Saturday, May 14, 2011

Nevada Considers Online Sales Tax, Pisses Off Amazon.com

Nevada's offline brick-and-mortar retailers want the state to start collecting sales taxes on online purchases. They say doing so will even the playing field and remove a major advantage web-based sellers have. State officials are giddy over the prospect of lots of new tax revenue, which would be about $32 million in the first 2 years alone.

Amazon.com is, understandably, PISSED OFF about the idea an is already threatening to abandon its investment in supply-chain fulfillment centers/warehouses in Nevada. According to one Vice President:
"[the new legislation] would make us reconsider our pending plans for jobs and investment in Nevada, including in Las Vegas."
That's not good news for a state that is struggling with huge unemployment levels.

Some experts say that the new tax laws are designed to help small local retailers and to protect and even bring back jobs lost due to the "unfair" advantage online retailers like Amazon have. But in reality the multi-billion dollar retail giants like Wal-Mart and Target are the ones really pushing the online sales tax legislation in Nevada and other parts of the US.

We say: TAXES SUCK! Instead of making online stores charge high sales taxes, why don't we try lowering or removing sales taxes on offline sales in the state. We have a feeling a LOT more people would be shopping in Nevada!


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