Archive for Monday, October 15, 2012

Editorial: Finally fair

Beginning today the K-State Official Online Store is expected to start charging state sales tax, a measure that’s long overdue.

October 15, 2012


It has taken awhile — more than a year since the issue rose to the surface and that’s considerably longer than it should have — but as of today an issue of unfairness to Kansas retailers apparently will have been resolved.

That’s when the “K-State Official Online Store” will begin to charge state sales tax on purchases by Kansas residents. About time!

It was back in August of 2011 that the Journal-World called attention to the fact that the K-State operation, unlike its counterpart at Kansas University, was not charging state sales tax on those purchases of purple gear.

At last, Team-FanShop, the Florida outfit that runs the Kansas State store, confirms that it and the Kansas Department of Revenue have reached an agreement that the store will start collecting sales tax on purchases starting today.

When the issue initially was raised, K-State tried to argue that because Team-FanShop didn’t have a physical presence in the state it wasn’t required to collect the tax. That generally is the case, but the revenue department ruled otherwise. In fact, the department pointed out that the online store of a state university by its very nature had a presence in the state. K-State now says it has no objection to the sales tax being levied, but the school should be embarrassed that it took so long to address the situation and that it didn’t just step up instead of being forced by the revenue department and public pressure to do the right thing.

Kansas-based merchants who sell the same or similar items thus have a level playing field now and are not facing a competitive advantage from an Internet retailer that in effect can charge considerably less because of the sales tax disparity.

That problem is solved for one noteworthy situation. Congress should get busy and make sure that appropriate sales taxes are collected on all Internet transactions so that community businesses across the country are not put at the same disadvantages by online retailers — retailers who don’t contribute anything to the thousands of communities in which they operate virtually.


skinny 5 years, 8 months ago

I disagree; sales tax should not be collected from out of state businesses. I live on the Missouri Kansas boarder. I can go across the state line and buy stuff cheaper in Missouri (Liquor/Beer). That’d be like saying I have to pay Kansas Sales taxes in Missouri. I am so tired of taxes. Every time something new comes out our government jumps at the chance to try and collect taxes on it. When is enough going to be enough? They tax us to death already. It's pretty bad when everyone says there are two things guaranteed in life, taxes and death. Well, I've had enough! I buy everything on the internet. First, everything is cheaper, second, there is free shipping, and last, NO SALES TAX!

Yep, sure, you can try and collect sales tax on internet sales but let me assure you one thing, if you do all the internet sales companies/stores are going to move outside the United States. Just like all the outsourcing that is going on now! Every time you call the Target help line or call HP on your computer, you talk to someone in Pakistan or India. How's that working for you all??? Which is a more important, collecting sales tax or keeping jobs in the United States? Think of the whole picture, not just we have to be fair to the brick and motor stores. There is a lot more to it than just that!!

tbannwarth 5 years, 8 months ago

I happen to work in Missouri and I ship there to save the sales tax whn I buy from Amazon. An immediate 7 or 8 percent savings.

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