State tax IS as simple as that. At least, that's as simple as it is in Arizona; I don't know about.....
You don't know about. For one, federal income tax is, in theory, about that simple too. Reality differs greatly. Check yourself, I'm not getting paid to educate you.
First, how does reducing taxes increase the cost of goods? I call BS on that idea....
Again, you just don't get it. First, define "sellers location" for us. That's the problem vexing tax collection NOW. As for the increase - internet sales that bypass sales tax suddenly get hit with it. In 2011 ecommerce was ~$255 billion. Let's say half of that went untaxed (probably much higher) and now we're taxing at ... 5%? That's $13 billion in additional taxes.
Sellers are taxed - they pay income tax.
No, they don't. Corporations (esp. large ones) don't pay income taxes. Go look at how much tax Amazon paid last year.
Straw man. Corporate tax shelters are an entirely different problem and discussion.
So what? States are free to raise or lower their taxes if they wish, to compete. They could even give special tax advantages to warehouse shippers if they want.
Which tax rate applies? See above.
You talk of use tax and you call my idea "impractical", when NO ONE pays use taxes because there's no way to enforce them? And you actually think it's somehow practical for small internet sellers to figure out how much tax they need to charge everyone nationwide, and somehow send checks to 9600 different tax jurisdictions?
Can purple eat from square rainbow? Sorry, my brain almost exploded because you can't seem to follow the discussion. I'm not suggesting a use tax, I'm explaining that we have (a broken) one now which you don't seem able to grasp. Buyers are supposed to remit the unpaid taxes but they typically don't. The proposed legislation will punish the SELLERS for what they buyers are doing.
Your original analogy/suggestion/proposal entirely ignores the definition of location in the modern world. Even take a simple ebay seller...their storefront exists on ebay servers in some datacenter. Their 'office' exists in their living room. Their warehouse exists in their garage...and in china because they drop-ship...and in another state because they sell for their cousin who's parents died. Do you really think the tax code for this will be SIMPLE and appropriate for small time sellers?