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@Life inAsia: The government is shifting the burden of tax collection onto out-of-state merchants.
@Awarn: If the states need money so bad...
My next-door neighbor has a young daughter who sneaks out at night to go to parties, and then sneaks back in before anyone wakes up. Her dad hates it, and mommy isn't too thrilled about it either. She sneaks out by opening her window and going out through their backyard and across into MY backyard and out through my open gate.
Now, rather than daddy and mommy finding a way to deal with their own daughter, they go to the city council and get them to pass a law that says that I must keep my gate locked at all times (under penalty of a large fine). This requires me to buy a lock, and causes me to have to lock/unlock my gate every time I need to go out/come in.
Daughter is now mad at ME for locking the gate.
"You charged me tax on my socks! Socks and clothing are tax-free in Minnesota! I want a refund NOW!"
The government is shifting the burden of tax collection onto out-of-state merchants. If the states decide to pay those merchants for the extra time and effort that they will have to spend to perform tax collection, that would be a different story.
(And people aren't going to start buying from Canada or other countries with the ridiculously higher shipping fees.)
Pretty good run down...