The Electronic Commerce In the US Case Study Example | Topics and Well Written Essays - 1000 words

The Electronic Commerce In the US - Case Study Example Since this is a new medium for commerce and as the global marketing of goods or services is growing enormously, there is a need for redrafting the legal environment suitably. The legitimate revenues to the governments were previously realized through taxes on sales, as applicable under the standard law. This new face of marketing which is termed electronic commerce has once again highlighted the need for creating new laws to safeguard the interests of the customers as well as the manufacturers and revamping the source for taxes to be levied. The changes, which result from electronic commerce and related technology offer significant benefits to business, consumers, and government. They increase convenience, efficiency, and productivity and reduce costs. It is important to look forward to the changes and how they will influence the current tax laws as they relate to maintaining consistent revenue flows and taxpayer equity. In the U.S., the emergence of electronic commerce has left a prominent impact on the telecommunication, information and computer sectors, advertising, publishing, and media industries. The issues brought forth by the electronic commerce, which relate to sales tax and use tax, have attracted the attention of the federal, state and local governments. Promoting the growth of internet commerce is inevitable because of its potential in generating revenues and jobs and increasing productivity. However, the state and local governments are dependent on a consistent inflow of revenues to maintain essential services. Sales and use tax account for 36.7 percent of overall tax revenues. There is a need for a cooperative and simplified sales and use the tax system to provide for efficient and equitable taxation of interstate commerce. The Internet Tax Freedom Act created the Advisory Commission on Electronic Commerce and this commission recommended that while the internet should not be taxed more than other channels, it should not permit the avoidance of tax. The remote vendors argued that imposition of sales tax collection responsibilities in all of the thousands of the taxing jurisdictions in the U.S. would create an unacceptable burden (Pennsylvania Department of Revenue, September 22, 1999). The doctrine of sovereign immunity, in international law, permits a court to give up its jurisdictional rights in respect of foreign enterprises or countries. This doctrine has as its bases the traditional notions that a sovereign should not be subject to litigation in a foreign court. The result is that investors may be unable to obtain relief in their country's legal system. In some countries, this doctrine's application to commerce has been limited. While contracting with a private party if a foreign nation does not allow itself to be subject to the local laws, then recourse to U.S. courts in case of a breach is not possible.

Fundamental Reasons For Lobbyist Reform Term Paper

Fundamental Reasons For Lobbyist Reform - Term Paper Example TBTF banks, GM, Chrysler, AIG, and other important American companies received aid from the Treasury in the form of stimulus money intended to address the root causes of the problem in losses stemming from the real estate melt-down. After review, it is believed that the undue lobbyist interest by the same companies that received financing from these programs, as well as from the Federal Reserve directly via Quantitative Easing, may have influenced or even corrupted the process through which legislation was written concerning their own industry. Furthermore, the same influences were also seen during the process during which the Health Care Reform was passed. These issues point to a larger cause in the need for lobbyist reform. The most fundamental reason for this is to remove the possible conflict of interest in legislation, but this issue may also be seen as protecting the greater democratic system as well as making the administration’s own work more effective in legislation and reform. 1. In the examples of the Wall St. Rescue Package, TARP, and the stimulus packages implemented to assist the economy, Time magazine reported, â€Å"the legislation, which would bring more change to Wall Street than anything else enacted since the New Deal, was a Super Bowl for lobbyists.† (Brill, 2010) In analyzing the way that lobbyists from Goldman Sachs, J.P. Morgan, Bank of America, Citi, and other TBTF banks contributed soft money to the political process to buy influence in legislation, it reflects badly on the Administration and democratic process in America, and through this, encourages the Administration to support reform of lobbyists in Washington. 2. In the example of Financial Sector reform, the same companies and others, including major leaders in the industry, finance, and banking have influenced the process unduly.