Tax. The majority of Maine citizens simply ignore the law. With the exception of super large purchases, use tax is rarely if ever monitored on a large scale, as it would simply be an impossible feat for any state government to handle. Taxing larger commerce sites is simpler. We’re an easy mark.
Most states currently have use tax which specifically requires consumers to pay their state sales tax on purchases they make online that are not taxed by the business. States with some sort of Use Tax include: Alabama, Arizona, Arkansas, California, Connecticut, Colorado, Florida, Georgia, Hawaii, Idaho, Illinios, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nebraska, Nevada, New Jersey, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming, DC