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1 post • joined 11 Feb 2012

Why Amazon, eBay and Google are building bricks-and-mortar stores

God in a Box

Sales tax is a non-sequiter. In the US, if you order a product from across state lines (i.e. from a catalog or on the Internet), you don't pay sales tax; instead you pay a use tax, which is invariably set at the same rate as the state sales tax. Certainly it is easier to defraud the state on use tax as opposed to sales tax, but neither one affects the pre-tax price of the product.

It is the pre-tax price of products that is generally cheaper at Amazon. No *fair* amount of taxation is going to fix that.

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