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Online Sales Tax Loophole May Soon Be "Fixed"



Are you cheating your state government? It's tax season, and while most of us filed on time and with good intentions, it's a well known fact that most purchases made online don't account for state sales tax. For example, since Amazon.com doesn't have offices in California, the company doesn't factor in the sales tax on its items sold to people in that state. Instead, it's up to the customers to record each purchase and report the tax when they file their returns every April 15.

Most people don't do thi,s though, and the government says that's cheating. Plus, some say it gives an unfair advantage to online retailers over brick-and-mortar retailers who have to charge sales tax.

Now Congress may be stepping in to "fix" the problem, with bills being bandied about in Senate and House committees that would have sales tax factored in to online sales. A Democratic Congress and a White House in Democratic hands would likely see a bill through to law.

So the Internet shopping honeymoon may soon be over. [Source: News.com via Newsvine]

Amazon, NY Governor Battle Over Online Sales Tax

Amazone and NY Governor Battle it Out Over Online Sales Tax
New York State Governor Elliot Spitzer has launched an effort to collect state sales tax on goods purchased online. The governor has said that forcing online retailers, such as Amazon.com, to collect the taxes would send an influx of $47 million to Albany.

Amazon is fighting the proposal tooth and nail. New York consumers are sure to not support the idea, but local merchants and small business owners think it's about time that online giants like Amazon lose their tax-free advantage.

Spitzer's budget proposal, which includes the online sales tax, faces an uphill battle. As if opposition from online retailers and consumers wasn't enough, law and precedent may not be on his side either. In 1992 the U.S. Supreme Court ruled that states could not force online retailers to collect sales taxes unless they had a physical retail outlet in the state.

New York currently collects sales taxes from online sales from companies with brick and mortar locations in the state.

From AOL Money & Finance

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ATM 'Giving Kiosks' Arrive in Churches

Giving Kiosks in Churches ATMsEveryone's gotta change with the times, including religious faiths, and we're not talking about same-sex marriage here. We're talking about plastic. Cash has been on the outs with the American public for a while now. Some Americans don't even bother to carry any at this point, and churches are trying to keep pace. Many now accept credit cards or automatic bank transfers for donations.

Dr. Marty Baker, pastor of Stevens Creek Community Church in Augusta, Georgia, has taken electronic donations to a new level by developing an ATM-like kiosk where his congregation can swipe and give on their way in or out of church.

The system was so successful -- boosting charitable donations by 18 percent since its installation -- that he started marketing them to other congregations. Dr. Baker has now placed his "Giving Kiosks" in 35 churches across the nation, with plenty of others showing interest in the device.

New IRS rules that go into effect in 2007 requiring all charitable donations under $250 to be documented. These kiosks will turn out to be life savers as they produce an easy-to-follow paper trail.

However, some people can't get over the bizarre and perhaps disconcerting notion of ATMs in our churches. There are very few bastions from our connected consumer world left, and we're already losing planes.

From Consumerist

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