Guest Post: This New Law Will Ensure You Pay More For Online Purchases…

Wednesday, February 20, 2013
By Paul Martin

Simon Black
ZeroHedge.com
02/20/2013

In another brilliant move aimed at destroying the few table scraps of economic freedom which remain in the Land of the Free, a bipartisan group of esteemed lawmakers in the United States Congress has introduced the Marketplace Fairness Act of 2013.

Remember the golden rule of legislation: the more noble the name of the law sounds, the more disastrous its results. This one is no exception.

Generally speaking in the United States, retailers must collect state and local sales tax at the point of sale. When you walk into a Main Street shop in Anytown, California, you’ll pay the sticker price PLUS hefty city and state sales taxes that can easily be 10% or more.

But if you purchase goods through the mail from a company in, say, Nevada or Oregon, either through the mail or online, no sales tax is charged. This goes back to a 20+ year old US Supreme Court decision which exempted out of state companies from collecting sales tax.

Well, according to the intellectual luminaries in Congress, local retailers are at a disadvantage, effectively having to charge 10%+ more for their products than an out-of-state retailer.

The Rest…HERE

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