I'm certainly no fan of taxes, but I understand their necessity.
Thus, I wonder why mail order items are not taxed when purchased from
another state. I've taken advantage of this loophole, myself, knowing
that I could order an item out of state to avoid paying a sales tax.
The real losers in this, besides Idaho's General Fund, are the businesses
in Idaho. How can they compete with mail order companies? Why
would someone from Moscow buy an item from Boise, or even Moscow, if the item
could be bought through mail order from another state, if the total cost turns
out to be less for the mail order item? This may not hold for small
items, but for computers, other electronics and other more expensive items, it
is worth it to order it through the mail.
I doubt that folks from other states are using this loophole to buy items
from Idaho. Perhaps this is balancing out, but it doesn't seem like
Idaho has as much commerce to offer other states as other states have to offer
us. Thus, we are shipping our state's dollars to other states.
Either the sales tax should be repealed, or mail order items should be
taxed equally. It does not seem right to have this double
standard.
Idaho businesses should be aware that they are losing customers who are
not wanting to pay a sales tax. This is an unfair disadvantage to
our state's economy.
What is the justification for this loophole?
Garrett Clevenger