Archive for: May 2013

The Facts About The Marketplace Fairness Act Online Sales Tax Debate

Because every American state regulates its own procedural methods for collecting taxes, the implementation of new federal standards can be potentially chaotic and confusing. Due to the passage of the Marketplace Fairness Act within the United States Senate, there will inevitably be an overhaul of the national methods for collecting taxes on all online business activities. As the House of Representatives mulls finalizing this legislation, it is crucial to understand the specific language of the bill to determine any personal impacts beforehand. The most important skill to possess is an ability to discern between hyperbolic rhetoric and factual information; as such, a comprehensive overview of this oncoming law is provided below.


The Purpose Of New Regulations:

The Marketplace Fairness Act seeks to consolidate the entire country into a singular method of taxation in an attempt to recoup the annual loss of government income. While the statistics vary drastically between states, it is estimated that millions of dollars are being withheld from regional governments. This shortfall is the result of current loopholes that allow a majority of remote retailers to dodge standard tax rates.

Unfortunately, small businesses that rely on the internet simply do not have the resources to collect taxes from every customer. This is because every regional location is subject to the tax codes of their local government. Therefore, if the new legislation is passed in its current form, states that participate will be required to massively simplify the process of tax management for their local small businesses.

How Location Will Matter:

Currently, online retailers are typically only required to collect sales tax from residents who live within the legal proximity of their business operations. States that choose to adopt these new regulations in the future will be able to enforce sales tax income by setting up free services to conduct the convoluted calculations. Even though the legislation is aimed at universalizing the taxation system, it will not succeed in implementing unanimity among the states; however, instead of having fifty different sanctioned methods for collecting online sales tax, there will theoretically be a mere three.

There may be states that prefer to avoid the adoption of federal tax regulations, and these unions can choose to opt out of the changes. Their freedom from widespread taxation will still be widely limited by the parameters instigated by a new national taxation framework. The second option that states can consider is to operate within the context of the Streamlined Sales and Use Tax Agreement without pursuing further modifications. This would allow them to recover some financial losses without having to commit to creating a new collection system. The final option is to accept the clauses contained within the Marketplace Fairness Act. This would generate the most governmental income, but it also shifts the onus of responsibility and liability onto individual states instead of business owners.

Divisions Among The Debaters:

Advocates of the legislation include the National Conference of State Legislatures and National Governors Association. These organizations wish to revitalize dwindling local economies by relying on increased internet taxes; contrarily, executives from major online retailers disagree with the entire concept. They claim it is excessively detrimental to the ability of individual sellers to compete with corporations. Either way, the Marketplace Fairness Act is here to stay, whether it amounts to economic lubricant or interference.


How Working Remotely Is Changing The Way That We Do Business

Americans are increasingly working from home or on the road. As a result, workers are treated differently by employers and clients have different expectations from the companies that they partner with. decided to ask a group of professionals what are some of the biggest changes that have come about due to employees working remotely?



A Set Schedule May Not Be Necessary

If you have a cell phone and an Internet connection, it is possible for your employer to reach you at any time. Therefore, as long as you are getting your work done on time, there may be less of a need to adhere to a strict work schedule each day. The only exceptions to that rule are when you have to meet with a client or if you need to meet with your boss to discuss an important matter.



Working From Home Is Becoming Increasingly Popular

The ability to work from anywhere has made it possible for more and more workers to get their work done from home instead of at the office. This is preferable for those who have kids or don’t want to interact with their colleagues. While employees may end up having to furnish a home office, there are plenty of online stores ready to deliver directly to your door, such as for example. Many companies will reimburse their employees for these expenses, and they see this as a good way to lower their overhead costs because they don’t have to pay as much for electricity or a phone line if an employee is working from home instead of at the office.



It Is Easier To Do Business On A Global Scale

The ability to communicate with clients and employees at any given time allows for more work to be completed with clients who may not be in your time zone. For example, an employee in New York can communicate with a client in Europe before, during or after work simply by using Skype or any other VoIP product. This allows for meetings to take place at a mutually convenient time for the employee and the client without having to leave the office or fly to another continent to have the meeting.



Working Weekends Is A Fact Of Life

As the business world evolves, it has become commonplace for employers to conduct business on nights and weekends. Therefore, you may have to cancel your Saturday golf outing to come to the office or put your lunch plans on hold to have an impromptu meeting with your boss to make sure that he is ready for the shareholder presentation on Monday.



No One Is Truly On Vacation

The downfall of working remotely is that you rarely get to truly escape your boss, clients or colleagues. This is because you are only a phone call, email or text message away at all times. In some cases, employers will strongly suggest that employees respond to messages while they are away. For some employees, this means that their vacation in Hawaii can feel just as much like a business trip as it is a chance to relax and unwind for a few days.

Working remotely has benefits as well as drawbacks for workers. While businesses can get in touch with their employees regardless of where they are, the employees may have to forget about taking vacations or making plans on Saturday if something comes up. On the plus side, working from home as well as having some control over your workweek can be a good thing if you are the type that doesn’t need a set schedule.