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Internet Sales Tax Passes the Senate, 69 to 27

Written by Gary North on May 7, 2013

Republicans in the U.S. Senate caved in. They voted to force businesses located in one state to serve as unpaid tax collectors for 45 other states. (Five states have no sales tax.)

The RINO Party Line is that this is not a tax increase. It is a huge tax increase. Voters will pay it. Businesses will pay it.

The nightmare of complying will kill tens of thousands of online businesses. This is a subsidy to Walmart, which pays sales taxes because it is physically located in all states. Amazon has also joined in — same reason. It has delivery centers in several states, and it plans to add lots more. These companies want small businesses to pay. They do not want competition.

The bill makes businesses, that are not under the jurisdiction of 45 states with sales taxes, serve as unpaid tax collectors for these states.

The debate now goes to the House. If Republicans in the House cave in, you will find out just how large a tax increase this is.

Online business sites are not fighting this tax. They are rolling over and playing dead. “What, we should worry?” If this bill is passed by the House, they will find out just how much they should have worried.

The House Bill is H.R. 684. It is called the Marketplace Fairness Act.

There is nothing fair about this tax. Businesses that get no benefits from government spending in 45 states will be forced to collect taxes from residents of those states.These is a term for this practice: taxation without representation.

Don’t roll over and play dead. Contact your Congressman. Say that you oppose any tax increase. Explain that you take this vote seriously enough to determine whether you will vote for him in 2014. Explain that opposition to this bill is a non-negotiable political issue in your view. Mention its name and number. This will show that you really are serious about this.

If you do not know who your Congressman is, use the House’s search service. All you need to do is supply your zip code.

If the site does not offer a Contact Me email address, call the local office. Make sure your opinion is counted.

If you are on a social network, warn your friends. Link to my article. If you post on Twitter, and you need a link shortener, use bitly.com.

There is a Twitter feed on this: No Net Taxhttps://twitter.com/search?q=NoNetTax

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49 thoughts on “Internet Sales Tax Passes the Senate, 69 to 27

  1. Only two options….call your Congressman/woman, and VOTE THEM OUT OF OFFICE…The GOP are one sick bunch of RINO's .

  2. The house must reject the internet sales tax, we are taxed enough already

  3. Just quit shopping the big stores.Keep score, there isc an election next year.

  4. Richard says:

    I don't do much purchasing on the internet, only an occasional disk or some other computer equipment from Amazon. I may have to cease totally!!

  5. This is getting so ridiculous. The government can't find enough things to tax us with…… We will probably eventually get taxed on the amount of air we consume…… Remember which politicians vote for this and vote them out. Enough already.

  6. Burt Fisher says:

    Which one of the enumerated powers of the US Government grants them the authority to do this?

    I'm waiting……


  7. profitup10 says:

    The to BIG TO GOVERN central collective in DC has now gone to the aid of the super retailers – making rules and regulations that will limit the small business from growing into a competitor. How will growing businesses create new jobs if they are limited to $ 1 million in revenue before they must file sales tax returns in 9600 separate taxing areas. They will then be audited by many of these running up accounting bills and even legal bills. We the people must take action and here is how we can make the central government small and weak. http://articlevprojecttorestoreliberty.com/articl

  8. Don't give these blood suckers any idea's! Anything to get more money out of the working class (since obviously they are not working on our behalf)!

  9. Uh, you're apparently not familiar with the Constitution. The 16th Amendment gives Congress the authority to impose taxes.


  11. LOL. If you're making $1 million in revenue, you can afford an accountant to do your taxes. And in fact, most businesses, large and small, do anyway. Suck it up already.

  12. Dark Patriot says:

    Do you have any idea what you are talking about? I didn't think so. $1G revenue is very little for any company that can afford 10 employees. You are sucking a dead one Shane! You just fired 9 people. Now you pay their expenses. Don't blame greedy owners. Put your own money up instead. Otherwise, don't speak. It exposes that you are nothing but an obvious taker.

  13. profitup10 says:

    Shane –
    Revenue is GROSS – they might just make $ 50,000 in total profit – that will not file many of the 9600 tax returns needed. Think about it just to mail the forms would be $ 4,800 in postage. Sorry but read the 16th amendment and share with us the language that AUTHORIZES congress to tax different incomes at different rates – is that not in violation of several other amendment like discrimination, 5th amendment "TAKING" clause. Sorry but they are usurping as they do not have that power and neither does the Supreme Court. Read the above link it has many sources to back up the post.

  14. boone1 says:

    Well i sell on e-bay i won't be doing that anymore.The government has put the little guy under the bus again for big business

  15. ngeorge says:

    This bill does not impose a federal tax. It forces companies not domiciled in a state to pay sales taxes in that state. That is not one of the enumerated powers of the federal government, and is geographically beyond the jurisdiction of state governments.

  16. BigCat772 says:

    Where can we find out which Rep. Sen. caved???

  17. Ludwig says:

    Shane is a troll.

  18. You dingbat! How little you know and understand. A business may have $1million in revenue, but has $980,000 in overhead, expenses, payroll, those accountants…the list goes on and on and on. And for your INFORMATION, a business with payroll MUST MATCH the payroll social security and medicare $ for $. Yeap…DOLLAR FOR DOLLAR. And file all the paperwork, blah blah blah for NOTHING from the governement. Every small business owner is the UNPAID GOVERNMENT TAX COLLECTOR EMPLOYEE!! ANd if the business owner makes one small miscalulation, the GOVERNMENT is on your doorstep with fees and pentalities….never mind they are already doing all this for the government for FREE…..I have a brick and morter business and I have to collect, deposit, reconcile at the end of the month,and send to the state the tax collected. I DO THE PAPERWORK because I can not afford a CPA to do the paperwork. AGAIN, THE GOVENMENT UNPAID TAX COLLECTOR EMPLOYEE. But say, I do hire a CPA, so I am not only doing this for $0, I have to pay someone to do it. I LOSE!!!

  19. F^ck em. Let them come after all the little retailers. I say, don''t pay, don't report, don't comply.
    Sue the IRS. Prohibition was repealed because the feds couldn't afford to fight all the lawsuits against prohibition.

  20. The Constitution gives congress a power to tax and regulate commerce however that is on a federal level. Congress does not have power to force residents of the individual states to pay taxes to other states. It is certain this internet tax legislation will find it's way before the Supreme Court.

  21. "We will probably eventually get taxed on the amount of air we consume…"
    Ironically that's what's behind the global warming hoax that the governments of the world still cling to (even though the earth just experienced a record winter and the world is cooling). The carbon tax is literally a tax on humanity for the "crime" of being alive, i.e., breathing.

  22. It isn't the point whether someone can afford to pay the tax. We are taxed enough and you idiot will have to pay more. They can't force other states to collect taxes on other states. Your are a closet liberal.

  23. OldRockerguy says:

    For those of you that are interested to see how your Senators voted check out the following website to see the results; http://www.senate.gov/legislative/LIS/roll_call_l

  24. WRONG, Chuck! They are not RINOs! They are the Real Republicans, and are the members in control of the RNC, the party funds, and its rules! Conservatives, including Tear Party members) need to move to a real conservative party – the Constitution Party!

    We are wasting our time and resources trying to wrest control from the establishment Republicans. Even if we won, we would have a party which has been rejected – for good reason – by most voters. How does a party regain credibility with voters after it has lied to them so often and for so long? Answer: It can't.

    Please, abandon ship! Swim over to the Constitution Party! It has a clear, unambiguous message to present to conservatives, including those who are in the Democratic Party because they cannot stomach voting for what they consider to be out-of-touch "country club" GOPers. http://www.constitutionparty.com

    And, please ask your "conservative leaders" to lead the move by announcing they have changed registration (Sean Hannity has announced he is now a registered Conservative). However, we need to move to just one conservative party or we will divide our collective strength. I recommend the Constitution Party because it is third in state registrations, so the efforts to qualify for state ballot recognition of its candidates is minimized.

  25. You are correct. This internet tax legislation is unconstitutional and will eventually come before the Supreme Court.

  26. Wolfman says:

    these A-holes will try to tax anything

  27. P#$$#D says:

    Nelson fl turn coat. YEA

  28. If this were really a sales tax (it's not. It's a PURCHASE tax.) it would be easy for every business to handle. The vendor would just pay whatever the tax is on the sale to his tax authority. It's what happens when an out-of-state customer walks into a brick-and mortar business and makes a purchase. There would be no need to worry about where the purchaser lived and what his home tax rate might be or where the money should be sent. But don't expect the government to do anything that's easy or makes sense.

  29. Wolfman says:

    Rotten Tax Happy Bastards

  30. Sutekh says:

    Congress has adequately shown that it cannot be trusted with money, by passing all these entitlement laws, giving entitlements to beneficiaries who don't pay for them. And beneficiaries of Social Security and Medicare, who pay taxes for these benefits, have had the estabished funds "borrowed" and spent out from under them.

    No more money for Congress. And no more borrowing, either. No vacations, no secretaries and interns who can't type, and no more perks. Let them forfeit their pensions and retire on Social Security and be served by Obamacare like everybody else. Any government program, such as Congresswional perks, that treats public officials differently than ordinary citizens (excepting the provisions written into the Constitution, such as immunity from arrest while en route to a session of Congress,) is unconstutional.

  31. "Uh, you're apparently not familiar with the Constitution. The 16th Amendment gives Congress the authority to impose taxes."

    LOL, good old Shane. He cites the amendment that gives Congress the authority to impose an INCOME tax, not a sales tax. Maybe someday Shane will actually bother to read the Constitution.

  32. Think this is bad ? Just wait till AGENDA 21 kicks in ! You ain't seen nothen yet ! Perhaps everyone should start considering the HEGELIAN DIALECTIC and the political left/right paradigm ! !

  33. Do you ever think we will learn our lesson and get smart enough to vote out these reprobates. I will guess that most of the scumbags that voted for barry care, marriage for for queers, amnesty for illegal aliens, etc. I am almost certain you will find the same names coming up again and again. They think we won't remember who they are. I for one do and will. Beware you reprobates.

  34. The high-tax states are opposed to levying tax on their own businesses when they sell items online to customers in other states. This is because online businesses would move to the lowest tax jurisdiction with the necessary infrastructure. States would be in direct competition for businesses based on their sales tax as a critical issue.

    This thing will be the death of eBay. How can you sell something nationally if you thus have to report and submit taxes to dozens of agencies, each with their own rules?

  35. Hasn't anyone figured out that this new sales tax is unconstitutional? Here's why.

    Article 1 sec. 10 para. 2
    No State shall, without the Consent of the Congress, lay any Imposts or Duties on Imports or Exports, except what may be absolutely necessary for executing it's inspection Laws: and the net Produce of all Duties and Imposts, laid by any State on Imports or Exports, shall be for the Use of the Treasury of the United States; and all such Laws shall be subject to the Revision and Controul of the Congress.

    The problem here is that imported goods which make up most of the internet sales are immune to state taxes including sales taxes. While they can actually collect them the problem is that the revenue belongs to the Federal Treasury. They are not allowed to keep it!
    This new sales tax collection effort is UNCONSTITUTIONAL. They only way the states can collect and keep the revenue is by a Constitutional Amendment!

  36. This is really hitting low, I mean low as usual on to the middle class. Oh well there is lot of countries to go and make business from. I ask would it be nice to keep sending our business to China, India, Egypt and or Pakistan?

  37. Rattlerjake says:

    The Constitution Party (in NC) CLAIMS to support the second amendment yet to join you must pledge, " I will not engage in any activity or belong to any organization that attempts to or promotes armed rebellion or the illegal overthrow of the legal Federal and/or State Governments as stated in the North Carolina State Constitution in Article I Sections 3, Section 4 and Section 5." The second amendment IS to allow for armed rebellion or overthrow of a tyrannical government as we presently have. Additionally, there is NO level to join without paying for membership or donating – why? I'm sick of these political parties and organizations because ALL THEY WANT IS YOUR MONEY, and what do they do? Nothing! Where are the law suits or fight by the Constitution Party against Obuthead and his fraudulent documents? Where is the Constitution Party in the fight to force this government to secure the borders and prevent them from implementing this immigration reform bill? How about the Constitution Party forcing an investigation by congress of the 911 fraud? The Republicans claim to stand for the same things and they don't do it either!

  38. Bob McKenna says:

    "Fairness Act" More misnomers to try to cover up another politicians grab for the peoples money. Another job killing, business killing tax plan that will benefit only those who take the money and waste it. There are those who say that there is no difference in the major parties. When it comes to grabbing money, it looks as if they are right.

    If the house passes this mess, it will prove that they are right. Small internet business, because of the cost of compliance, will disappear. Markets once available to consumers will go away. All in the name of "Market Place Fairness". What bullsh*t !

  39. Tried to comment, and Rattlejake's comment was not there!My comment:Rattlerjake, I agree! I was not aware of such language in the NC Constitution Party, and you are correct – the abilty to defend against a federal government that violates its limited powers is one the prime reasons for the 2nd Amendment! However, what I am proposing is a mass move of conservatives to ONE conservative party to replace the GOP. When (and, sadly, if) we do so, the Constitution Party will be what the new majority of members make it to be! We need it for its infrastructure – so we do not have to start from scratch to create a new party under the draconian rules the Republicrats have placed in the way of any competition! And such language as you mention would not stand!

  40. Bull57 says:

    I have a novel idea, spend less, tax less! Humm, what do you think?

  41. As a small business owner I actually agree with this tax. This will put the small local businesses on equal footing with the internet giants. I lose sales daily because I have to charge sales tax, and I have to pay for shipping. Let the big internet companies do the same..

  42. You obviously are not a small business owner!!

  43. Bob Marshall says:

    It seem they are using the 16th Amendment. Ratified on 2/3/1913-Status of Income Tax clarified. 1913 was the year our Constitution stopped being the law of the land.

  44. RLM357 says:

    I strongly suggest that ALL those that Voted For this TAX be defeated in the next Election and expecially the RINO's. These people failed to listen to us, who voiced our opposition and instead chose the Gready Opposite, in passing this Bill ! Now let us pray that Congress votes it down. Congress is the only constituional power to impose Taxes. ~Rick Magee, FL

  45. W. Smith says:

    Won't happen in IL…I can tell you that much. Why? you ask. Dick Durbin (D). That's why. The Republican voted "Nay", Durbin always votes the party line and he's always re-elected by the idiots who live in Crook, er, I mean Cook Co. and the City of Chicago. The State of Illinois has 110 counties, but with all the lowlifes who live in Cook Co./Chicago, it doesn't matter. In IL, just one county is equal to the remaining 109 counties in elections, so the rest of us have to suck up whatever way the crooks in Chicago and in Cook Co. vote.

    I move that Cook Co and the City of Chicago succeed from the State of Illinois and they can go wallow in their filth, rather than force the rest of us to.

  46. Goober says:

    Don, I don't think your seeing the real picture here. I too, have a small business, and like you have to charge taxes I don't see the internet businesses charging. The big picture is; Its another way for government to Tax us and Waste the money their way. I do understand how you feel when these people that buy from the internet, come to see me or you to ask, how to use the product they bought? I ask them; what information did they get from the internet that would explain how to use that product? Their response is this dumb-founded look of total confusion. Then I ask them if I should charge them for my time to explain how their product works? Again, I get the dumb-founded look of confusion, sometimes it total surprise that I could even ask such a thing. To be honest, I have helped people who buy from the internet and have gained them as new customers and they always come back to me first, for their next purchase.
    Don't get me wrong, I too am have problems keeping the doors open, but when you think about it there's always going to be somebody down the road selling the same or similar product we sell. I'm just tired of giving any money in Taxes to people who spend UN-wisely. Its bad enough that congress has freedom to use insider trading to become even more rich than they already are, if we even think about it they'll put us in jail. And if you haven't heard Google this;
    "Obama Quietly Passed a Law Making Insider Trading Easier for US Politicians"

  47. taxes , taxes im sick of all this tax so they can just spend more , its all about money, when do we get money like this,how about the government pay us taxs every time they lie,

  48. Patricia says:

    Shame on the Republicans. Have you ever seen the unpopular kid in the playground giving away their apple so someone will like them? That's what the Republicans remind me of and shame on them. We pay shipping for what we purchase on the net. NOW, we'll pay shipping AND TAX. Thanks you scurvy Republicans. Find some b****.

  49. Bob Marshall says:

    One more way to rob the taxpayers.