Print
Return to online version

August 4, 2011

And the Winner of this Week’s James McLaughlin Award Is…

Carroll Andrew Morse

…United States Senator Jack Reed, for his comments to John E. Mulligan of the Projo on the subject of the “Amazon Tax”…

U.S. Sen. Jack Reed has signed on in support of legislation to require online retailers to collect state sales taxes on their merchandise…

Reed said the Amazon bill could get caught up in the next round of Capitol Hill’s deficit-reduction debate. Reed said he hears that the new tax-collection mechanism could incorrectly be interpreted as a new form of taxation by Republicans who oppose raising taxes.

(The meaning of the award name has its roots at this link. And I don’t think this will become a true weekly feature, but given the strange logic regularly used by contemporary Democrats on all matters fiscal, you can’t rule the possibility out…)

Comments

At the link....is not working

just like RI's other (Linc)

Sammy

Posted by: Sammy at August 4, 2011 7:29 PM

"Reed said he hears that the new tax-collection mechanism could incorrectly be interpreted as a new form of taxation"

Let's walk through this.

Say I went on Amazon in July and I purchased a Rush Limbaugh bobblehead doll without paying a tax.

Earlier this week (I'm starting a collection), I went on Amazon and purchased a Laura Ingraham bobblehead doll without paying a tax.

In September, Jack Reed's law kicks in. Accordingly, for my Glenn Beck bobblehead doll, I have to pay not only the purchase price but, for the first time, I have to pay an additional 7% that goes straight to the Rhode Island Division of Taxation.

Can the senator please explain how this is not a new form of taxation?

Posted by: Monique at August 4, 2011 9:19 PM

It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax. It's not a new tax.

Believe it yet?

Posted by: Patrick at August 4, 2011 10:05 PM

Of course it's not a tax. You'll just be paying more money to government... in a set pattern... based on your purchases of certain goods...

Posted by: Dan at August 4, 2011 10:08 PM

congressman/woman can you tell me why you deserve a 3% pay increase, premium healthcare and a pension all paid for by the american taxpayer when the american taxpayer cannot find work has no health coverage or health coverage thats to expensive to use and will probilly never collect social security because washington has screwed up that to

Posted by: mike at August 4, 2011 10:27 PM

congressman/woman can you tell me why you deserve a 3% pay increase, premium healthcare and a pension all paid for by the american taxpayer when the american taxpayer cannot find work has no health coverage or health coverage thats to expensive to use and will probilly never collect social security because washington has screwed up that to

Posted by: mike at August 4, 2011 10:27 PM

It's not a new tax ... It's not a new tax ...

(clicking ruby slippers)

It's not a new tax ... It's not a new tax ...

It's not a new tax!!

Thanks, Patrick!

Posted by: Monique at August 4, 2011 11:03 PM

I think this is an idea which requires more consideration than it's proponents have given it.

It seems to me that a sales tax applies to the place where the sale is made. So, if Amazon consigns the sale, FOB, in Michigan to a purchaser in RI. The title passes to the buyer in Michigan, the sale is complete. I thnk there are Constitutional problems with RI attempting to tax a sale in Michigan. There is a lot of law about where a sale is made, and when the sale is complete.

For consumers, the age of "easy returns" has obfuscated much of this, and there is little concern over what state laws govern. eBay buyers seldom understand that the sale is complete when a seller consigns the item to a shipping company. If it is "insured", they do not realize that they are the "insured", and the loss is their problem. The seller who purchased the insurance only did it as their agent, and technically has no responsibility.

Posted by: Warrington Faust at August 5, 2011 12:05 AM

Sorry Monique but that's actually the bizarre right wing bobble-heads collection tax. It's a little known tax that comes with a bizarre left wing bobble-heads exemption. Its the only known liberal tax break passed in the last decade. You would have paid no tax for Obama, Biden, Reid, and Pelosi bobble-heads. Romney's was taxable until he signed health care in Mass and Palin's is deductible as long as you use it for target practice.

Posted by: Max Diesel at August 5, 2011 7:12 AM