Yesterday on NPR radio I heard of a bill to tax internet transactions. A lot of the things that I have bought over the internet have been taxed. I guess that this is fair. I would have paid tax on it anyway if I bought it somewhere else. Taxes are to generate revenue and pay and support government services.
Here is a rub though. If I were to buy a taxable item on EBT, SNAP, food stamps or whatever you call it I do not pay taxes on taxable items. I feel that state governments are missing out on deseverved revenue here. It would be like a little federal subsity. Let's say you go to the grocery. You have a hundred dollars to spend. If you buy only non taxable items you do not pay sales tax. But if you do, you pay sales tax. Why should EBT be any different? I see them buy cakes, sub sandwiches, party platters, "coldpacked" meats and chicken with this service. They pay no sales tax. But as a cash buyer you would.
We all have a certain amount to spend. And if you spend it on taxable items it should be taxed. Whether you pay by cash, check, debit or EBT. I know that this reduces the spending power of EBT. It also reduces the spending power of cash. What is fair is fair.
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