And this is the reason...
 

"Vic Smith" wrote in message
...

The key phrase "QVC is registered with your state to collect sales or use
tax" this provides the "nexus".

QVC has volunteered to register with the state, probably due to either a
presence in the state or a subsidiary in the state.
Without this presence, or nexus in the state they can not be forced to
collect the sales tax.

I found this (I live in Illinois)
http://www.revenue.state.il.us/legal...0/sg000281.PDF

Which includes this:

"Some out-of-State retailers who do not have sufficient contact
(nexus) with this State choose to voluntarily register to collect
Illinois Use Tax so that their customers are relieved of the
responsibility of filing a return and remitting the tax directly to
the Department."

Indicating "nexus" isn't necessary.
I don't know why a company would "voluntarily register" without a
nexus since this is a pricing disadvantage.
But apparently they do.

--Vic

They nexus or presence is created when the company registers *voluntarily*
with the state.
There are many reasons why a company will do this voluntarily, subsidiaries
in the state, a company that they do a large amount of business with in the
state, or a business relationship with the state ( get on the state's bid
list).

And this is the reason...
 

On Fri, 16 Nov 2007 14:54:07 GMT, "BillP"
wrote:


"Vic Smith" wrote in message
.. .

The key phrase "QVC is registered with your state to collect sales or use
tax" this provides the "nexus".

QVC has volunteered to register with the state, probably due to either a
presence in the state or a subsidiary in the state.
Without this presence, or nexus in the state they can not be forced to
collect the sales tax.

I found this (I live in Illinois)
http://www.revenue.state.il.us/legal...0/sg000281.PDF

Which includes this:

"Some out-of-State retailers who do not have sufficient contact
(nexus) with this State choose to voluntarily register to collect
Illinois Use Tax so that their customers are relieved of the
responsibility of filing a return and remitting the tax directly to
the Department."

Indicating "nexus" isn't necessary.
I don't know why a company would "voluntarily register" without a
nexus since this is a pricing disadvantage.
But apparently they do.

--Vic

They nexus or presence is created when the company registers *voluntarily*
with the state.

Reminds me of witch-detection. Toss her in the pond, and if she
drowns she wasn't a witch. If she floats, kill the witch.
According to what you've said, nexus only means "you're paying tax."

There are many reasons why a company will do this voluntarily, subsidiaries
in the state, a company that they do a large amount of business with in the
state, or a business relationship with the state ( get on the state's bid
list).

That's the problem. I can find no company connection to Illinois.
So the "nexus" (as defined by Illinois) is invisible to me.
Though I'm not opposed to paying taxes, it would be good to get
clarity on why QVC charges Illinois tax and other companies don't.

--Vic

And this is the reason...
 

"Vic Smith" wrote in message
...
On Fri, 16 Nov 2007 14:54:07 GMT, "BillP"
wrote:


"Vic Smith" wrote in message
. ..

The key phrase "QVC is registered with your state to collect sales or
use
tax" this provides the "nexus".

QVC has volunteered to register with the state, probably due to either a
presence in the state or a subsidiary in the state.
Without this presence, or nexus in the state they can not be forced to
collect the sales tax.

I found this (I live in Illinois)
http://www.revenue.state.il.us/legal...0/sg000281.PDF

Which includes this:

"Some out-of-State retailers who do not have sufficient contact
(nexus) with this State choose to voluntarily register to collect
Illinois Use Tax so that their customers are relieved of the
responsibility of filing a return and remitting the tax directly to
the Department."

Indicating "nexus" isn't necessary.
I don't know why a company would "voluntarily register" without a
nexus since this is a pricing disadvantage.
But apparently they do.

--Vic

They nexus or presence is created when the company registers
*voluntarily*
with the state.

Reminds me of witch-detection. Toss her in the pond, and if she
drowns she wasn't a witch. If she floats, kill the witch.
According to what you've said, nexus only means "you're paying tax."

There are many reasons why a company will do this voluntarily,
subsidiaries
in the state, a company that they do a large amount of business with in
the
state, or a business relationship with the state ( get on the state's bid
list).

That's the problem. I can find no company connection to Illinois.
So the "nexus" (as defined by Illinois) is invisible to me.
Though I'm not opposed to paying taxes, it would be good to get
clarity on why QVC charges Illinois tax and other companies don't.

--Vic

Once a company registers with an outside state, they're basically conceding
to a nexus or presence in the state. The state itself could care less
whether they actually did or didn't have a nexus or presence before they
registered, only that they now remit sales tax. Call their tax dept,
they'll probably tell you why they registered with your state.

And this is the reason...
 

On Nov 16, 6:54�am, "BillP" wrote:
"Vic Smith" wrote in message

...





The key phrase "QVC is registered with your state to collect sales or use
tax" this provides the "nexus".

QVC has volunteered to register with the state, probably due to either a
presence in the state or a subsidiary in the state.
Without this presence, or nexus in the state they can not be forced to
collect the sales tax.

I found this (I live in Illinois)
http://www.revenue.state.il.us/legal...rulings/st/200...

Which includes this:

"Some out-of-State retailers who do not have sufficient contact
(nexus) with this State choose to voluntarily register to collect
Illinois Use Tax so that their customers are relieved of the
responsibility of filing a return and remitting the tax directly to
the Department."

Indicating "nexus" isn't necessary.
I don't know why a company would "voluntarily register" without a
nexus since this is a pricing disadvantage.
But apparently they do.

--Vic

They �nexus or presence is created when the company registers *voluntarily*
with the state.
There are many reasons why a company will do this voluntarily, subsidiaries
in the state, a company that they do a large amount of business with in the
state, or a business relationship with the state ( get on the state's bid
list).- Hide quoted text -

- Show quoted text -

Thereby rendering moot any insistence that collecting sales tax on
interstate transactions is "illegal". No state will allow a company to
voluntarily commit an illegal act.

Good reasons to collect sales tax if you are in internet retailer
probably include the fuzzy definitions of things like "presence" in a
state. Courts can and often do redefine things. Many companies
wouldn't survive a demand for 2-3 years retroactive sales tax, so why
run the risk?

If the only benefit a company offers its customers is an opportunity
to screw the state out of the taxes it would collect if the customer
had any sense of community and did business with a local merchant,
it's not much of an enterprise, IMO.

And this is the reason...
 

On Fri, 16 Nov 2007 15:47:42 GMT, "BillP"
wrote:



Once a company registers with an outside state, they're basically conceding
to a nexus or presence in the state. The state itself could care less
whether they actually did or didn't have a nexus or presence before they
registered, only that they now remit sales tax. Call their tax dept,
they'll probably tell you why they registered with your state.

I'll forego calling the tax department. Your explanation will
suffice.

--Vic

And this is the reason...
 

On Nov 16, 8:55 am, "BillP" wrote:
wrote in message

...





On Nov 15, 9:37 pm, "BillP" wrote:
"Gene Kearns" wrote in message

. ..

On Fri, 16 Nov 2007 00:32:38 GMT, BillP penned the following well
considered thoughts to the readers of rec.boats:

"Short Wave Sportfishing" wrote in message
. ..
On Thu, 15 Nov 2007 15:43:04 -0800 (PST), Chuck Gould
wrote:

Try ordering some boat stuff on line. Many suppliers will charge you
your local sales tax as part of the transaction.

I buy a lot online and haven't paid state or local tax yet.

Ever.

As long as your not buying from a store with a presence in your state
you'll
never pay any sales tax, it's illegal.

You don't have any better grasp on this than you do global warming!
Please research the term "use tax."

Also see(for example):
http://www.maine.gov/revenue/salesuse/usetax.pdf
http://www.mass.gov/legis/laws/mgl/64i-2.htm
http://www.arkansas.gov/dfa/rules/et2006_9.pdf

Your reading comprehension skills are severely lacking.
A "use tax" is not a sales tax, and it can not be collected from a
company
that does not have a presence in the state in which the goods were sold.
In
Shortwaves case *he* is supposed to inform his state of all goods he
purchased from outside sources and pay the required tax himself. It is
illegal for the merchant outside of his state to collect it, or any tax.-
Hide quoted text -

- Show quoted text -

Ahem.....

State and local taxation of foreign exports and interstate commerce
has obvious U.S. constitutional limitations. 2 However, the U.S.
Supreme Court has clearly held that state and local taxing authorities
may impose taxes on interstate commerce despite the limitations of the
Commerce Clause of the U.S. Constitution, provided that the tax has a
substantial nexus with the state, is fairly apportioned, does not
discriminate against interstate commerce, and is fairly related to the
services provided by the taxing state.

Ahem...

"provided that the tax has a substantial nexus with the state" is the main
test.

Here is the Supreme Court ruling-

The facts in Quill Corp. are as follows: North Dakota sent a notice to
Quill Corp. that it owed use tax (a companion tax to the sales tax) payments
for purchases that North Dakota residents had made through Quill Corp.'s
catalogue. Quill responded that it did not have nexus in North Dakota
because it had no physical operations or employees and hence did not have to
collect North Dakota use tax on sales made to North Dakota customers.

The Supreme Court sided with Quill, ruling that a taxpayer must have a
physical presence in a state in order to require collection of sales or use
tax for purchases made by in-state customers. Physical presence means
offices, branches, warehouses, employees, etc. The existence of customers
alone (i.e. economic presence) did not create sufficient nexus under the
Commerce Clause for North Dakota to impose a sales tax collection burden on
Quill Corp..

http://www.taxfoundation.org/blog/show/963.html- Hide quoted text -

- Show quoted text -

I'd say that any company that would sell their goods/wares to someone
in a certain state would indeed have ties to that state.

And this is the reason...
 

wrote in message
...
On Nov 16, 8:55 am, "BillP" wrote:
wrote in message

...





On Nov 15, 9:37 pm, "BillP" wrote:
"Gene Kearns" wrote in message

. ..

On Fri, 16 Nov 2007 00:32:38 GMT, BillP penned the following well
considered thoughts to the readers of rec.boats:

"Short Wave Sportfishing" wrote in message
. ..
On Thu, 15 Nov 2007 15:43:04 -0800 (PST), Chuck Gould
wrote:

Try ordering some boat stuff on line. Many suppliers will charge
you
your local sales tax as part of the transaction.

I buy a lot online and haven't paid state or local tax yet.

Ever.

As long as your not buying from a store with a presence in your
state
you'll
never pay any sales tax, it's illegal.

You don't have any better grasp on this than you do global warming!
Please research the term "use tax."

Also see(for example):
http://www.maine.gov/revenue/salesuse/usetax.pdf
http://www.mass.gov/legis/laws/mgl/64i-2.htm
http://www.arkansas.gov/dfa/rules/et2006_9.pdf

Your reading comprehension skills are severely lacking.
A "use tax" is not a sales tax, and it can not be collected from a
company
that does not have a presence in the state in which the goods were
sold.
In
Shortwaves case *he* is supposed to inform his state of all goods he
purchased from outside sources and pay the required tax himself. It is
illegal for the merchant outside of his state to collect it, or any
tax.-
Hide quoted text -

- Show quoted text -

Ahem.....

State and local taxation of foreign exports and interstate commerce
has obvious U.S. constitutional limitations. 2 However, the U.S.
Supreme Court has clearly held that state and local taxing authorities
may impose taxes on interstate commerce despite the limitations of the
Commerce Clause of the U.S. Constitution, provided that the tax has a
substantial nexus with the state, is fairly apportioned, does not
discriminate against interstate commerce, and is fairly related to the
services provided by the taxing state.

Ahem...

"provided that the tax has a substantial nexus with the state" is the
main
test.

Here is the Supreme Court ruling-

The facts in Quill Corp. are as follows: North Dakota sent a notice to
Quill Corp. that it owed use tax (a companion tax to the sales tax)
payments
for purchases that North Dakota residents had made through Quill Corp.'s
catalogue. Quill responded that it did not have nexus in North Dakota
because it had no physical operations or employees and hence did not have
to
collect North Dakota use tax on sales made to North Dakota customers.

The Supreme Court sided with Quill, ruling that a taxpayer must have a
physical presence in a state in order to require collection of sales or
use
tax for purchases made by in-state customers. Physical presence means
offices, branches, warehouses, employees, etc. The existence of customers
alone (i.e. economic presence) did not create sufficient nexus under the
Commerce Clause for North Dakota to impose a sales tax collection burden
on
Quill Corp..

http://www.taxfoundation.org/blog/show/963.html- Hide quoted text -

- Show quoted text -

I'd say that any company that would sell their goods/wares to someone
in a certain state would indeed have ties to that state.

The Supreme Court interprets the law differently.

And this is the reason...
 

"Chuck Gould" wrote in message
...
On Nov 16, 6:54?am, "BillP" wrote:
"Vic Smith" wrote in message

...





The key phrase "QVC is registered with your state to collect sales or
use
tax" this provides the "nexus".

QVC has volunteered to register with the state, probably due to either a
presence in the state or a subsidiary in the state.
Without this presence, or nexus in the state they can not be forced to
collect the sales tax.

I found this (I live in Illinois)
http://www.revenue.state.il.us/legal...rulings/st/200...

Which includes this:

"Some out-of-State retailers who do not have sufficient contact
(nexus) with this State choose to voluntarily register to collect
Illinois Use Tax so that their customers are relieved of the
responsibility of filing a return and remitting the tax directly to
the Department."

Indicating "nexus" isn't necessary.
I don't know why a company would "voluntarily register" without a
nexus since this is a pricing disadvantage.
But apparently they do.

--Vic

They ?nexus or presence is created when the company registers
*voluntarily*
with the state.
There are many reasons why a company will do this voluntarily,
subsidiaries
in the state, a company that they do a large amount of business with in
the
state, or a business relationship with the state ( get on the state's bid
list).- Hide quoted text -

- Show quoted text -

Thereby rendering moot any insistence that collecting sales tax on
interstate transactions is "illegal". No state will allow a company to
voluntarily commit an illegal act.

Oh jeeze.. once they register with the state it *becomes* legal for them to
collect tax, if they collect tax before registering it is illegal.
It's also illegal for them to be *forced* to pay if they don't have a
presence or nexus, no matter what the their state law says.

Good reasons to collect sales tax if you are in internet retailer
probably include the fuzzy definitions of things like "presence" in a
state. Courts can and often do redefine things. Many companies
wouldn't survive a demand for 2-3 years retroactive sales tax, so why
run the risk?

For a large corporation this is true, unless they are absolutely sure they
have no nexus to the state they're probably better off registering.

Which reminds me of Amazon again- they only collect sales tax in the 4
states that they are registered as Amazon.comLLC yet they seem to have a
presence in others states in which they are not collecting tax.
They have fulfillment and warehousing centers in Arizona, Delaware,
Massachusetts, Nevada, Pennsylvania, and Texas, yet they don't collect sales
tax for those states.
http://en.wikipedia.org/wiki/Amazon.com

If the only benefit a company offers its customers is an opportunity
to screw the state out of the taxes it would collect if the customer
had any sense of community and did business with a local merchant,
it's not much of an enterprise, IMO.

The company isn't screwing the foreign state when it is not required to
register and collect tax- it's the customer that does if they don't remit
the "use tax".

And this is the reason...
 

wrote in message
...
On Nov 16, 8:55 am, "BillP" wrote:


I'd say that any company that would sell their goods/wares to someone
in a certain state would indeed have ties to that state.

The Constitution and the Supreme Court don't see it that way.

And this is the reason...
 

"Gene Kearns" wrote in message
...
On Fri, 16 Nov 2007 02:37:38 GMT, BillP penned the following well
considered thoughts to the readers of rec.boats:


"Gene Kearns" wrote in message
. ..
On Fri, 16 Nov 2007 00:32:38 GMT, BillP penned the following well
considered thoughts to the readers of rec.boats:


"Short Wave Sportfishing" wrote in message
m...
On Thu, 15 Nov 2007 15:43:04 -0800 (PST), Chuck Gould
wrote:

Try ordering some boat stuff on line. Many suppliers will charge you
your local sales tax as part of the transaction.

I buy a lot online and haven't paid state or local tax yet.

Ever.

As long as your not buying from a store with a presence in your state
you'll
never pay any sales tax, it's illegal.


You don't have any better grasp on this than you do global warming!
Please research the term "use tax."

Also see(for example):
http://www.maine.gov/revenue/salesuse/usetax.pdf
http://www.mass.gov/legis/laws/mgl/64i-2.htm
http://www.arkansas.gov/dfa/rules/et2006_9.pdf


Your reading comprehension skills are severely lacking.
A "use tax" is not a sales tax, and it can not be collected from a company
that does not have a presence in the state in which the goods were sold.
In
Shortwaves case *he* is supposed to inform his state of all goods he
purchased from outside sources and pay the required tax himself. It is
illegal for the merchant outside of his state to collect it, or any tax.


Let's recap. The statement was, "I buy a lot online and haven't paid
state or local tax yet."

You chimed in with, "As long as your [sic] not buying from a store
with a presence in your state you'll never pay any sales tax, it's
illegal."

A "use tax" is a substitute for a "sales tax." It is a legal loophole
that allows one state to charge "sales tax" for goods bought in
another state by not using the word "sales" in the tax on that sale.

A rose by any other name...


Give it up, you're starting to look silly.
A use tax is not a sales tax and it is never charged by an online retailer
from another state.