2 ms·
The issue as I see it is they're pushing the burden of collecting taxes onto out-of-state companies. California, like most (all?) other states with sales tax,
by nirvdrum 15y ago
The issue as I see it is they're pushing the burden of collecting taxes onto out-of-state companies. California, like most (all?) other states with sales tax, has a use tax that is to be paid by the constituent if sales tax is not collected by the merchant. Use tax requires honesty on the part of the constituent, or tax audits, and I'm guessing they're not having much luck with either. So, CA wants to push that on out-of-state merchants to reduce their own burden.
Having inadvertently formed nexus in other states before, I can assure it's an absolute pain in the neck to deal with. The author here muddies the issue with his anti-tax stance, but I can wholly empathize with anyone that doesn't want to become a CA tax collector due to some rewrite of what constitutes nexus.