Illinois Senator Dick Durbin, a democrat, is planning to introduce the ” Mainstream Fairness Act ” to the Senate after the they come back from their Easter Holiday break. The purpose of this bill is to require American citizens to pay sales tax on products they buy over the internet.
I don’t necessarily have a problem paying sales tax for stuff I buy on line. What I have a problem with is the deceptive and inflammatory way Durbin is trying to sell this with. In an article on ” Patriot Update, ” Durbin is quoted as saying “Why should out-of-state companies that sell their products online have an unfair advantage over Main Street bricks-and-mortar businesses?” Durbin said in a speech in Collinsville, Ill., in February. “Out-of-state companies that aren’t paying their fair share of taxes are sticking Illinois residents and businesses with the tab.”
The first quote, “Why should out-of-state companies that sell their products online have an unfair advantage over Main Street bricks-and-mortar businesses?” I would concede that he is probably, technically right; however, heres the rub, if I buy something online, I have to pay shipping costs; if I buy something in a store, and, carry it out, I don’t. There has to be some sort of tradeoff to balance the scale. Ordering online, I pay for the product and shipping it but no sales tax; if I buy that same product in a store, I pay sales tax but not shipping costs. There is a balance.
The second quote is the one I have the problem with. “Out-of-state companies that aren’t paying their fair share of taxes are sticking Illinois residents and businesses with the tab.” This statement is the typically democratic party speel of telling its constituency that corporate America is not paying their taxes. Its a lie and its done to insight anger towards corporations and rich folk.
Here is why its a lie. I’l use this as an example, Bob owns a music store in Pennsylvania. Last year, he sold 10 million dollars worth of merchandise, ( Bob had a good year ), Pennsylvania’s sales tax is 6%, that means Bob’s store took in $600,000 in sales tax. Now, who paid that sales tax? Not Bob! Bob’s costomers paid it. That money goes directly to the state. It has nothing to do with corporate America paying its taxes. That is a separate issue. The end of the quote, the part about Illinois residents and businesses being stuck with the tab, is ridiculous. There is no tab. Illinois’ residents and businesses do not get billed for taxes that are not charged by companies that sell products over the internet; that is a ridiculous statement to make.
In conclusion, I see a much more broad and sinister agenda here. I see this legislation as a stepping stone toward a national sales tax. Democrats in general, have had their eyes on that prize for a long time. If that happens, it’ll be a big one.