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Amazon relents on Sales Tax, sets sights on Same Day Delivery instead


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#1 of 156 OFFLINE   Sam Posten

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Posted July 18 2012 - 08:18 AM

All the retailers who bitched about Amazon not paying sales tax have no idea what they are in for if Amazon is able to pull this off. The biggest trick the devil ever pulled was convincing the world he had to survive by not collecting sales tax. http://www.readwrite...sales-taxes.php The thing is tho that this is great for Amazon who is playing to win for the long term, but what about everyone else who isn't thinking this far ahead. Interesting times ahead.

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#2 of 156 OFFLINE   Greg_S_H

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Posted July 18 2012 - 09:11 AM

Fuck the B&Ms who ran to daddy. I'll pay the sales tax and stay out of their stores. Government will not control my purchasing decisions, as the idiot comptroller in Texas explicitly said she was trying to do.

#3 of 156 OFFLINE   Jason Charlton

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Posted July 18 2012 - 09:32 AM

I don't shop at Amazon to save on sales tax. I shop there because their selection can't be beat, and the prices (even with sales tax added on) blows anything local out of the water.


This change won't affect my buying habits one bit.


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#4 of 156 OFFLINE   EricSchulz

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Posted July 19 2012 - 03:19 AM

I totally agree Jason.  I can't remember the last time I bought a DVD, CD or electronics item in a store (my iPhone/Mac two years ago?).  The selection is nonexistent.  Add bad or MAYBE minimal customer service and it is just the way I enjoy shopping now.



#5 of 156 OFFLINE   Steve Schaffer

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Posted July 19 2012 - 07:29 AM

I find Amazon useful for movies I can't find in stores, but for recent releases they haven't proven to be cheaper. I recently got Game of Thrones season 1 BD and Boardwalk Empire season 1 BD at least $10 cheaper at Walmart and BB respectively. Customer service at both places was outstanding. Don't get me wrong, I love amazon and have found their service to be top notch, but they aren't always the cheapest. There's also still something about actuallly going to a store and browsing that still has some appeal.
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#6 of 156 OFFLINE   Scott Merryfield

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Posted July 19 2012 - 12:24 PM

Even if/when Amazon starts colecting sales tax here, I will still shop with them. I shop there for the convenience and prices -- sales tax will not change that.

#7 of 156 OFFLINE   Stan

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Posted July 19 2012 - 01:29 PM

Even if/when Amazon starts colecting sales tax here, I will still shop with them. I shop there for the convenience and prices -- sales tax will not change that.

Can't believe you haven't had to pay sales tax. I live in Washington where Amazon has a "presence" so they started collecting sales tax years ago. It was great when I could order off internet sites and not pay tax, but that hasn't happened in a long time. With Washington being one of the few no income tax states, they closed off as many other loopholes as possible. I remember when DVDs first started coming out and I ordered loads of stuff from a company in California called DVD Express. No sales tax, I don't even think they charged for shipping. Have a feeling they were actually selling things below cost to build a client list, but they disappeared a long time ago. I'm with you and even with the sales tax I stay with Amazon. The convenience factor and the massive selection more than make up for it.
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#8 of 156 OFFLINE   Yee-Ming

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Posted July 20 2012 - 03:59 AM

I take it this means Amazon will collect state sales taxes applicable to the recipient's residence?


Presumably this means international customers (like me!) won't be affected?


After all, Amazon UK doesn't charge VAT on international orders, or more accurately, since the listed prices already include VAT, on checkout they actually deduct the VAT component.  I'd have to assume Amazon USA would do the same, i.e. no sales tax on international customers.



#9 of 156 OFFLINE   cineMANIAC

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Posted July 20 2012 - 04:30 AM

I don't shop at Amazon to save on sales tax. I shop there because their selection can't be beat, and the prices (even with sales tax added on) blows anything local out of the water. This change won't affect my buying habits one bit.

I agree that their selection is hard to beat (for movies, anyway - music is another thing) but they're actually charging up to $10 more for Olive Blu-rays, which is apalling. I've also found myself buying from Marketplace sellers more often for some DVDs. There's no point in paying full price for something when you can get a decent used copy for much less (and tax-free).
 

 


#10 of 156 OFFLINE   EricSchulz

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Posted July 20 2012 - 04:53 AM

Originally Posted by Yee-Ming 

I take it this means Amazon will collect state sales taxes applicable to the recipient's residence?


Presumably this means international customers (like me!) won't be affected?


After all, Amazon UK doesn't charge VAT on international orders, or more accurately, since the listed prices already include VAT, on checkout they actually deduct the VAT component.  I'd have to assume Amazon USA would do the same, i.e. no sales tax on international customers.

That should be correct.  I LOVE buying from Amazon.uk for that reason alone...I can get my imports SHIPPED here to the US cheaper than ordering them from the US Amazon.  Apple has been collecting taxes on iTunes purchases for a while now...surprised that Amazon didn't start this earlier.



#11 of 156 OFFLINE   Patrick_S

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Posted July 20 2012 - 06:29 AM

All the retailers who bitched about Amazon not paying sales tax have no idea what they are in for if Amazon is able to pull this off.

It is very unlikely Amazon will be able to pull off same day delivery in any meaningful way that would be attractive to customers. Same day delivery costs a lot of money and I doubt the majority of their customers would be willing to pay those costs. I love Amazon, shop with them all the time, but having worked with them in their beginnings I'm always amazed that they survived. They were without a doubt one of the poorest run organizations I had ever worked with. I guess there is something to be said for sheer size alone creating enough forward inertia which allows a company to overcome ineptness. Of course over the years I’m sure that they have become much more efficient and are now a well oiled machine.

#12 of 156 OFFLINE   Jason Charlton

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Posted July 20 2012 - 06:42 AM

Originally Posted by Patrick_S 

there is something to be said for sheer size alone creating enough forward inertia which allows a company to overcome ineptness.


LOL.  That can describe so many things... I may have to "borrow" this quote from time to time...


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#13 of 156 OFFLINE   Stan

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Posted July 20 2012 - 09:04 AM

That should be correct.  I LOVE buying from Amazon.uk for that reason alone...I can get my imports SHIPPED here to the US cheaper than ordering them from the US Amazon.  Apple has been collecting taxes on iTunes purchases for a while now...surprised that Amazon didn't start this earlier.

I may have to try your idea Eric. I'm paying 8.9% sales tax plus shipping on every order. I'll try my next one from AmazonUK and see how things turn out. Shipping may take a little longer but I've become much more patient and if it takes a few more days I'll live with it. Considering I haven't been in a movie theater since Gladiator in 2000 and can wait a few months for the DVD, a couple days shipping is nothing, but saving nearly 10% adds up fast.
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#14 of 156 OFFLINE   Adam Lenhardt

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Posted July 20 2012 - 06:16 PM

It is very unlikely Amazon will be able to pull off same day delivery in any meaningful way that would be attractive to customers. Same day delivery costs a lot of money and I doubt the majority of their customers would be willing to pay those costs.

I agree. We've been paying sales tax on Amazon orders here in New York for a few years now. They offer same day delivery on some orders in NYC, I believe, but the rest of the state has seen no delivery changes since the state imposed the tax.

#15 of 156 OFFLINE   CRyan

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Posted July 21 2012 - 02:48 AM

One of their one day solutions may have something to do with this if you have not seen them. I have always thought they needed a central hub of sorts in prime areas for people to pick up their orders. http://www.geekwire....locker-7eleven/

#16 of 156 OFFLINE   Carlo Medina

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Posted July 21 2012 - 04:41 AM

Ditto what others have been saying: selection and service have been great from Amazon. Yes 8.75% will suck (CA) but if they can do same-day or next-day delivery for cheap, I'm still in.

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#17 of 156 OFFLINE   Sam Posten

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Posted July 26 2012 - 02:42 PM

Orrrr maybe not? http://www.theverge....me-day-delivery

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#18 of 156 OFFLINE   Carlo Medina

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Posted July 26 2012 - 06:12 PM

I'd actually be ok with next day delivery for a reasonable price. I too can't see a way to do same day delivery unless you happen to leave near their shipping hub.

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#19 of 156 OFFLINE   Scott Merryfield

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Posted July 26 2012 - 11:38 PM

I always pick the free shipping option from Amazon, so same day or next shipping doesn't matter to me. As long as they keep offering a free shipping option on orders of $25 or more, I will be happy. I rarely need what I am ordering immediately.

#20 of 156 OFFLINE   Carlo Medina

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Posted July 27 2012 - 02:15 AM

Good point Scott. Since the whole point of relenting on tax means they'll have a presence in the state (California is one of their biggest customers) then if they offered next day shipping for #3.99 or 2 day shipping for free, I'd still be a customer. It would be worth it in gas savings alone to buy from them.

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