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Online taxation a nightmare
Just read the Aug. 3 editorial in The Spokesman-Review endorsing taxing of the Internet. Here is my opinion as a small-business owner with both brick and mortar, and website.
If it were reasonably easy to collect the tax throughout the United States, I would have no objection. But here is what I would be faced with. Take, for example, the new Washington destination-based tax system. My company still has not found suitable software to implement the tax collection for over 300 taxing districts. Therefore, I can only charge one rate and end up paying the difference out of my own pocket. What it amounts to is another tax on my business.
Just imagine what a problem I would have if we had to collect taxes throughout the U.S., all destination-based taxes. There must be over 5,000 different taxing districts out there, all with a different rate. Collect and report would be impossible for a small business like mine. We are struggling to stay in business as it is; taxing the Internet would essentially put us out of business. It would kill small business.
Gary Challender
President, Books In Motion
Spokane Valley