Online purchase taxation coming to AZ (Phoenix: sale, health insurance, sales tax)

[Finger Laker]

right on - didn't see that update for the 2012 returns

as mentioned it doesn't take away the "use-tax" though

[azriverfan.]

It's still cheaper to shop with Amazon. You don't pay city tax so you are saving about 3%. With Amazon prime, shipping is free. Furthermore, Amazon receives special rates on certain items that Walmart, Target and Best Buy doesn't receive. For example, DVD's are often cheaper from Amazon than Target or even Walmart. And for me, I like to pre-order DVD's prior to their release and I will receive them at my home for free on the day of release (Tuesday).

Lastly, many items simply can't be found at big box retailers like certain DVD's, CD's, books etc. Not only can you find them on Amazon, with Amazon prime, I can have them shipped for free within 2 days to my door. And the Big Box stores like Best Buy offer lousy service. Why am I going to drive there, receive bad service from some lazy 20 something and then discover they don't even carry the item I'm seeking. Best Buy is on its last legs, it's only a matter of time before it declares bankruptcy the way Circuit City and Ultimate Electronics did.

I think the reasons for charging sales tax didn't make much sense. It's not going to change people's shopping habits. If anything, this sends the wrong message to Amazon. We are not California, we can't afford to pi#$ off companies that are willingly doing business here.

[azriverfan.]

Originally Posted by Potential_Landlord

Clearly, a big win-win for all Arizonans:
win1) The local government has more revenue which it spends almost completely local
win2) Local retailers who actually employ people in Arizona have a better chance to compete which increases revenue for the private sector. This in turn will be spent more locally too (rather than at Amazon headquarters in Seattle).

Ideally, the state government would spend the money on wages, particularly the lower wage bracket. Higher government wages will require the private sector to raise wages as well or lose employees. Somebody has to start boosting our way-too-low median incomes in Arizona.

Really, do you recall the last sales tax increase that we voted on that was supposed to go toward education and instead went to the nebulous government coffers. There is a lot of red tape in our government and you have to question how much of those increased taxes actually goes to benefit the people. I trust the private sector far more.

[johnp292]

I think Arizona's just ahead of the curve on this one. There's talk of similar steps coming in other states.

[shiphead]

Originally Posted by Steve Pickering

You must pay for government somehow. When you buy out of state you defeat the purpose of taxation to operate government.

The solution is to stop voting for those who want to grow government.

The past 20 years has been the exact opposite. It seems everyone wants everything and not have to work for it. Whether its giant corps or individuals. gimme gimme gimme should be the new American theme song.

Originally Posted by stephen431

The original rationale for taxing income, was that it would incentivize local governments to grow the income base with higher incomes and more industries. The rationale for taxing property was to keep property values from dropping. It made it less likely to allow factories to be built in residential areas, and more likely to build parks and good schools.

What do the sales taxes incentivize the government to do? Raise the cost of living?

hahaha. This is the best post ever.

[PoppySead]

Originally Posted by stephen431

The original rationale for taxing income, was that it would incentivize local governments to grow the income base with higher incomes and more industries. The rationale for taxing property was to keep property values from dropping. It made it less likely to allow factories to be built in residential areas, and more likely to build parks and good schools.

What do the sales taxes incentivize the government to do? Raise the cost of living?

It's for snowbirds, transplants, business. Low property tax, higher sales tax = more spending. Service industry state, makes more money on the way out instead of the way in.

[Zonie5]

all i can say is i don't shop Amazon .

[JamestheFin]

Originally Posted by azriverfan.

Really, do you recall the last sales tax increase that we voted on that was supposed to go toward education and instead went to the nebulous government coffers. There is a lot of red tape in our government and you have to question how much of those increased taxes actually goes to benefit the people. I trust the private sector far more.

When politicians say 'It's about the children', it isn't about the children. This is all about the government & their union thugs taking their cut like a mafioso.

[Steve Pickering]

Originally Posted by JamestheFin

When politicians say 'It's about the children', it isn't about the children. This is all about the government & their union thugs taking their cut like a mafioso.

Sadly you are 100% correct.

[Rick Lee]

If Amazon has no brick and mortar ops in AZ, why should they be paying any taxes to AZ? They get zero gov't. services - no fire, EMS, police, garbarge, water, nothing. They have no employees using the roads here. They cost the state nothing, so they should pay the state nothing. When I buy books, I just buy used from half dot com. I buy a lot of car parts from a drop shipper in CA with free shipping and no sales tax. There are always drop shippers on eBay who ship from outside AZ and don't charge sales tax too. Other than gas, groceries and booze (which is already dirt cheap in AZ compared to other states), that's how I shop. The state will never try to cut spending, they'll just look for more revenue. If I live above my means, it doesn't make any kind of case for asking my boss for a raise. Starve the beast, don't feed it.