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Card Slinger J

U.S. Supreme Court to End E-Commerce?

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So sometime last month, President Trump attacked Amazon CEO Jeff Bezos for his predatory online business practices in regards to how e-commerce has been putting shopping malls and retail chains such as Toys R Us and Kmart out of business which has now led toward a U.S. Supreme Court case determining whether or not If there should be an online sales tax to dissuade people from shopping online in a last-ditch effort to save shopping malls, retail chains, local game stores, and small businesses.

Trump's solution? Defund the U.S. Postal Service even though it's protected by the U.S. Constitution. Because why go through the hassle of establishing a sales tax on online goods when you can get rid of the one service that makes e-commerce possible? He doesn't care about the South Dakota v. Wayfair Inc. case this June which If ruled in favor of South Dakota will make online shopping too expensive and less lucrative for those who now only have one way to shop.

So you're probably wondering how this all relates to the Online Singles Market for Trading Card Games / Collectible Card Games. If President Trump or SCOTUS gets their way with e-commerce becoming too expensive from online sellers being forced to overcharge their products due to being required by law to collect sales taxes nationwide with tax rates varying by state, city, and county; there would be less people buying online card singles to help complete their decks because they know their LGS has a hard time carrying them.

The fact of the matter is that the LGS isn't going to go back to the way it was before e-commerce exploded when we still had pricing guides with Scrye Magazine and InQuest Gamer. E-commerce has made it to where people are no longer obligated to play the booster box lottery anymore where all the proceeds they end up saving for themselves could've went to help keep their LGS from closing it's doors for good. This isn't going to persuade online sellers to sell their cards at local game stores when it's actually more profitable for them online.

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You make a good point, but I feel like (as with everything with President Babyhands) it is all going to amount to nothing, he is more than likely going to be impeached/imprisoned within a year so he is just desperately trying to distract everyone from the Mueller investigation as best he can.

Sorry to get political on here but I feel it is relevant to the topic.

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19 minutes ago, sh0ryu_repp4 said:

You make a good point, but I feel like (as with everything with President Babyhands) it is all going to amount to nothing, he is more than likely going to be impeached/imprisoned within a year so he is just desperately trying to distract everyone from the Mueller investigation as best he can.

Sorry to get political on here but I feel it is relevant to the topic.

A big issue with this is that we can't be sure what actions in this are Trumps' own, and which are the actions of his party that he parrots without necessarily understanding. At the end of the day, the dude is a fall guy that his party is very good at playing. Beyond that, his impeachment may not actually be a win when we consider who would likely replace him in the White House.

Ultimately, I don't think America has an easy way out of this. Your system has put safe-guards in place that pretty much mean that when things get bad, they can't easily get remedied. But hey, if it helps, Toby Abbot right fucked Australia, and then proceeded to actually elect Malcolm Turnbull. So we had one politician who utterly fucked us (who was basically our Trump, seriously listen to the dude's press conferences), then another who has no plans or intention to fix the problems of the former.

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I feel as though President Trump only played a minor role in this situation when more than 40 states in the U.S. have already asked the U.S. Supreme Court to consider overruling the Quill decision since they're losing billions of dollars in tax revenue each year, requiring cuts to critical government programs while the losses compound as online shopping grows. What they don't understand is that for online retailers the complexity and expense of collecting taxes nationwide is more than likely to drive them out of business as it's become increasingly difficult for both business models to play by the same set of rules.

States generally require consumers who weren't charged sales tax on a purchase to pay it themselves, often through self-reporting on their income tax returns. But states have found that only about 1-2% actually pay. States would capture more of that tax If out-of-state sellers had to collect it, and states say software has made sales collection tax simple. Out-of-state sellers disagree, calling it costly and extraordinarily complex. Sure you could say that this situation escalated all because Trump had a personal vendetta against Bezos in an attempt to kill the Washington Post and help Trump's donors, however the more I've looked into this there's a lot more to it than that.

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So the U.S. Supreme Court finally reached a verdict today on the South Dakota v. Wayfair case involving Online Sales Taxes which was ruled on a 5-4 decision that struck down the longstanding legal precedent that businesses don't have to collect internet sales taxes on behalf of states where they don't have a physical presence. The reason was that the physical presence rule decided from the Quill Corp. v. North Dakota 1992 case was "unsound and incorrect" in the current age of Internet services.

Only Congress can save online retailers from drowning in a paperwork flood that money-hungry state and local governments will be directing their way. If the decision is correct on the law, then it must be taken as a signal that the law must change. Otherwise it would mean that small online retailers on Amazon, eBay, and Etsy could no longer do business unless they're willing to keep records and make regular tax payments, even If the amounts are trifling, to as many as 9,998 different state and local sales tax jurisdictions that each have their own forms and tax rates.

To make matters worse, the various jurisdictions don't even agree on what gets taxed. Using its power to regulate interstate commerce, Congress can create a new standard, or restore the old one, in black-and-white, replacing a less-certain judicial creation, and prevent state and local governments from burying the national market under a landslide of tax paperwork. I guess the real question is whether or not If Congress can manage to pass some sort of legislation regarding this without President Trump threatening to veto.

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10 hours ago, Card Slinger J said:

To make matters worse, the various jurisdictions don't even agree on what gets taxed. Using its power to regulate interstate commerce, Congress can create a new standard, or restore the old one, in black-and-white, replacing a less-certain judicial creation, and prevent state and local governments from burying the national market under a landslide of tax paperwork. I guess the real question is whether or not If Congress can manage to pass some sort of legislation regarding this without President Trump threatening to veto.

I'm not 100% sure I understand the full impact of the situation as the wording seems confused and strangled at certain junctures, but I am rather curious to see how this will affect the merch sales of online content creators based within the US. While certainly not the full brunt of the impact from any decisions going forward, it is curious how it will influence the online climate for people who rely on merch (such as webcomic creators).

But I do expect that Trump will veto anything that could maybe change this to something for the better. I have every faith in that man to make some very fucking stupid decisions without understanding their full-impact because someone said it was a good idea.

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I assume that online content creators based in the U.S. who sell merchandise would be required by law to file paperwork in order to compensate the new tax policy, failing to do so would more than likely cost them their business on top of being falsely accused of tax fraud. Someone made an argument the other day that the idea of sales tax heralding the "death of e-commerce" is a fallacy as it really only makes up a small percentage that doesn't even begin to bridge the gap between an online store vs. a brick-and-mortar store.

Since online stores have lower overhead due to having smaller and less expensive physical locations, they can literally be anywhere and don't need high-expensive store fronts with lots of room for customers. The person I talked to was mainly referring to standard shipping but with this new tax policy it would essentially add a state tax to merchandise where the prices would vary from each city, state, county, and district in the United States. The real question is just how expensive will it get under the new paperwork until Congress steps in to help ease the burden for online retailers.

I also discussed this with my mom since she buys most of her stuff on Amazon nowadays and after looking through the web articles I sent to her regarding the recent Supreme Court verdict for online sales taxes it doesn't really seem to affect her THAT much even though the stuff she buys will be slightly more expensive. I'm also curious to see how eBay adapts to the new tax policy but so far I haven't noticed any new changes when I was browsing through listings for various card game singles. If I were to guess it's that they haven't had time to adjust since the ruling was just announced very recently.

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