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More Online Sales Means Less Sales Tax Revenue

Online shopping is starting to take a bite out of state and local sales taxes across the country and around the world, according to a story on the KIRO TV7 website. The story refers to this as a "huge tax dodge," which implies that online shopping is partially driven by the possibility that buyers can avoiding sales taxes on online purchases.

Local offline stores are also losing revenue to online sales; and in even greater amounts if the current sales tax exemption serves as an incentive to buyers.

In Washington state sales taxes make up about 51% of state revenue. Current estimates are that about $635 million in Washington state and local taxes cannot be collected on internet sales. That is almost 7% of total sales tax collections in Washington.

Governments everywhere are interested in tackling this problem and making purchasers of online goods remit taxes one way or another. So far the U.S. Supreme Court has ruled that the traditional method of collecting and remitting taxes by merchants is unreasonable in the case of online merchants. There are just too many separate tax jurisdictions in the U.S. -- 8,000 of them. That would make for a horrendous paperwork imposition on online merchants.

To solve this logistical problem, services like that of Avalara are springing up, offering online merchants software that can identify the correct sales tax jurisdiction and apply the taxes correctly when purchases are made.

Eighteen states have already passed laws that will allow them to collect sales taxes from online sellers who volunteer to pay them. But just exactly how these laws will work in practice is another matter.

Just tracking and enforcing such regulations could create prohibitive expense on the part of the governments. Not to mention the cost of collecting and submitting taxes by online retailers.

Linknet News Summaries

June 27, 2006 - Linknet Online Shopping News

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Google Checkout Aiming Right at PayPal

When it comes to online payment processing, PayPal has become the default alternative to traditional credit card processors. Would-be competitors have come and gone over the last few years, but none have really made a dent in PayPal's dominance.

But now the online search giant Google is quietly expanding its already existing online payment processing services. And many think Google has its sites set squarely on PayPal.

The two major alternatives for online payment are credit card processing systems and PayPal. Paypal got its start processing payments for eBay, and since then has carved out a huge niche by providing a service to smaller merchants who can't be bothered putting the complicated and expensive systems in place to handle direct credit card purchases.

Google's CEO Eric Schmidt says it wants to provide a service that is "not like PayPal at all." Initially it will be targeted at advertisers -- presumably the kind who use Adwords and Adsense, and the Google classified service called Google Base.

In fact, this system started out as a Google Base payment service in late February. Google Base browsers have been able to purchase things like videos, maps, and Adwords advertising using their Google accounts, and the buzz is that Google and Yahoo are working with Wyse Technology to build bargain-priced PCs that they will sell directly online.

Since Google is already dealing with thousands and thousands of regular payments both from (Adwords) and back to (Adsense) advertisers and webmasters, it is obvious that the company has been in the "payment processing" business for some time. Google just sees their recent moves as a natural expansion of already existing services.

But of course it is much more than that. Google wants to make Google Base a viable competitor with both eBay and Craiglist and adding payment processing should go a long way to make the service more attractive.

Google currently charges $.25 plus 2.5% per transaction (for transactions under $3,000) as compared to PayPal's transaction fees of 2.9% plus $.030.

The Google service, dubbed GBuy by analysts, was rolled out last week, but is still only available to U.S. based sellers of Google Base products.

Meanwhile, Google has moved ahead with its initiative called Google Checkout. This appears to be little more than an extension of the Google Base payment system mentioned above. The difference is that Google is extending the payment service to U.S. merchants not directly involved with either Google Base or Adwords.

Merchants who sign up can have Google process credit card payments at .20 plus 2% per transaction. This is cheaper than PayPal. Also, merchants who also use Adwords can earn credits based on dollars spent on Adwords.

Adwords ads will also display a little Google Checkout logo if the merchant is signed up for the program.

Further information will be forthcoming as soon as we've had a chance to look at the program in more depth.

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June 20, 2006 - Linknet Online Shopping

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Protect Your Children Against Harmful Sun Exposure

by Rick Hendershot

Most of us are aware that excessive exposure to direct sunlight can cause skin cancer. Too much exposure to sunlight can also damage our eyes and even cause heat exhaustion and dehydration leading to sometimes serious consequences.

We all need sunlight because it is our primary source of vitamin D, which is important for helping us absorb calcium and therefore contributes to having stronger and healthier bones. That is why in previous generations children were encouraged to take supplements like cod liver oil during the winter when sun exposure is at its lowest levels.

These days we might be more likely to take a Vitamin D supplement because it helps us avoid direct sunlight. But even if we don't, it does not take much time in the sun to get a healthy dose of Vitamin D. Overexposure is a much more serious problem. Unprotected exposure to ultraviolet rays from the sun can cause skin damage, skin cancer, eye damage and even immune system suppression.

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June 11, 2006 - Linknet Technology

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International Calling Made Simpler And Cheaper

by Bernard Pragides

When people make international calls from their cell phones or land lines they often have to be aware of what time they are calling, and even where they are calling from. This is because international rates can skyrocket through the course of a day. Things are not much different with traditional phone companies. International phone rates are generally extremely high with major phone carriers, so many people are forced to limit the number of calls they make outside of the United States each month.

Prepaid Long Distance

Prepaid international phone accounts can greatly reduce the costs involved when placing calls overseas, and to Canada, Mexico, Asia and South America.

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Prepaid phone accounts function in a similar way to calling cards. However, they do not require a pin number to make a call. Callers can access their accounts through a toll free number, or through a local access number that works in their area. Using a local access number will actually reduce the already low rates by one cent per minute.

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June 7, 2006 - Linknet Internet News

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Google Spreadsheets Begins Beta Testing

by Rick Hendershot

Google has just unveiled a "Sneak Peek" of a new little utility called Google Spreadsheets. This is part of the company's attempt to create a suite of free or almost free online office tools that will make a dent in the Microsoft dominance in this area.

Spreadsheets is still in development, but Google has made the online program available for a limited number of testers. You sign up and they will let you know if you have been chosen as a tester -- assigned on a first come first served basis.

According to the online presentation, Google Spreadsheets will let you create basic spreadsheets from scratch, "including changing the number format, sorting by columns, and adding formulas." It will also let you upload already existing .csv and .xls worksheets and retain their formatting when imported.

You can give other people access to your online spreadsheets too. Permission is done via email address. You just enter the email addresses of others who you want to share your spreadsheets, and they are sent an invitation. As soon as they sign in they have access, and can view or modify the spreadsheet at the same time as anyone else who is signed in.

When more than one team members is signed in a chat window opens up so they can communicate with each other as changes are made.

Storage is online (on a Google server), so you have access to your spreadsheets whenever you have access to the web. You can also save them locally in .csv, .xls or .html format.

In a recent issue of WebProNews, staff writer David Utter says, "Google Spreadsheets looks interesting, and we're looking forward to playing with it when Google starts inviting people into the controlled beta. But without advanced features like macros or pivot tables, Google's newest Lab experiment just isn't close to Microsoft Excel."

I suspect, however, that many Excel users do not use a lot of the advanced features of the program, and, like me, often use it just as a means of creating a table of information. Another problem with Excel is that spreadsheets are not easily put on line and shared with others -- say, when working on a joint project. Google Spreadsheets addresses this problem head-on.

The fact is, you often don't need "macros and pivot tables" for these purposes. I can think of two or three current projects I am working on where being able to share information in table form, and where other team members could add to or modify table contents would be quite useful.

There have been a few times in the past when I wished putting an Excel spreadsheet online wasn't such a clunky exercise. Google Spreadsheets may not be a big money maker for Google, but it may turn out to be surprisingly useful, and will be another reminder that for many relatively mundane tasks it is not necessary to buy expensive software from Microsoft.

Rick Hendershot publishes Linknet News.

June 5, 2006 - Linknet Products

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Whether it's Simple Silver Jewelry or a Bright Hawaiian Quilt Think Style

by Chris Robertson

Fads in fashion are something that everyone needs to pay attention; at least if they want to look and feel good when in the presence of the people they know and even people they don't know. Little things like jewelry that is in fashion now can dress up your favorite pair of jeans, even if they are from ten years ago. Perhaps you like those shirts with shoulder pads that you've been wearing for 20 years, but you can still find a necklace, or some silver jewelry that will bring your whole style up to date! Even if all of your clothes are very in, jewelry, even very simple jewelry, can really complete an outfit.

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May 29, 2006 - Linknet Product Ideas >>

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10 Simple Kitchen Organizing Tips

A lot of the times we mean to get in there and finally organize the kitchen, but once things get out of control the job can seem so daunting and you just don't know where to start. These top 10 kitchen organizing tips will help make your kitchen pleasant and welcoming.

The best way to start a big task is to start small and think of one thing at a time. If you think of everything you need to do you may just never do it!

Here are some easy kitchen organizing tips:

Mentally Prepare - Look in your kitchen and make a mental note of what belongs in there, what can be put away, what you don't need anymore, etc.

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May 29, 2006 - Linknet Wireless >>

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Here's How Cell Phones Make Your Life Easier

by Mike Yeager

Cell phones, the prepaid ones, are the great way to stay within your budget restraints. You will either make an adjustment to how many minutes the prepaid cellular covers, or discipline yourself to use less minutes.

Purchasing prepaid cell phones is made very simple, regardless of what their credit situation is. You can purchase a prepaid cell phone without a credit card, without any contract, and without any deposit required.

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4 Great Reasons to Love On-Line Shopping

by Patricia Tomaskovic

More and more people are shopping on-line today than ever before, especially with the holidays just around the corner. But is shopping on-line safe? Is our information secure? Is it convenient? Many are reluctant to shop on-line for one reason or another. So, I have considered the reasons for their fear and apathy and have come up with what I believe are great reasons you gotta love on-line shopping.

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May 5, 2006 - Linknet Product News - Product advice, product reviews, product promos

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Full Color Printing on Vinyl Banners Now Possible

by Rick Hendershot

Most of us know what a "banner" is -- not the kind used in web pages -- but the kind used as signs on the sides of buildings, on fences, or across the stage at conferences. Roughly speaking, a banner is a large flexible sign or poster made of a durable material that can be easily folded or rolled. We are used to seeing banners strung across the road at fall fair time, or to promote a worthy cause.

In recent years banners or "banner signs" have become much more versatile than even five or six years ago. These days banner signs are used in all kinds of places where we used to see more permanent signs. Instead of a sign made of wood or plexiglass we now often see a vinyl banner sign that serves the purpose very adequately.

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May 2, 2006 - Linknet Product News - Products, product reviews, product promotions

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Computer Consulting: A Business of Time and Sweat Equity

by Joshua Feinberg

Computer consulting businesses require a lot of sweat equity and time. Consider whether you want to start from scratch, buy a franchise or buy a business established in computer consulting.

Building a computer consulting business requires a lot of time. It involves going out to meetings and it's shaking a lot of hands. You'll need to make a lot of follow-up phone calls. Display ads and direct mail drops and similar marketing efforts do not replace calling up a potential client to try to establish a person-to-person connection. Because of the required hands-on time, you should be realistic about what it takes to get your computer consulting business going.

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by Rick Hendershot, Linknet Blogs

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by Rick Hendershot, Linknet Publishing Network - originally published inTrade Show Buzz

Vinyl banner design is about as easy as it gets for the non-professional graphic designer. Generally speaking, a vinyl banner is easy to design, and anybody with a little bit of graphic design experience can do it.

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