Analysis: Collecting online sale tax won’t fix anything

There are many people – both within the federal government and the general public – who believe the passage of an online sales tax law will help fix the government’s revenue problem. But it won’t.

We first told you about the bill proposed by Democrats in Congress that would require online businesses to impose federal taxes on all online purchases. And while many readers might think this is a good idea, well, it really isn’t.


The primary reason why collecting taxes from online sales is so popular right now is because of the government’s recent debt/budget situation. Both sides did one hell of a dance for the public and got them to believe that revenue was the problem, not spending.


It is because of this intricate public display that there has never been a better time to introduce the Main Street Fairness Act.


The arguments in support of the act claim that it will level the playing field. No longer will online retailers have the unholy advantage of not having to pay their “fair share” of taxes.


The claim is that states might be losing out on $24 billion in uncollected state and local taxes on Internet and catalogue sales.


But should we really believe the money somehow belongs to government?


Sure, according to politicians all this new law is doing is making it easier to collect taxes that are already owed. But is there ever going to be a time when people decide that they have reached their limit?


We are always told the government needs to spend an insane amount of money to give us the services we all supposedly need. Then again, the amount of spending and borrowing the government commits itself to is almost never given serious attention. So naturally it is never given much serious discussion either.


Eventually people are going to have say enough is enough. There has to be some limit to the amount of borrowing the government can do on our behalf – no matter what some people believe.


And just so you know, the media accepts what the establishment does, so IMHO, you will never hear the debt/spending issue presented honestly.

The truth is the government views our private property as some type of never ending fund. Their egos are conditioned in such a way that they could never believe that their spending is behind all of their “revenue” problems.


This Main Street Fairness Act is essentially a bailout that allows irresponsible government to continue to flourish. If the Main Street Fairness Act is really supposed to help smaller local businesses compete with online operations, then I think it should allow all of the parties it impacts to not pay taxes.


Just let all kinds of retailers keep more of their private property. Then let us step back and see how well they can compete.


Of course this will never happen, but we do need to wake the masses up and let them know that the tax system here sucks. The government wants our money, and they may end up ruining the awesomeness of online shopping because they seem hell-bent on continuing to spend us into oblivion.

Let’s try something different by letting online retailers, mom and pop retailers, and consumers keep more of their money. Then let’s see what happens. I bet you it would be amazing.