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> My understanding is that states can only compel companies to collect taxes up front when they have a physical presence in the state of the consumer. This use
by the_watcher 10y ago
> My understanding is that states can only compel companies to collect taxes up front when they have a physical presence in the state of the consumer.
This used to be true (in fact, from what I understand, it's why Bezos chose Washington as his HQ, although the details are escaping me - did WA not have a sales tax in the early 90s?). However, a few years ago, this changed to having a "nexus", which is a more vague definition that takes into account amount of business done in the state.
- codemac 10y agohttp://dor.wa.gov/docs/reports/2010/tax_reference_2010/06taxhistory.pdf http://dor.wa.gov/docs/reports/2010/tax_reference_2010/06tax... Nope, they've had a sales tax since 1935
- the_watcher 10y agoYea, my family is from Seattle and I don't ever remember my grandfather complaining about a new sales tax up there. I'll have to find the source that describes why he chose Washington.