State Legislature Attempts to Tax All Digital Downloads

punipunipyo

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Jan 20, 2011
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Paying tax is a must in a country, but as the tax payers pays for their everyday vital needs, such as food, appliances, or clothing. We Californians pays 8-9% Tax, that means if you go and buy some thing that costs $100, you are paying around 9bucks to the government, now that may not sound much, but think, the ENTIRE country, and their purchases, everywhere, everyday... Our government is still telling us that we owe money to other countries, because our government is "poor", HOW? And here we are. them trying to add more tax to our purchases... this is a sign of wanting more money, they are lurking for extra cash... not a sign of them DOING anything, but just "digging" around for extra cash.
 

Nuke_em_05

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Mar 30, 2009
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Work in purchasing for any organization. If your purchasing agents are worth their pay, they'll let you know that you have to account for sales tax even if the vendor doesn't quote or invoice it, and then pay the state directly.

Sales tax has always been the onus of the consumer. It applies to goods and services. The internet isn't "no man's land"; the companies are based in physical locations, the customers are based in physical locations. If your town/state/country has a sales tax, you need to pay it on all goods and services purchased.

If this was a separate tax for digital media, that might be a problem, but all they are doing is adding it to the definition of all taxable goods.

EDIT:
I hate to speak with authority without references, so what I'm talking about is a Use Tax.

As a former tax accountant and current purchasing accountant for the IT department of an organization of 1500 employees, I know that my purchases are subject to tax whether the vendor collects it or not.

http://dor.wa.gov/content/findtaxesandrates/usetax/
It matches sales tax in Washington State.

Every state has one.

The purchasing department at the Themis Group should be able to verify this. They are based in NC, yes?
http://www.dor.state.nc.us/faq/use.html

Connecticut is not "adding a tax to digital media", they are adding digital media to their existing tax structure. Rather, they are removing an existing exemption to the current tax structure.
Man that's quite the URL [http://askdrs.ct.gov/scripts/drsrightnow.cfg/php.exe/enduser/std_adp.php?p_faqid=411&p_created=1153838317&p_sid=J619r9Tk&p_accessibility=0&p_redirect=&p_lva=419&p_sp=cF9zcmNoPTEmcF9zb3J0X2J5PSZwX2dyaWRzb3J0PSZwX3Jvd19jbnQ9MjIsMjImcF9wcm9kcz0mcF9jYXRzPTQ3LDU3JnBfcHY9JnBfY3Y9Mi41NyZwX3NlYXJjaF90eXBlPWFuc3dlcnMuc2VhcmNoX25sJnBfcGFnZT0x&p_li=&p_topview=1]
For business, but the same rules [http://www.ct.gov/drs/cwp/view.asp?a=1510&Q=270228&drsPNavCtr=|40829|#40958]
 

Something Amyss

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Dec 3, 2008
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Nuke_em_05 said:
Work in purchasing for any organization. If your purchasing agents are worth their pay, they'll let you know that you have to account for sales tax even if the vendor doesn't quote or invoice it, and then pay the state directly.

Sales tax has always been the onus of the consumer. It applies to goods and services. The internet isn't "no man's land"; the companies are based in physical locations, the customers are based in physical locations. If your town/state/country has a sales tax, you need to pay it on all goods and services purchased.

If this was a separate tax for digital media, that might be a problem, but all they are doing is adding it to the definition of all taxable goods.
Thank you for actually knowing what you're talking about.
 

Farther than stars

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Zachary Amaranth said:
Oversimplifications aside, I'm not sure you're going to sway people with that logic, since this country tends more conservative than liberal.

Besides, the conservative line has "generally" been pro-selfishness, and the gamer is a rather selfish beast. Which do you think matters to this lot more: The betterment of society, or not paying extra for games?
I'd say, judging by these forums, it's about 50-50, which it usually is in politics. And I'm not really trying to "sway" people, as much as I'm reminding them what they stand for when they take a position concerning this bill.
But if I was trying to sway people, I'd definitely say that some might take a step back and think about siding with the Republicans on this one. After all, the gaming community does tend to veer to the liberal side of government, since the political right will sometimes still brand gaming as something almost "evil".
 

EHKOS

Madness to my Methods
Feb 28, 2010
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And just like that, thousands of copies of Mass Effect 3 were thrown into the ocean in protest...
 

Something Amyss

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Farther than stars said:
I'd say, judging by these forums, it's about 50-50, which it usually is in politics.
That's not really true. Conservatives tend to have a larger placement in US politics (Which is the country where this taxation issue lies). and especially when it comes to an issue like "do you want to pay more for games?" They're really going to swing towards the "conservative" side of things. It's one of the things that makes "liberal positions" so untenable. "Do you want to pay more of your hard earned money? You don't, don't you?"

And I'm not really trying to "sway" people, as much as I'm reminding them what they stand for when they take a position concerning this bill.
A position they're probably fine with, even if they're only fine on it in this one instance.

People are rarely unilateral creatures.

But if I was trying to sway people, I'd definitely say that some might take a step back and think about siding with the Republicans on this one. After all, the gaming community does tend to veer to the liberal side of government, since the political right will sometimes still brand gaming as something almost "evil".
You mean the same liberals who backed SOPA? Some of them even penned SOPA and PIPA? Tipper Gore's thirty-something year crusade against just this sort of thing? Joe Lieberman? If you think the "liberals" in this country are supporting gaming rights, you've got another thing coming.

And even then, "liberal" gamers only came together when it directly benefitted them. Funny that.
 

Petromir

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Apr 10, 2010
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MorganL4 said:
Yes you pay a lot more for things like gas, but if you look at income levels for people in the UK vs us here in the US (even after factoring out the exchange rate) you guys still get paid considerably more than we do, AND you have more social services, so as far as total personal profit is concerned, you guys still come off better than we do here.
Really????

My department at Uni stopped a exchange project with Californian Uni because no-one was coming back, the students had discovered that an unfinished degree got them more over there than a finished one here. And that was back when you got $2 for your pound not the measly amount you do now.
 

vxicepickxv

Slayer of Bothan Spies
Sep 28, 2008
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jcb1337 said:
While I don't really like the idea of paying more for videogames, it makes sense. Why should this one product get special treatment? And more so over, how would they implement this for a platform like, say, Steam?
The state will tell companies to fix it, but some of them will just tell the state to get bent, and block sales in the state.
 

Triality

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May 9, 2011
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The state voted by business magazines the "Worst State to do Business" this year wants to depress business again. How apt.
 

Farther than stars

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Zachary Amaranth said:
Farther than stars said:
I'd say, judging by these forums, it's about 50-50, which it usually is in politics.
That's not really true. Conservatives tend to have a larger placement in US politics (Which is the country where this taxation issue lies).
I was actually talking about the gaming community specifically here, hence "judging by these forums". On a larger scale it's very debatable which of the two parties is the most powerful, especially when considering that you just made that statement while the current president is a Democrat.
 

grigjd3

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Ok, generally, I don't like to increase taxes, however, I always wondered how long digital purchases would go before they were taxed. I mean, we have a sales tax on everything else. I think the only reason this has been avoided so far is that you have to do something about the state in which the purchase is made - which I guess is going to be the state in which the customer is currently. However, now that I think about this, this could have privacy implications...
 

Neonit

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Dec 24, 2008
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they are not doing ANYTHING to improve digital downloads therefore they have no right to tax it.
if anything they are breaking it. they are the ones who should be taxed :p
 

Something Amyss

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Dec 3, 2008
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Farther than stars said:
I was actually talking about the gaming community specifically here, hence "judging by these forums". On a larger scale it's very debatable which of the two parties is the most powerful, especially when considering that you just made that statement while the current president is a Democrat.
And then you said "which it usually is in politics" which either ascribes to a false notion of these boards politically or ascribes to a false notion of politics in general. Since you used a generic and vague phrase, don't blame me for choosing the false notion that seemed more likely in context (indication of this board as a microcosm of politics at large).

The President might be a Democrat, by the way, but we're not seeing liberal policies put into place. Hell, last election the Dems lost the house and only didn't lose the senate because of the seats up for grabs. So where is the "debatable" part? When the Democratic President had a Democratic SUPERMAJORITY, he couldn't push through campaign promises like sweeping healthcare reform. Instead, we got Romneycare, a Republican idea that is not only being blasted as leftist but pooh-poohed by the general public for being "socialism." Cap and Trade, that liberal proposition by Bob Dole and other liberal thinkers? Opposition.

Wow, this is so debatable. Who has the power when the dude with a supermajority cannot get the points on which he was elected agreed upon....

And thanks for ignoring the bit about liberals backing SOPA/PIPA and other such "liberal" bills set to screw gamers. I guess they were an inconvenient truth.

And I didn't even get into stuff like the NDAA, which was bilaterally supported and signed by our Democrat President. I'm sorry, does any of this sound liberal to you? Did supporting Democrats make the NDAA less likely to include that garbage? Did Democrat Pat Leahy opt not to co-author PIPA because he's a Democrat?

Serious question, which you may ignore as it's both inconvenient and not in my first paragraph, but what of this sounds leftist to you? Does it sound worthy of gamer's support? Do you really think a Democratic body that helped establish SOPA/PIPA is one gamers should support based on their views of gaming?
 

Something Amyss

Aswyng and Amyss
Dec 3, 2008
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Triality said:
The state voted by business magazines the "Worst State to do Business" this year wants to depress business again. How apt.
I'm not sure how "requiring to do what you're already legally obligated to do" is "depressing business."

grigjd3 said:
Ok, generally, I don't like to increase taxes, however, I always wondered how long digital purchases would go before they were taxed. I mean, we have a sales tax on everything else. I think the only reason this has been avoided so far is that you have to do something about the state in which the purchase is made - which I guess is going to be the state in which the customer is currently. However, now that I think about this, this could have privacy implications...
And for the record, online sales were no exception to the "tax on everything" and fall under general rules for purchases out of state. The only thing that changes is you're no longer on your honour.

There's no actual tax increase.

Further, I'm not sure what privacy implications this carries. To purchase something, you already give out personal information to the e-tailer. I don't see why using your state of residence to determine your sales tax is any more privacy violating than it is now.
 

grigjd3

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Zachary Amaranth said:
Further, I'm not sure what privacy implications this carries. To purchase something, you already give out personal information to the e-tailer. I don't see why using your state of residence to determine your sales tax is any more privacy violating than it is now.
It's not your state of residence. Where my apartment is has nothing to do with what sales tax I pay. If I take a trip to San Diego, I don't pay Tennessee sales tax when I go to the drug store. I pay California sales tax. If I buy something from my smartphone, some information needs to be processed about where I am. That's the problem. If I use the steam app to buy a game, steam has to determine where I currently am to determine what taxes are owed. It's possible, if this legislation is worded badly, the government will be requiring companies to track my movements. That's where this gets into privacy issues.