Those who think they can escape California’s outrageous laws may be in for a sad surprise.
Small business owners throughout the United States have discovered, to their horror, that California is attempting to retroactively tax them for sales made online to people living in California. In some instances, the state government is seeking retroactive taxes from up to eight years ago, putting a crushing burden on mom-and-pop shops that have barely managed to survive the Covid-19 lockdowns.
California’s move is based on the South Dakota v. Wayfair Supreme Court decision that allows states to tax out of state sellers in certain circumstances. If, for instance, a company in Texas sells a large number of goods to California residents via Amazon, California can tax the company even though the company is not based in the state of California.
Not surprisingly, California took advantage of the ruling to pass a law allowing taxation of out of state companies in 2019. While there are certainly many good reasons why California should have refrained from passing such legislation, it’s a state’s right to decide its own tax laws. However, the state’s Department of Tax and Fee Administration is now stating that retailers will need to pay back taxes from the time goods were stored at an Amazon warehouse in California.
The controversial move was decried by the state’s own treasurer, Fiona Ma, who rightly notes that the move is both unlawful and unconstitutional. The Founding Fathers prohibited the creation of retroactive laws for this exact reason.
If, for instance, a progressive government made a retroactive law fining drivers for using non-eco-friendly cars, millions throughout the nation would be bankrupted. If a restaurant changed its prices after customers placed an order — or a business lowered wages after signing a contract with employees — those affected by the decisions would be well within their rights to take legal action.
Thankfully, the Online Merchants Guild is taking the battle to the state by via legal action. Its unknown at this point where that is going to go.
California’s efforts to retroactively tax companies for simply storing products in its states is chilling, as it shows that progressive state governments are all too eager to extend their reach beyond their borders. If California manages to get away with this, one can be sure that national politicians will take note.
I can’t wait for the people of California – even the liberals – to finally rise up against this “tax, tax, tax” mentality of Sacramento politicians.
Sorry but the majority of residents who have remained in Cal Fornication Are those whom feed of others. The losers the lowlifes the cartels the drug dealers the looters the Pedophiles the rapest the murders the thieves And a few good people who just aren’t able to leave.
How will this law be enforced? Will other states use resources to enforce California’s laws?
Online retailers should stop shipping orders to California.
Remember what Joe said “we want to bring California to the rest of the country”. QUOTE
It’s coming, be prepared to not purchase ANYTHING from California!
Maybe a simple solution for the People of California to”Wake up and smell the Corruption, is for those companies selling on the internet is REFUSE TO SHIP ANY ORDERS TO CALIFORNIA ! Californians who have Cohones can then stand together and perhaps “Request” some changes in the Governmental system
California is going to tax themselves right out of existence if the people don’t vote their now politicians out of our government
We are trying, we have 1.2 mil. signed petitions to recall newsom right now, we need 300,000 more by May 2021
California Wants to Retroactively Tax Small Business Owners in Other States that is UNCONSTITUTIONAL and ILLEGAL, but they believe that since they are Communist that no law applies to them.
Californication should immediately be banned from any interstate commerce, travel, sales, or any commercial interaction with other states. The penalty for such violations should be significant and irreversible. Any attempt to smuggle goods or produce into or out of the state should be be met by immediate confiscation of all property involved including vehicles, aircraft, and ships. Additionally any driver, pilot, and or ships captain/crew shall be arrested on smuggling charges with immediate cancellation of their license to operate such vehicles for a minimum of two years. No illegal immigrant shall be allowed to cross the border into another state. Welcome to the Marxist State of Californication.
You dream, John, they’re too fucking stupid to vote for change and no other state would pass those kinds of laws. Companies just need to stop shipping or doing any business there. Maybe that might awaken the moronic sheeple to finally act in their own interests.
Your reply was good I agree there idiots they put same politicians in every time .Gov of Cal is Pelosis nephew so I can see he’s idiot too .
First of all I want to let you know that the communist left used the voting systems in the fornification state and oregoon to refine the method of fraud that was used to steal the national election.
Next the solution is for businesses like Amazon to move all distribution and storage out of the state. states like NV, AZ, and UT are much more business-friendly.
I used to live in the state and the company I worked for sent every bit of business inventory and work that they could out of state. They wanted to move the whole thing but due to contracts, licenses, and certifications, they would have destroyed the business.
These idiots that keep voting the same criminals in office vote that way because they are democrats and they think they can’t cross the line. STUPID IS AS STUPID DOES. THEY ARE BRAINLESS AND DON’T TAKE THE TIME TO FIND OUT ABOUT THE CRIMINALS THEY ARE VOTING FOR. BUT THEN THEY ARE THE FIRST TO WIMPER AND CRY BECAUSE THEIR RIGHTS HAVE BEEN RUN OVER. BUT THEN OF COURSE THEY HAVE TO BLAME SOMEONE ELSE AND OF COURSE WE KNOW WHO THEY BLAME REPUBLICANS ARE AT THE TOP OF THEIR LIST. MAYBE IF THEY LEARNED HOW TO READ THEY MIGHT AND I SAY MIGHT SEE THE LIGHT AND CHANGE THEIR WAYS.
I want to sue China over this virus they spread around The World and for all damages it has created!
As for California taxing other states businesses? I’m sure there are state Constitutions in each state for each state that doesn’t permit that! California? You dig your own hole, you either dig yourself out or HIRE someone who can dig you out! First, there is a deposit that is required, UP FRONT!
The State of California has been a corrupt state for many many years. If you research the family history of there present day Governor and the connection with the Pelosi family you’ll see who is running the state.
Mexifornia is only trying a back alley move to make up the $ billions in unpaid pensions, open borders and ridiculous programs like sex change operations for prison inmates. These sheeple are so MFing stupid, they keep electing scum like Pelosi, Waters, Schiff and DiFi. Those who do get fed up and leave, keep voting for the same dysfunctional bankrupting shit in their new states! See WA, OR, AZ, NV & CO if you doubt me.
I agree. They move to other states to get away from what they don’t like and then vote for he same type people that caused what they don’t like. How stupid is that.
Yeah, I moved from Mexifornificate U to NV and right after that, it went dim, absolutely the opposite of the way I voted.
The change came in the areas that the majority of the people from CFU moved to, Clark and Washoe counties.
There is NO Ex Post Facto laws in the U.S. Constitution. Therefore I HOPE that CALIFORNIA is SUED into POVERTY – I WOULD back it in COURT! Plus, I wouldn’t pay the tax ANYWAY. “KALIFORNICA” brought it on THEMSELVES with their INSANELY STUPID Left Wing SOCIALIST policies, which are PROVEN to be an ABJECT failure. One Enlightened Patriot. Team Trump and His Allies 2020 – MAGA (it AIN’T going AWAY!).
California is no longer the golden state it is the tarnished state!!!
Best way to stop it is STOP BUYING AMAZON PRODUCT! The warehouse of Amazon is in California! So cancel your AMAZON ORDER!
AMAZON USED TO BE MY FAVORITE STORE TO SHOP IN. BUT NO MORE I REFUSE TO EVER ORDER FROM THEM AGAIN. THEY KEEP SENDING ME EMAILS I PUT THEM IN MY SPAM BUT THEY KEEP COMING IN.
Don’t forget Amazon support this and Biden idea! So BE AN Real American and stop buying through Amazon!
How are they going to enforce it. It is an ex post facto Law. Just like Biden threatening to punish people with Autoload Tax of $200 per year for you to own what you owned for tens of years.. the Assault Rifle. If they can do that, then the Constitution has been breached at all levels and we are all living a lie.
I call for a RECALL of all Democrats at state and National level… and that includes the President and Vice President. Remember it is the PEOPLE that grant the right to govern, NOT THE EXISTING GOVERNMENTS of State and Federal. We are not their chattel..
The word chattel is encountered in two main senses. The earlier of the two is primarily technical and refers to property, specifically property that is distinct from real estate holdings. The second meaning of chattel can excite considerable emotion, as it refers to humans as property, i.e., slaves.
EVERYBODY BITCHES ABOUT GOVERMENT. A BOUT THE POLICE,ABOUT BLACK AND WHITE PEOPLE, ABOUT TAXES. ABOUT LOOSING JOBS, ABOUT COMPANIES GOING OVER SEAS, SELL US JAPAN MADE JUNK. NO STICKEN JOBS LEFT IT U.S.A. ITS TIME TO DROP THE NUKES, AND END IT ALL. ITS ONLY GOING TO GET WORSE. THE WORLD IS GOING NUTS. AND NOBODY CARES!!!!!!!!!!
Simple Fix, Don’t sell to anyone in California and Close any Storage / warehouses in the failed Communist State!
I took my business out of California last year and will not pay one penny to these nazi socialist….come and get me
Reap what you sow Kommiefornia ! Left,uh,ESCAPED there over 10 years ago,NEVER BEEN HAPPIER. Won’t even go back,just DONE with that F’n state and I was a native. Don’t want to be buried there either. People need to wise up and stop paying their taxes-DEFUND the state,that will get their attention.Form a union of a few million tax resisters,each chip in some money for a legal fund for the ones to be “examples” and starve the beast with years and years of legal maneuvers and you can win,because they can’t arrest you all. How you make a whore cry? DON’T PAY HER !
WE THE PEOPLE aka the SILENT MAJORITY allowed this to happen, you did precisely what the Democrats expected of you, to remain silent.
Want to blame someone, Look in the Mirror!
We’ve had a million chances to make it right, by calling and flooding the offices of all 535 members of Congress to demand a full investigation and audit of the election, but we couldn’t find the time, or had more excuses than carter has pills.!
SILENCE = ACCEPTANCE
Keep that in mind!
In California, you still have the chance to recall Newsome…. what will you do?
This is unlawful. Reject it.
There were states that once followed military retirees in perpetuity to whatever state they went to live. if they mustered out of the military in that state, upon retirement. But congress put an end to that. Just because someone retires from there, doesn’t mean they get to tax their retirement forever. It was called a source tax. I see this as being a similar situation. Once a business moves, it should no longer be under the purview of their previous state, in this case California. Taxing them for the last year of doing business in Ca. is one thing, but thinking they can tax out of state business is just ludicrous.