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Why I stopped buying world coins on eBay or from US dealers … sales tax
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<p>[QUOTE="calcol, post: 24794264, member: 77639"]You make a good point. Yes, merchants would have to report to IRS the taxable sales sent to each state. So, yes, they or their accountant would have to know what is and isn’t taxable in each state they ship to. And they would need to send their database of taxable shipment values and destination addresses for the states to use for distribution to their subunits. Then the states would do the work of figuring out how much total tax is due and which subunits get it. Merchants would still have only one sales tax bill to pay per year (or maybe quarter) for out-of-state shipments.</p><p><br /></p><p>I’ve wondered how a state can force an out-of-state merchant who has no physical presence in a state to collect sales taxes on items delivered to that state. Yes, the Wayfair decision states they are supposed to pay it, but how is it enforced? For example, suppose a merchant in Idaho, who has no physical presence in Nevada, sells and ships taxable items to Nevada residents. If the Idaho merchant refuses to collect Nevada sales tax, what then? Can Nevada sue the Idaho merchant or bring criminal charges? If so, would it have to be in an Idaho state or federal court? Are there federal laws that require merchants to report out-of-state sales?</p><p><br /></p><p>Cal[/QUOTE]</p><p><br /></p>
[QUOTE="calcol, post: 24794264, member: 77639"]You make a good point. Yes, merchants would have to report to IRS the taxable sales sent to each state. So, yes, they or their accountant would have to know what is and isn’t taxable in each state they ship to. And they would need to send their database of taxable shipment values and destination addresses for the states to use for distribution to their subunits. Then the states would do the work of figuring out how much total tax is due and which subunits get it. Merchants would still have only one sales tax bill to pay per year (or maybe quarter) for out-of-state shipments. I’ve wondered how a state can force an out-of-state merchant who has no physical presence in a state to collect sales taxes on items delivered to that state. Yes, the Wayfair decision states they are supposed to pay it, but how is it enforced? For example, suppose a merchant in Idaho, who has no physical presence in Nevada, sells and ships taxable items to Nevada residents. If the Idaho merchant refuses to collect Nevada sales tax, what then? Can Nevada sue the Idaho merchant or bring criminal charges? If so, would it have to be in an Idaho state or federal court? Are there federal laws that require merchants to report out-of-state sales? Cal[/QUOTE]
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Why I stopped buying world coins on eBay or from US dealers … sales tax
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