Weekly Volcano Blogs: Walkie Talkie Blog

December 12, 2011 at 6:54pm

Sen. Regala wants your online purchases taxed

Recommend Blog Post
Total Recommendations (0)

GO LOCAL  >>>

After reading the Weekly Volcano's Holiday Guide Three: Geek Greetings Edition, you were inspired to shop the Internets hard. Uncle Jim will receive chocolate vitamins from a dude in Chicago. Cousin Willy will score a talking reindeer sold from a neighborhood in Orlando. Sister Sue will sure to be thrilled with a Hanson Singing Toothbrush sold from an attic in Wichita.

Not what we really had in mind.

Sure, sister Sue might be a bit bummed. You don't care. You completed your holiday shopping in one afternoon on your fat ass in front of the computer. And you saved money by avoiding retail sales taxes.

That's right. In a 1992 decision, Quill v. North Dakota, the U.S. Supreme Court ruled that retailers are exempt from collecting sales taxes in states where they have no physical presence, such as a store, office, or warehouse. Businesses with a physical presence in a state are therefore put at a disadvantage by having to collect an additional 5 to 9 percent in taxes on purchases, depending on the state.

Sen. Debbie Regala (D-Tacoma) will have none of it. She's calling on Washington to create a level playing field by enforcing the collection of sales and use tax on remote or online sales.  

"By not collecting this tax, Washington retailers are put at a competitive disadvantage," says the state senator in a released statement. "This hurts our local businesses and it erodes the revenues that fund our public services."

Sen. Regala is sponsoring Senate Joint Memorial 8009, a resolution asking Congress to authorize enforcement of the collection of the retail sales tax by out-of-state sellers that have no physical presence in Washington.  In the released statement, Sen. Regala states, "As of now, the collection of that tax is only voluntary; without action by Congress, in state businesses are losing sales to online purchases through out-of-state merchants who do not collect state sales taxes."

Read the rest of Sen. Regala's press release after the jump:

"The resolution deals with an imbalance that only law can change," said Mark Berejka of REI.  "Our online competitors have many advantages, one of which is that they do not have to collect this tax."

In addition to in-state businesses being passed over, Regala says every dollar not collected is revenue the state loses.  That total loss is projected to be $483 million in the 2013-15 biennial budget. 

"We all know that the marketplace is really changing and many more people are shopping online through out of state businesses, so the state of Washington continues to lose a lot of sales tax revenue," Regala said.

Washington first began working for congressional action in 2007 when it brought its sales and use tax statutes into compliance with the national Streamlined Sales and Use Tax Agreement.  As of Nov. 30, 23 other states have brought their laws into compliance with the agreement, while over 1,700 businesses have registered under the agreement to collect and remit the taxes.  Along with the state and business support, Regala says congressional interest in passing legislation has never been higher.

"This year, three pieces of legislation dealing with this issue have been introduced in a bipartisan manner," Regala said.  "Now's the time for the state of Washington to make it known that we are very interested in their following through."

Filed under: Web/Tech, Holidays, Politics, Economy,
comments powered by Disqus

About this blog

News and entertainment from Joint Base Lewis-McChord’s most awesome weekly newspapers - The Ranger, Northwest Airlifter and Weekly Volcano.

Recent Comments

Walkie Talkies said:

Thanks for posting! But I want say that Walkie Talkies are really required while organizing fun...

about COMMENT OF THE DAY: "low brow’s" identity revealed?

Humayun Kabir said:

Really nice album. I have already purchased Vedder's Album. Listening to the song of this album,...

about Eddie Vedder’s "Ukulele Songs" available today - and I don’t hold a candle to that shit

AndrewPehrson said:

Your post contains very beneficial content. Kindly keep sharing such post.

about Vote for Tacoman Larry Huffines on HGTV!

Shimul Kabir said:

Vedder's album is really nice. I have heard attentively

about Eddie Vedder’s "Ukulele Songs" available today - and I don’t hold a candle to that shit

marble exporters in India said:

amazing information for getting the new ideas thanks for sharing a post

about 5 Things To Do Today: Art Chantry, DIY home improvement, "A Shot In The Dark" ...

Archives

2024
January, February, March, April, May
2023
January, February, March, April, May, June, July, August, September, October, November, December
2022
January, February, March, April, May, June, July, August, September, October, November, December
2021
January, February, March, April, May, June, July, August, September, October, November, December
2020
January, February, March, April, May, June, July, August, September, October, November, December
2019
January, February, March, April, May, June, July, August, September, October, November, December
2018
January, February, March, April, May, June, July, August, September, October, November, December
2017
January, February, March, April, May, June, July, August, September, October, November, December
2016
January, February, March, April, May, June, July, August, September, October, November, December
2015
January, February, March, April, May, June, July, August, September, October, November, December
2014
January, February, March, April, May, June, July, August, September, October, November, December
2013
January, February, March, April, May, June, July, August, September, October, November, December
2012
January, February, March, April, May, June, July, August, September, October, November, December
2011
January, February, March, April, May, June, July, August, September, October, November, December
2010
January, February, March, April, May, June, July, August, September, October, November, December
2009
January, February, March, April, May, June, July, August, September, October, November, December
2008
January, February, March, April, May, June, July, August, September, October, November, December
2007
January, February, March, April, May, June, July, August, September, October, November, December
2006
March, April, May, June, July, August, September, October, November, December