I personally run an online store, and am deeply opposed to being forced to collect sales taxes on out-of-state purchases. Collecting sales taxes on the few in-state sales we make are bad enough, and we get to pay almost $400/year for the privilege of collecting them, between our state and county business licenses.
If they pass an online federal sales tax on web purchases, I do think it will affect our business negatively, even though with that addition online shopping would still have several advantages.
Advantages include being able to get a lot of items not available in your local area, not having to go out to shop thereby saving fuel costs and time, and just the convenience of ordering something and having it show up a few days later on your doorstep.
Online shoppers often complain if they have to pay shipping on purchases. Someone has to pay for the shipping, and any free shipping given comes out of the online shop's margin. This is why most shops have a minimum purchase for free shipping, to make sure the time, packaging costs and labor are covered and they can still make a small profit. You don't have to pay shipping cost when shopping locally, but you do have to get to the store. When was the last time your local store gave you gas money to come and shop with them?
Anyway, I hope they manage to keep defeating this, but I'm not hopeful. If they do, you'll see a lot of online shops go out of business, and you'll get to pay your sales taxes to the few biggies that remain, after which they'll be able to charge you whatever they choose.
What it really comes down to is governments continually increasing greed for more money, to inflate their empires while pretending to give us more "services" that we neither want, or need. We need to shrink government, not raise taxes.
Last edited by QKO; 08-05-2012 at 07:53 AM.