From February 1St, Amazon Will Levy A Consumption Tax In Illinois.

Consumer tax will be levied on consumers in Illinois next month to comply with the latest law in the state.

Over the years, there has been a heated debate in the us about whether or not to levy a sales tax on Internet retailers.

Many entity retailers believe that online retailers who do not pay consumption tax have gained unfair competitive advantages and have joined forces to promote the market equity law.

Tax bill.

According to The Associated Press's January 23rd report, Amazon Co spokesman Ty Rogers recently said that since February 1st, Internet retailers have been asked to impose a 6.25% consumption tax on consumers in Illinois.

The spokesman said that regardless of whether or not taxed, Amazon will focus on providing the most affordable commodity prices.

The high court of Illinois has tried to promote the law of collecting online shopping consumption tax, judging that the previous law violated the provisions of federal law against the implementation of the discriminatory tax system in the field of e-commerce.

Subsequently, the Illinois state lawmaker passed the law last summer.

Retailers in Illinois are very supportive of the law and believe that this brand new law is a fair tax treatment for entities.

At present, there is no knowing how much sales tax will be generated from the sale of Amazon, but there is no doubt that this figure is very large.

In addition to Illinois, Massachusetts has long demanded that Internet retail companies pay 6.25% of the sales tax, provided that the company has entities in the state or no tax is required.

If every online shopping order in Massachusetts is taxable by law, the state will receive an annual tax of $200 million.

According to the decision of the US Supreme Court in 1992, if an online retailer does not have physical facilities in a state, such as warehouses or distribution centers, the state government shall not force online retailers to impose sales tax on the residents of the state.

It is understood that Amazon's pricing background system has been set up long ago.

When the seller is pricing, if the option of the consumption tax is ticked off, the sales tax will be included in the final sales tax, and the adjustment mechanism for the different taxation systems in the states of the United States will be matched with the channel. "According to the location of the seller, the corresponding tax rate can be adjusted to the state.

But Amazon's attitude remains ambiguous.

Before the bill was legislated, Amazon did not force sellers to set up a consumption tax.