Quote:
Originally Posted by forbes
Forcing online vendors to collect local taxes would create significant burdens on interstate commerce. There are approximately 7,400 local jurisdictions in the U.S. and different definitions and exemptions further complicate the code. For example, is a cookie a “candy,” (which is taxed in most jurisdictions) or a “baked good,” (which is typically tax-exempt)?
|
perfect example:
Washington state started a "sin" tax 2 years ago for candy, soft drinks etc. Of course to tax candy you have to define candy. The legislature drew a line at flour content. So a Snickers was taxed as candy but a Kit Kat or Twix wasnt because those last too have significant flour in them.
Washington voters repealed the tax in a referendum in 2010.
Someone selling energy bars over the internet would have had to comply with two sets of rules for that one jurisdiction over the period of 12 months.