Brick-and-mortar retailers are pissing and moaning, as they have for years, that Amazon unfairly gets a free pass on taxes. Big-box retailers are now piling on in hopes of doing some serious damage to Amazon's bottom line. The Argument basically goes, if Amazon doesn't have to charge taxes, then ordinary stores could never match the price. Only, this is ridiculous. Amazon does have a tax that users have to pay, and that's in form of shipping. Shipping, especially for large items, frequently makes stuff on Amazon more expensive than stuff at Wal-Mart. I'm not going to Amazon as a replacement for Wal-Mart or Best Buy, I'm going as a supplement. I go for things I can't get at ordinary stores.
Furthermore, the states have no claim to sales taxes. Taxes are a due that we pay to fund some system, be it the economy, police, or schools. If the actions of a company do not partake in that system, then the system has no right to claim any money. I live in Rhode Island, and Amazon is not benefiting from Rhode Island's system. Amazon benefits from states in which it has warehouses, because Amazon relies on the fire, police, and regulatory agencies therein. As such, they owe taxes. Amazon does not owe taxes to states to which they are simply mailing crap. If the states have a problem with taxes, go after people who order from Amazon and don't report the purchases.
But even then, as far as I'm concerned, the states can go screw. They have no claim to that revenue. Simply because I live someplace doesn't mean that you can levy taxes on my behavior all over the planet.
Showing posts with label taxes. Show all posts
Showing posts with label taxes. Show all posts
Friday, March 18, 2011
Wednesday, October 28, 2009
Government With Purpose
It's difficult to decide what should and shouldn't be taxed. There are tons of arguments out there saying that taxing inheritances is fine, taxing alcohol is not, estate taxes are death taxes, etc.
I propose a purpose-oriented perspective on taxes. Basically, a tax must be predicated on the relationship that whatever is being taxed has with the point of the tax. For example, people argue that cigarettes should be taxed since smokers cost more medically to society. This argument would be fine if 100% of the taxes went towards medical ends. That's not the case at all. Truly, 100% of the revenue goes to general funds and is spent on things ranging from roadways to generous severance packages for government employees.
For example, 100% of the costs associated with roadwork should be shouldered by tolls and automobile taxes. This has the added benefit of letting people know, on a personal level, how much of their tax money is going to what areas of the government. It forces absolute clarity onto the clusterfuck that is taxation.
But what about things for which there is no taxable representation in society? What about schools, or firefighters? Frankly, I think income and property taxes cover this just fine. Income means money, and money requires a stable governmental system in which to spend it. Income taxes are literally paying for the system that allow the money to exist in the first place. I consider that a fair trade. This same argument applies to sales taxes.
Property taxes pay for police and firefighters. For example, what good are fire fighters if there is nothing to put out? Firefighters need houses, as such, owning a house pays for the work. I've got some problems with property taxes based on how nice your house is, but the size of your house could matter. Regardless, I consider property taxes based on value to be a progressive tax that amounts to robbery. Theoretically, if you mow your lawn regularly, you will end up with higher taxes.
If no good reason can be found for taxing something, the tax must be eliminated. If the money is truly needed for the government to function, the tax must be moved elsewhere so people know what money is being spent where.
Schools are difficult. We cannot put the burden on only the parents, or school becomes unaffordable. An uneducated society is unbearable harmful to everyone alive now and to be alive later. There are many ways I could rationalize education to fit with my general logic, but I think it's sufficed to say that education is undeniably a public good. An educated populace is what has allowed us to reach the heights we have reached and it must be furthered.
I propose a purpose-oriented perspective on taxes. Basically, a tax must be predicated on the relationship that whatever is being taxed has with the point of the tax. For example, people argue that cigarettes should be taxed since smokers cost more medically to society. This argument would be fine if 100% of the taxes went towards medical ends. That's not the case at all. Truly, 100% of the revenue goes to general funds and is spent on things ranging from roadways to generous severance packages for government employees.
For example, 100% of the costs associated with roadwork should be shouldered by tolls and automobile taxes. This has the added benefit of letting people know, on a personal level, how much of their tax money is going to what areas of the government. It forces absolute clarity onto the clusterfuck that is taxation.
But what about things for which there is no taxable representation in society? What about schools, or firefighters? Frankly, I think income and property taxes cover this just fine. Income means money, and money requires a stable governmental system in which to spend it. Income taxes are literally paying for the system that allow the money to exist in the first place. I consider that a fair trade. This same argument applies to sales taxes.
Property taxes pay for police and firefighters. For example, what good are fire fighters if there is nothing to put out? Firefighters need houses, as such, owning a house pays for the work. I've got some problems with property taxes based on how nice your house is, but the size of your house could matter. Regardless, I consider property taxes based on value to be a progressive tax that amounts to robbery. Theoretically, if you mow your lawn regularly, you will end up with higher taxes.
If no good reason can be found for taxing something, the tax must be eliminated. If the money is truly needed for the government to function, the tax must be moved elsewhere so people know what money is being spent where.
Schools are difficult. We cannot put the burden on only the parents, or school becomes unaffordable. An uneducated society is unbearable harmful to everyone alive now and to be alive later. There are many ways I could rationalize education to fit with my general logic, but I think it's sufficed to say that education is undeniably a public good. An educated populace is what has allowed us to reach the heights we have reached and it must be furthered.
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