.
Feedback

Poll: Amazon.com Sales Tax Begins Saturday; Should We Have to Pay?

The online retailer will levy state tax on mail-order purchases beginning Sept. 15. Are you going on a shopping spree before then, or are you happy to see the change?

If you've got items sitting in your Amazon shopping cart that you've not yet purchased, you might want to consider moving into the checkout line.

Friday is the last day to buy from the online retailer tax-free: Amazon will begin charging sales tax on purchases for California residents this Saturday. Sales tax in the region varies, ranging from 7.25 percent in Roseville to 8.25 percent in Galt.

Up to now, buying online at Amazon.com saved customers money, since no sales tax was collected.

But state lawmakers in California–a state which desperately needs cash–reached an agreement last year with online retailers, including Amazon, who agreed to begin collecting a sales tax in September. Those sale tax funds will be returned to the state.

According to the LA Times, about half of the projected $316 million raised in the first full year–and put into state coffers–is expected to come from merchandise sold by Amazon.

The agreement between Amazon and California may not last long. The Orange County Register reports that the agreement between the two parties was primarily a compromise meant to get a year's reprieve in collecting the tax in exchange for promises to add jobs and distribution centers in California.

Increased prices for online purchases is welcome relief for brick-and-mortar stores, who feel the playing field for customers will be a bit more level.

CNNMoney says Amazon already charges sales tax in six states: Kansas, Kentucky, New York, North Dakota, Texas and Washington. Pennsylvania will join California in sales tax charges in September. New Jersey, Virginia, Indiana, Nevada, Tennessee and South Carolina are all expected to collect state sales taxes from online retailers within the next few years, adding millions to state accounts.

States estimate they lose $23 billion in annual sales taxes, some $11.5 billion of it from online purchases, according to the National Conference of State Legislatures.

Meanwhile, Seattle-based Amazon has been expanding its physical presence in California, according to the San Francisco Chronicle. The Chronicle says that in June, it leased 83,000 square feet just south of San Francisco's Financial District, and is close to signing a deal for 600,000 square feet in Sunnyvale.

Amazon is also expected to open two California fulfillment centers that will employ at least 1,000 workers each in San Bernardino and Patterson.

If you're interested in applying for those jobs, Amazon has set up a website to receive applications.

Do you think paying sales tax on Amazon.com is fair? Will it affect your shopping habits? Share your thoughts in the comments.

Newsletter & Alerts

Get the best stories each day and important breaking news

Subscribe

Not from Elk Grove Patch? Find your Local Patch »

Diane Brinkley September 13, 2012 at 02:53 pm
As for the ipads, let's not give state agencies a free pass on spending this $423,000.00 because it does come from the tax payer as a tax whether income, property or sales and we can not afford it!
Diane Brinkley September 13, 2012 at 03:01 pm
I am all for paying for the services received, but I have an issue when the government refuses to stop outrageous spending and not stay within a budget.
$423,000.00!!!!! Wow! For ipads???? The $423,000.00 ipads is just one of many bad ideas at this time. Where are the jobs needed to fund this? Raising taxes or making new taxes to pay for frivolous spending is not the answer! Cutting spending and a budget is. The gravy train is running dry.
Alicia Chatman September 13, 2012 at 03:09 pm
yes, we should be paying. thanks for all the time we got the break though! I put in one last order for old time sakes :-)
since gas prices are high, this keeps me from driving around shopping and using my gas - still very good deals to be found.
Think Free September 13, 2012 at 06:03 pm
Of course we do not want to pay the tax but it SHOULD be treated just like any brick and mortar business. We need an even playing field
Think Free September 13, 2012 at 06:11 pm
One more thing, just to be clear about the purchase of the Ipads, this is a section of the Chronicle, this made it a little more clear. It is not a black and white issue
Some of the iPads are used by "doctors, engineers and others in the field who my otherwise have to rely on more expensive laptops," the newspaper reported. But many more are in the hands of workers who have them as a "luxury," the newspaper reported. Eleven iPads bought by the Department of Motor Vehicles have been returned, according to the newspaper. But there's hundreds more that haven't.
Aaron September 13, 2012 at 06:14 pm
No, I don't WANT to pay the CA sales tax, but YES, it's the right thing. I don't want the retailers with brick-and-mortar to be driven out of our state because of an uneven playing field. We need local mom and pop retailers in the economy.
The solution is for the California Legislature to get the financial health of this state back in line! Maybe, just maybe if we had more "industry" and businesses in this state, sales tax wouldn't have to be as high as it is!!
Dan Mattingly September 13, 2012 at 07:28 pm
For large purchases, I will still shop around and if Amazon is still less for the same thing, I will keep going to Amazon. However, If Home Depot or Wal Mart, for example, has it near the same price, then I will might hop over there and get it. So the btottom line is-it depends. Amazon is hoping that its same day or next day delivery will convince customers that sticking with Amazon is the better choice, even w/sales tax. They also have Amazon Prime for $79 a year that gives you low cost or free shipping and free streaming tv/movie videos. Now if I can just ditch my cable company I'd be happy.
Diane Brinkley September 13, 2012 at 07:33 pm
"Eleven iPads bought by the Department of Motor Vehicles...."
They were bought buy the tax payers and we can not sustain this type of spending.
Kerry Jacobs September 13, 2012 at 08:57 pm
California has Brown Rott !
Trust me. This state will never get back in line by raising taxes. And this aint nothing,, wait till cap & trade kicks in Ladys & Gentleman. As long as the liberals have there way with this state were DOOMED.
Mark R. Viets September 13, 2012 at 09:14 pm
I'm sorry, I am completely beside myself. I can't for the life of me believe that so many people are giddy about paying more taxes! The state of California has been swindling the taxpayers for years, we are second to the highest taxed state in the union and we are on the verge of bankruptcy. This pro-tax, anti business,anti-people state has squandered the taxpayers money for years,and there is no end in sight, yet you want to give them more? I'm at a loss,I just don't get it. More taxes will not heal the swelled head of Government nor will it help balance the budget or pay down debt, it will only aid government in spending more!
Think Free September 13, 2012 at 09:29 pm
Hey guy and gals, California was the 6th largest economy in the world.now it is the eighth. We have plenty of work in this state unfortunately our union high wage paying jobs were replaced by low wage jobs since the Reagan years.
I do not hink just because a company is online, they should not have to pay the taxes the other businesses have to. If you that idiot who says were are doomed put your tin foil hat back on. And liberals ARE getting there way. Just look at the last two eight year term conservative presidents. Reagan left us with the biggest debt ever, more than all of the previous administrations combined, then George W left us exactly four years ago with 11 trillion in debt. That is what happens when you GROW the federal Government and lower taxes and cut social programs. But I am talking to a wall, I know!
M.Legison September 13, 2012 at 10:12 pm
If we could elect a Republican governor, the odds might increase of turning the state around. The Democrats will hastily add that we'd need a good candidate first, and they have a good point!
CEO Magazine ranks the best and worst places to do business every year. California is usually at or near the bottom, as in 2012. Of the top 10 states, 9 have Republican governors and of the top 25, 20 are run by the GOP. Also note that many of these favored states are right to work states. No heavily unionized state ranks well. Of course, this is from a eewwwwww "business" perspective, not state worker pay, or teacher pay, or government giveaways. We rule in those categories. http://chiefexecutive.net/best-worst-states-for-business-2012
Think Free September 13, 2012 at 10:23 pm
Riight M Legison keep drinking the koolaide
Think Free September 13, 2012 at 10:27 pm
Here is a link for you M Legison from the station that you watch 24/7
http://www.examiner.com/article/fox-news-poll-finds-more-people-are-better-off-now-than-they-were-a-year-ago
Mark Paxson September 13, 2012 at 11:10 pm
So, out of a budget for all programs that exceeds $100 billion, it bothers you that a grand total of $423,000 was used on IPads? I'm curious, do you know how much private sector companies spend on IPads for their employees? Do you also know how much money will be saved because IPads provide an easier tool for reviewing documents, without having to print them out? Do you know that those employees probably would have got laptops instead of IPads, if IPads didn't exist? Do you expect government agencies and employees not to take advantage of new technology that can make them more productive and save money in other areas?
Mark Paxson September 13, 2012 at 11:14 pm
I wonder if CEO Magazine ever considers quality of life, quality of the environment, or any intangibles, other than taxes, regulations, and direct costs. Unlike you, M., a lot of people just might be willing to pay a little to have some environmental protection in place, as well as laws that ensure basic protections for employees and consumers.
Mark Paxson September 13, 2012 at 11:16 pm
Think Free ... you're clearly thinking far too much. You're supposed to be outraged, outraged I say, without considering anything behind the horribleness that is a government purchasing IPads. :)
M.Legison September 14, 2012 at 01:36 am
Mark, have you ever travelled out of state? Do you have any surveys that show the QOL in California ranking high? Have you been in any of those top ten states? I think the quality of life is better in parts of Florida, Utah, Tennessee and North Carolina, for example. It used to be good here, but it's been going downhlll rapidly over the last two decades or so. Look around you. Other than weather and some beautiful places, both of which are important but bear no relation to your imaginary betterment through government, this state has comparatively little to offer.
Kerry Jacobs September 14, 2012 at 03:18 am
Think Free is exactly what im going to do if Obama gets re-elected. If ya cant bet em Join em. But unfortunatly for all the liberals claiming they are victums thats not going to happen. Hey what ever happend to the occupiers ? I miss that smell. Heres what I do to help save California and you can too !! I run my lawn mower with a fouled plug, My jet boat gets 2 gallons to the mile and on my Tunnel Ram it reads F_ _ K CARB, I burn fire wood all winter starting in August, I water my lawn 30 mins on each cycle or until the gutter is full.. I wash my car without a nozzle. I coach baseball and play a rover insteat of a left fielder. I call the cops when I see the occupiers steeling recycle products out of the bins on garbage day and I do this all because my privet sector union dues go towards electing THUGS like Jerry Brown.. M.Legison keep the message alive brother ! The liberas are like swarming nats right now and its only going to get worse.
Ric B September 14, 2012 at 03:53 am
@ Legison;I'll take a whack at the pinata.Yes, I have lived in 3 states other than Cali.Texas(5yrs),Idaho(2yrs),Colorado(1yr) while in the military.1st to your assertion referencing CEO mag(corporate point of view, if they had it their way they would put everything at the cheapest place possible not matter what the ramifications,right? All for the bottom line;profits period.Does outsourcing come to mind yet China,India,Mexico?In Texas they like to brag & put down Cali at the same time,that they have low taxes etc.They also have a great deficiency in their services. Ex. in Abilene(where I was stationed),West Texas, some of their streets are designated for flooding, because that's how their drainage system is designed! I experienced 1st hand. I can go own for each of these states! You get what you pay for! There is a false equivalency in CEO mag to begin with.California has the largest poulation& growing, & faces some of the most profound economic pressures(housing, recession),cost of living,that I would venture to say than any of these other states you referred to.This is the same conversation I have with my foreign friends in regards to their criticisms of the US(crime, education, poverty rates,infant mortatilty, race relations etc) These are apples to oranges comparisons going on. Let's look at the right to work states record on where their job growth is(low wages specifically Texas), sweetheart deals to include tax subsidies to private co.Whatever happened to lazy faire?Etc
Ric B September 14, 2012 at 04:14 am
@ Legison; Re;GOP govs in charge.Many of these states are conservative to begin with.If you are gonna correalate political success to economic success,then let's talk facts.Are you trying to insinuate Dems are anti-business, or not good for business? So there wasn't a recession in these states, and none of this business friendly, vanguards ran a budget deficit they had to fill.(BTW many filled with federal dollars, Texas specifically comes to mind under Gov Rick Perry).The correlation you put of union vs right to work is false.Because the same problems exist in these right to work states.Furthermore each of these states governmental structure is incomparable to Cali,due to the fact Cali(I think 3 other states)require a 2/3 majority to increase revenue(increasing population causes increase demand on gov't, just like increased cars increases demand on transportation system)& until recently 2/3 was req'd to just pass a simple budget. So your logic is an oversimplification of the political process & also glosses over the unique,deep & layer multiple issues facing Cali. Also as food for thought where but for big business(as these are the candidates usually put forward as the GOP alternative to Dems) can you run a company into the ground & still get a "golden parachute", but people wanna complain about nickels & dimes waste. That's not to say there's not waste,but people shouldn't act like business doesn't get breaks,don't have waste/fraud/abuse & are the be all, end all. Get real!
Racerx Gto September 14, 2012 at 04:14 am
Reagan proved that deficits do not matter. You libbers need to come up with something more original than the Bush/Reagan blame game. Every time you play that card, essentially what you are conveying is you are weak, your only position is to shift blame with a crumbling California as your glittering jewel of accolades.
You honestly think blaming Bush with 11 trillion in debt is a winning argument when your own man, CPUSA/SPA extraordinaire and sealed Columbia University records "Barry Baraque Hussein 0Bama" shoved the USA 16 trillion into debt in less than four years? You are seriously coming to the table of debate with that argument?
Racerx Gto September 14, 2012 at 04:19 am
Mark, you stand alone with your open wallet. I'm not paying jack for the religion of environMentalism.
http://www.youtube.com/watch?v=2ZyCK-GF9zU
Mark R. Viets September 14, 2012 at 05:32 am
This law does not force a big evil corporation to pay its fair share, this law forces a big evil corporation to act as an agent of the state of California in collecting taxes for the state! This law in essence says that the people are incapable of being honest ( Ca. residents can declare all purchases on their income tax forms) and Amazon must step in and make the people honest. This extra book keeping will be an added burden to Amazon and the prices will reflect the added burden.
This is NOT Amazons responsibility to pay state sales tax, it is the peoples. Amazon operates a business outside of California and purchases are made on-line. Just because I choose to purchase an item from somebody doesn't mean the state should get paid for that purchase. State sales taxes ,if required, should be on items puchased in the state, from businesses in the state! This law has the potential to escalate into farther reaching aspects of our lives. Do you believe the person holding a garage sale should be required to collect sales tax? Do you believe your friend at work should be required by the state to collect state sales taxes on you for buying his fishing pole? Where does it end? As long as the state can find a way to take our money, and we allow it, it won't end! Smarten up folks, we are over taxed and under represented.
Kathleen Quetin September 14, 2012 at 11:54 am
OK... this discussion has really gotten off-track. President Obama has nothing to do with this. Vote for the candidate of your choice. If you think Romney will support the middle class and small businesses, go for it. Your choice. If you think this is all Governor Brown's fault, then OK believe that. Our previous governor did not "Blow up the boxes" like he said he would. He did what he could, but this is a very complex governmental organization. There are always people on both sides of the aisle blocking progress. Always have been and always will be, it seems. Anyway, vote for the candidates of your choice. And also put time in supporting their candidacy. Then you have more standing when you complain about the government.
Back to the subject: Personally, I'd like to see the small and large businesses (and their employees) do well in our state. Leveling the playing field with sales tax is ALL this topic was about. It bugs me that we have to pay sales tax when we buy a used item like a car. However, if I really want to complain about it, then I need to get involved with electing people who support revamping the tax code. It needs to be adjusted so that everyone pays their fair share. It also bothers me that the underground economy puts more of the tax burden on people with traditional jobs or retired people (i.e., paychecks with taxes withheld). From contractors to nail salons, there are many who bypass paying their fair share. Unfortunately, the burden falls on others.
M.Legison September 14, 2012 at 12:00 pm
@ Mark:" I wonder if CEO Magazine ever considers quality of life, quality of the environment, or any intangibles, other than taxes, regulations, and direct costs."
And I wonder if you even looked at the article: "CEOs were asked to grade states in which they do business among a variety of areas, including tax and regulation, quality of workforce and living environment." @Kathleen: " Leveling the playing field with sales tax is ALL this topic was about. It bugs me that we have to pay sales tax when we buy a used item like a car. However, if I really want to complain about it, then I need to get involved with electing people who support revamping the tax code. It needs to be adjusted so that everyone pays their fair share." Yes. This is the only rational approach. Thank you.
Kerry Jacobs September 14, 2012 at 06:46 pm
I had a laugh today at Subway sandwich. A young lady walked into the store and asked if they accept EBT the clerk said NO and the lady left mad as hell.. I walked up and put 2 bucks in the Jar and smiled. Subway be will getting allot more of my business. Oh and sorry for getting off topic again ill try harder next time. Just wanted the liberals / occupiers here to know that Subway dont accept ebt.
Mark Paxson September 15, 2012 at 08:50 am
Too bad you don't know the law, which requires retailers to collect sales taxes and remit them to the State. Additionally, when you choose to make a purchase on-line, the purchase is taking place where you are located not where the business is located. You click on the Buy button here, not there.
Mark Paxson September 15, 2012 at 09:00 am
M. regarding your comment from Thursday, why are you still here then? Seriously. If California is falling apart and has "nothing to offer," I'd suggest this is the reason why: it's the third largest state geographically, the state with the largest population. It's population is more diverse than any other state. It's economy is also more diversified than any other state. The demands of its size require more. I don't believe government is the solution to everything, but let me ask you a simple question: who provides for prisons and public safety, firefighters and law enforcement, parks, roads, and schools. I don't remember any circumstances in which the wealthy and corporations have stepped up to pay for these public sector responsibilities. The social programs that all you Republicans get outraged about are a drop in the bucket compared to the things I listed, which are what contribute to the quality of life. Here's another question? You're all about the economy and growing jobs. Do you think an affordable public university system is integral to that? If so, how does it get paid for? Again, I don't see any corporations or rich people stepping up on this.
By the way ... I love this statement ... "I think the quality of life is better in parts of Florida, Utah, Tennessee and North Carolina, for example." Parts? I'm willing to bet the quality of life in parts of California top the quality of life in parts of those states as well. I think you could have done better.
Kathleen Quetin September 15, 2012 at 10:47 am
Well said! Nothing to add except, "Thank you!"
Note Article
Just a short thought to get the word out quickly about anything in your neighborhood.
Share something with your neighbors. Write a new post... What's up? Make an announcement, speak your mind, or sell something
Elk Grove Laguna Forums May 20, 2013 at 06:14 pm
Why not down to Grantline and then head back north along the freeway? Plus Kammerer will eventuallyRead More be widened all the way to I-5 and commuters can use that too. Take Grantline to Kammerer to Bruceville.
JJ Johnson May 21, 2013 at 04:15 pm
An overpass and off/on ramps will be built at Whitelock Parkway after the mall is built, whichRead More should take place after the soccer stadium is built, which should take place after the city secures a professional soccer team. Elk Grove better make sure the professional soccer team is a women's team, or else LaWanna Montgomery will be mad.
Christine Brainerd May 21, 2013 at 04:29 pm
Thanks for the suggestion. The City is currently studying a new interchange off 99 and Whitelock,Read More and the project is in our General Plan. We’re also updating the Elk Grove Blvd. onramp—currently one of the most outdated on 99 in the region. Work will begin this summer.
vicki green May 20, 2013 at 11:36 am
I was wondering the same thing! nothing on news or in the paper. What happened
Marty May 20, 2013 at 11:50 am
Perhaps this will explain..............Read More http://www.elkgroveonline.com/forums/topic/107176/several-cops-and-yellow-taped-ar
Cody Kitaura (Editor) May 20, 2013 at 12:04 pm
Thanks for asking, and for those quick responses, folks. I just posted a brief article on it here:Read More http://elkgrove.patch.com/groups/breaking-news/p/shots-fired-between-cars-on-bruceville-road-saturday