I don't agree with much of what my state Representative, Michelle Vasilinda, does. It's been said politics makes strange bedfellows, and that's certainly the case for her death penalty repeal bill, which is one of a few areas where I disagree with my favorite presidential candidate, Ron Paul, who also opposes the death penalty. Having looked at the records of both, I suspect this is about the only common ground they have.
This posting will look at another of the bills she has filed for 2012, the "Streamlined Sales and Use Tax Agreement". What this boils down to is taxing Internet (or mail order) purchases. While this measure has the support of many in the business community, I want to shed some light on why it is actually double taxation, and how this bill will adversely affect some people like me.
My hobby for most of my adult life has been collecting automobiles, and of late, motorcycles. My oldest car is now nearly 50 years old, and the model went out of production on 1969. My favorite motorcycle is now 31 years old. Add to this many of the vehicle projects I build are an E Pluribus Unum type of thing- out of many, one. Before Cash for Clunkers drove auto parts prices much higher, I used to take junkyard late-model engines out of wrecked Chevy or GMC trucks and put them into foreign cars. If you've ever shopped at a local auto parts store such as Advance Auto, you'll know the first thing they ask is what is the year & model of the car you're working on. If I tell them my Toyota has a 2003 Chevy truck motor in it, they can't find the part I need. For that reason, many years ago I started using mail order and later the Internet to buy my parts. This holds true to this day. As another example, I can't go to a local store and buy a speedometer drive for a 32 year old bike. I can easily find it online, though. In some circumstances, I may buy from a Florida vendor, so I'm paying sales tax on top of the online tax.
Enough about the details of why the Internet is a valuable resource. On to the taxes. Internet access is already taxed in Florida depending on how you go online, as it is usually packaged with another service. What this means is you pay a tax to go online. You may see this in your monthly bill, or the service provider may not break it down separately. It's usually considered a telecommunication tax, and can be found here. If you use cable or a cellular modem to go online (this includes smart phones), the tax rate is 9.17 percent plus local taxes. If you go online via satellite, it is 13.17 percent, over double the base rate for Florida's 6 percent sales tax- which is usually 7 percent or more in most counties due to local options. Still on dial-up? Florida didn't forget about you. That phone line is taxed at anywhere from 2.37 to 9.17 percent depending on the location. Oh, and plus local taxes- and in this case, plus the federal universal service fee. Cha-ching.
Some great reading on the subject is here from the James Madison Institute circa 2005. On of the best points there is that this type of tax is indeed taxation without representation- the out-of-state business collects and remits the money, but they have no say in the governing authority to which it is remitted.
In Mark 12:17, Jesus said "Render to Caesar the things that are Caesar's, and to God the things that are God's." In my opinion, Caesar, or Mrs. Vasilinda in this case, is asking for too much.
About Paul Henry
Paul has a law enforcement background, having served as a Florida Deputy Sheriff and State Trooper for over 25 years until he retired. He worked many levels and positions within the FHP, from road patrol trooper to lieutenant in criminal investigations, where he investigated numerous criminal cases. After retirement, Paul wished to pursue his automotive hobby and be left alone, but saw an increasing amount of waste in government as well as the government's increasing involvement in our private lives and liberty, so he became politically active. Paul is the founder of the non-partisan citizen's group Floridians Against REAL ID, and authored two bills for the 2012 Florida legislative session: REAL ID partial repeal and Motorist Rights (red light cameras). Paul is the 2013 Legislative Action Committee Chair for The Tea Party Network, a network for constitutional and Tea Party groups to do more than just complain about issues. Paul works as the Deputy Director for Legislative Affairs with the Florida Campaign for Liberty and lives in the Tallahassee, Florida area.
Internet Taxation= Double Taxation
I don't agree with much of what my state Representative, Michelle Vasilinda, does. It's been said politics makes strange bedfellows, and that's certainly the case for her death penalty repeal bill, which is one of a few areas where I disagree with my favorite presidential candidate, Ron Paul, who also opposes the death penalty. Having looked at the records of both, I suspect this is about the only common ground they have.
This posting will look at another of the bills she has filed for 2012, the "Streamlined Sales and Use Tax Agreement". What this boils down to is taxing Internet (or mail order) purchases. While this measure has the support of many in the business community, I want to shed some light on why it is actually double taxation, and how this bill will adversely affect some people like me.
My hobby for most of my adult life has been collecting automobiles, and of late, motorcycles. My oldest car is now nearly 50 years old, and the model went out of production on 1969. My favorite motorcycle is now 31 years old. Add to this many of the vehicle projects I build are an E Pluribus Unum type of thing- out of many, one. Before Cash for Clunkers drove auto parts prices much higher, I used to take junkyard late-model engines out of wrecked Chevy or GMC trucks and put them into foreign cars. If you've ever shopped at a local auto parts store such as Advance Auto, you'll know the first thing they ask is what is the year & model of the car you're working on. If I tell them my Toyota has a 2003 Chevy truck motor in it, they can't find the part I need. For that reason, many years ago I started using mail order and later the Internet to buy my parts. This holds true to this day. As another example, I can't go to a local store and buy a speedometer drive for a 32 year old bike. I can easily find it online, though. In some circumstances, I may buy from a Florida vendor, so I'm paying sales tax on top of the online tax.
Enough about the details of why the Internet is a valuable resource. On to the taxes. Internet access is already taxed in Florida depending on how you go online, as it is usually packaged with another service. What this means is you pay a tax to go online. You may see this in your monthly bill, or the service provider may not break it down separately. It's usually considered a telecommunication tax, and can be found here. If you use cable or a cellular modem to go online (this includes smart phones), the tax rate is 9.17 percent plus local taxes. If you go online via satellite, it is 13.17 percent, over double the base rate for Florida's 6 percent sales tax- which is usually 7 percent or more in most counties due to local options. Still on dial-up? Florida didn't forget about you. That phone line is taxed at anywhere from 2.37 to 9.17 percent depending on the location. Oh, and plus local taxes- and in this case, plus the federal universal service fee. Cha-ching.
Some great reading on the subject is here from the James Madison Institute circa 2005. On of the best points there is that this type of tax is indeed taxation without representation- the out-of-state business collects and remits the money, but they have no say in the governing authority to which it is remitted.
In Mark 12:17, Jesus said "Render to Caesar the things that are Caesar's, and to God the things that are God's." In my opinion, Caesar, or Mrs. Vasilinda in this case, is asking for too much.
About Paul Henry
Paul has a law enforcement background, having served as a Florida Deputy Sheriff and State Trooper for over 25 years until he retired. He worked many levels and positions within the FHP, from road patrol trooper to lieutenant in criminal investigations, where he investigated numerous criminal cases. After retirement, Paul wished to pursue his automotive hobby and be left alone, but saw an increasing amount of waste in government as well as the government's increasing involvement in our private lives and liberty, so he became politically active. Paul is the founder of the non-partisan citizen's group Floridians Against REAL ID, and authored two bills for the 2012 Florida legislative session: REAL ID partial repeal and Motorist Rights (red light cameras). Paul is the 2013 Legislative Action Committee Chair for The Tea Party Network, a network for constitutional and Tea Party groups to do more than just complain about issues. Paul works as the Deputy Director for Legislative Affairs with the Florida Campaign for Liberty and lives in the Tallahassee, Florida area.