* Posts by getjohn

1 post • joined 20 Feb 2013

E-taxes aren't really stuffing Uncle Sam's pockets enough

getjohn
WTF?

US Sales Tax - you think EU VAT is tricky?

I'm UK based but have been working with various US online shops for years and their approach varies - some are going full-on with it, some hardly care, most are in between.

For those that do, it can be a world of pain:

- overall tax rate = city tax + state tax + federal tax (I think!)

- some zip codes span two cities, so you can't even tax purely by zip code

- in around half the states, shipping should not be taxed

- there are companies providing overall tax rates based on zip and city

- the list of records for every combination of zip and city for US + Canada is 700,000+

- oh, now you want to ship some shopping cart lines to one location and some to another?

- wait, now you want certain products to be tax exempt?

Ridiculously complex - I expect 100% of the tax is needed to pay the salaries of those administering the system.

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