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May 13, 2013

Proposed Internet Tax Won’t Affect MeloTel Clients


sales_tax-100034782-largeMeloTel is a Canadian company that happily services businesses from all over our great nation. That doesn’t mean, however, that we would turn down an interested client from south of the border. And considering that the United States is apparently looking to impose a new tax on American companies doing business on the internet, we may have to open our doors a bit wider to our southern neighbours.

Imposing an internet tax, when you really think about it, is a pretty ridiculous idea. The way we see it, imposing such a tax on American businesses would only serve to hurt them. It’s the internet, for goodness sake. It has given people the freedom to do business with just about anyone in the world no matter where they are physically located. People don’t have to be restricted to homegrown businesses anymore.

So if Americans have to pay tax when dealing with American companies online, what’s going to stop them from choosing foreign competitors who don’t charge the tax? Perhaps, Mark Jeftovic of easyDNS says it best when he writes that “taxation specific to the internet, ostensibly to boost revenues into government coffers, in practice will probably diminish them as U.S. businesses lose competitiveness against foreign companies.”

So to the American government, we say this: go ahead and impose an internet tax on your own businesses. This will only open the doors for companies, such as ours, to do business with your great citizens. Since MeloTel is a Canadian company, it means that we can do business with our friends from the U.S. without imposing their domestic internet taxes. We’re always happy to increase our client base.

And the last thing we would want to do is make it more difficult for any of our clients to run their own businesses. If the U.S. does impose this new tax, difficulty is all that they will be causing. As Jeftovic points out, American businesses affected by the proposed internet tax will likely be forced to “eat” the new charges in an effort to not drive their prices up on their customers.

This will eventually result in those companies having to lower their margins forcing downsizing, layoffs, outsourcing and offshoring. We’re not sure how this is supposed to help the national economy in the United States. But we suppose that isn’t exactly our concern. Our concern is providing the best possible products and services to our clients – Canadian or American.

As Jeftovic writes, “a straight up internet tax will have the distinctive characteristic of singularly harming every affected business within the jurisdiction passing the tax, eroding competitiveness at the national level.” Why a government would want to make it easier for foreign competitors to snatch up business from their country’s citizens is beyond us. But, at the end of the day, we’ll take all the help we can get.

If you are based in the United States, you may have some concerns about accruing these excess tax charges when doing business over the internet. Have no fear. MeloTel is based in Canada. You will not be charged any internet tax when doing business with our company. Feel free to contact us at 1-888-MELOTEL to discuss how we can help provide your business with the exceptional products and services we’re known for.

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Danielle Cameron
Heidi Kaufmann
Charles Murray
Rashalee Green
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Dr. Martin Jugenburg
Wayne Goldstein
Danielle Cameron (VP Marketing)Imprezzio Marketing

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Heidi Kaufmann (Manager )TK Enterprises

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Charles Murray (CEO)Benjamin Verde

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Fouad Shuhaiber (CEO)National Projects

“I have been a MeloTel customer since 2009 and wanted to tell you how much my whole office appreciates your services. Life becomes a lot easier when someone is there to help when we need it. That kind of service is why we will remain a loyal customer for many years to come. Thank you! READ MORE"

Dr. Martin Jugenburg (Surgeon)Toronto Cosmetic Surgery Institute

“Toronto Cosmetic Surgery Institute is a plastic surgery clinic, located in downtown Toronto. On site we have a fully functional, state of the art surgical facility. MeloTel assisted us when we went paperless a couple years ago in replacing and restructuring our computer hardware and network. They have been providing us with IT support ever since. Whether it be remote sessions that are required, or on site visits, the service MeloTel provides is always quick and efficient. READ MORE"

Wayne Goldstein (CEO)Global Mentoring Solutions

“Global Mentoring Solutions (GMS) is a North American based, white labelled outsourced help desk provider that partners with major ISPs, eLearning Support Providers and mid-market IT Service Providers. With MeloTel’s telephone infrastructure services GMS is able to provide support for over 8,000 technical support interactions per month! GMS has been relying on MeloTel’s expertise and professional support services since 2010. READ MORE"

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