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I'm in the US. By "in the soup", I mean responsible to compute and capture taxes from whatever members of the 9,000 jurisdictions that are applicable. The poi
by DanielBMarkham 14y ago
I'm in the US.
By "in the soup", I mean responsible to compute and capture taxes from whatever members of the 9,000 jurisdictions that are applicable.
The point here is that 1M in sales equates to only 100K in profits given very generous margins. Anybody selling physical product is going to be constrained under this law almost as soon as they move from a hobby to a very small ongoing online business concern. If your margins are only around 3-4%, it might not be worth the effort. You could end up with significant additional business expenses before you even get to the break-even point.
There's a reason E-bay is against this and Amazon/WalMart is for it. This is a walled-garden giveaway. All the small fry will now have to find some walled garden to operate in -- or suck up a lot of extraneous regulatory crap that they probably can't deal with. A lot of tight-margin cottage businesses will not be able to hack it [insert long discussion about whether they should have known this going in, etc]