4 ms·
Stupid question, but why should a state get sales tax for something bought online? I guess the idea of sales tax is that the sales was facilitated by the state
by bko 3y ago
Stupid question, but why should a state get sales tax for something bought online?
I guess the idea of sales tax is that the sales was facilitated by the state through things like roads and infrastructure. But is it true for online sales? It's certainly less true than something I buy downtown main Street. So what gives?
- tzs 3y agoIf you want the gory details here's the Supreme Courts opinion in the case that allowed it: South Dakota v. Wayfar, Inc., et al. [1]. [1] https://www.supremecourt.gov/opinions/17pdf/17-494_j4el.pdf https://www.supremecourt.gov/opinions/17pdf/17-494_j4el.pdf
- secabeen 3y agoThe answer is because the Sales tax is formally the Sales and Use tax. The tax is generally on the use of a purchase, which is facilitated by the services of the State beyond just the sale. It's collected at point of sale as that's easiest. If not collected at point of sale, it's still due as a Use tax.