Internet taxes will raise consumer prices to fill state coffers

In the summer 2013 Heritage Foundation Members News, an analysis of the Internet sales tax is reviewed with some interesting conclusions.

First, is another inappropriate title for the proposed internet tax, the “Marketplace Fairness Act” – why do all liberal government taxes or restrictions on people’s actions, deal with so-called fairness?

The Internet tax would subject online companies to over 9600 tax jurisdictions throughout the United States, places where the business have no physical presence, making this proposal, in effect, taxation without representation.

Heritage Foundation President, Jim DeMint has noted, “a small business owner in South Carolina could face simultaneous audits from California, New Jersey and Hawaii, with no political recourse.”

The law is primarily being proposed to benefit tax-addicted states that always need more money to pay for bigger government and to reduce the competition for the large retail corporations and other special interests, thus raising the costs for internet providers and prices for consumers.

The Heritage Foundation’s daily Morning Bell e-Newsletter, and posts on their blog, The Foundry, is helping conservative lawmakers and citizens to keep informed on this measure and protect not only online businesses, but consumers from this new tax.

State governments, especially those who are going bankrupt like Illinois, always have their eye out for new ways to increase their tax revenue on the backs of taxpayers and/or consumers.

The tax-addicted states will never be satisfied, and of course, will continue to spend more than they receive, regardless of the increase in revenue due to another tax.