$300 to start a blog - Regulating the internet Gov't out of control

[Elf Grinder 3000]

The city of Philadelphia will now charge you $300 to start your own blog.

This is the result of internet regulation folks.

I see this as destroying more jobs more innovation and generally being a gigantic pain for every startup.

Government is the problem

http://thelibertarianrepublic.com/want-start-blog-philadelphia-youll-need-300-license/

 

[Tsukasa Buddha]

This is the result of internet regulation folks.

Nope. From the linked article in your link:

But in Philly, anyone "conducting commercial activity" is required to buy a business privilege license that costs $300 for a lifetime, or $50 per year. Businesses must also pay taxes on any profit they make.

That's how the Philly bloggers landed on the city's radar: Those who followed the law and reported their blog's revenue to the IRS triggered tripwires set up to find local businesses operating without licenses.

Linky.

 

[Elf Grinder 3000]

Nope. From the linked article in your link:


linky
Linky.

Nope

But in Philly, anyone "conducting commercial activity" is required to buy a business privilege license that costs $300 for a lifetime, or $50 per year. Businesses must also pay taxes on any profit they make.

That's how the Philly bloggers landed on the city's radar: Those who followed the law and reported their blog's revenue to the IRS triggered tripwires set up to find local businesses operating without licenses.

They are required to pay a 300 dollar licensing fee

Its regulation and its wrong

Jesus don't you even read the links anymore?

 

[quixotecoyote]

In a case of 'even when he's right, he's wrong' Elf Grinder's title and OP is incorrect. It's not $300 to start a blog, it's $300 to start a business. Blogs aren't necessarily businesses, and businesses aren't necessarily blogs. There's no connection needed between the two.

When you start conducting business, you need a business license. Old news, and nothing related to regulating the internet.

However, having said that, why should every business need a business license?

 

[Giordano]

I think a key question is what type, if any, of blogging activity does Philly law view as commercial activity? I would imagine it must include some process by which the blogger gets money as a result of their blog (from ads perhaps)? I would be very surprised if one needs a business license to only communicate your views for free over the Internet.

In any case, it is clearly not due to regulation of the Internet per se, but rather of businesses in general as has been practiced for many years before the Internet.

I guess this is pretty boring in reality- sorry to disappoint anyone looking for more drama based on the thread title. I know I hoped for more.

 

[Loss Leader]

However, having established the sky is still blue, why should every business need a business license?

Primarily because businesses are fictional people. Being somewhat incorporeal, businesses historically were notoriously hard to sue. How do you serve your summons on something that doesn't exist? If you go to the main office and can't get any further than the receptionist, can you serve her? What if you only have a brand name and can't find the corporation that owns the brand?

Who would you sue if you were poisoned by Kashi brand cereal? It's Kellogg, by the way. Have a problem with Ben & Jerry's ice cream? That's Unilever.

To solve this problem, the government mandates that all corporations keep on file with the state a home office and responsible person. Furthermore, all business names must be registered so that the true owners of the business or brand can be found. The State is authorized to accept service of legal papers on behalf of the business. So, no one ever has to have any difficulty finding the corpus of the business. It resides with the state.

These government services are not free. It costs the government money to register businesses, keep records, accept service of process, and forward papers on to the business' office.

In addition, the government can generate lists of businesses in certain categories in order to improve compliance with regulations. How do health inspectors know where to go? Do they just drive around?

To offset these costs, there is a small fee for service. This is a "tax" only on those who use the service.

It all seems pretty fair to me.

 

[quixotecoyote]

Primarily because businesses are fictional people. Being somewhat incorporeal, businesses historically were notoriously hard to sue. How do you serve your summons on something that doesn't exist? If you go to the main office and can't get any further than the receptionist, can you serve her? What if you only have a brand name and can't find the corporation that owns the brand?

Who would you sue if you were poisoned by Kashi brand cereal? It's Kellogg, by the way. Have a problem with Ben & Jerry's ice cream? That's Unilever.

To solve this problem, the government mandates that all corporations keep on file with the state a home office and responsible person. Furthermore, all business names must be registered so that the true owners of the business or brand can be found. The State is authorized to accept service of legal papers on behalf of the business. So, no one ever has to have any difficulty finding the corpus of the business. It resides with the state.

These government services are not free. It costs the government money to register businesses, keep records, accept service of process, and forward papers on to the business' office.

In addition, the government can generate lists of businesses in certain categories in order to improve compliance with regulations. How do health inspectors know where to go? Do they just drive around?

To offset these costs, there is a small fee for service. This is a "tax" only on those who use the service.

It all seems pretty fair to me.

This seems to assume all business are corporations, though. This isn't true generally, and specifically not true of the blogger in question.

For many kinds of businesses, including the common sole proprietorship, the person you sue if the business damages you is the person or people who own the company. eta: And if I recall my old business classes correctly, the cost for doing business as a corporation is usually a second round of taxation, so not connected to the business license.

Registering a business name is a separate issue than the actual license and isn't usually considered to be covered by the business license. In Philadelphia, it's another $70.

As far as it funding lists to send health inspectors and such to, it seems starting those types of business require specific extra licenses and fees, so also not covered in the standard license.

 

[Mitchell314]

If you bother to read the original source, it's about treating website ad revenue as a business; the only thing about blogs is that it was some bloggers complaining.

 

[The Central Scrutinizer]

http://thelibertarianrepublic.com/want-start-blog-philadelphia-youll-need-300-license/

Do you have a legitimate source for this story?

Hint: One that isn't called "The Libertarian Republic".

 

[Brainster]

Do you have a legitimate source for this story?

Hint: One that isn't called "The Libertarian Republic".

CNN.

 

[Giordano]

CNN.

Yep, sounds like I thought:if you seek to make money from it, it is a commercial activity/business. So you need a business license. In fact, some businesses even lose money! But they still have needed to buy a business license for many years. Now you can obviously blog to you heart's intent if you don't arrange to get money from ads. No cost. But just like a newspaper; if you get income from ads, even if it is not a lot, then it is a business. If you expect to make less than $300 total, you may want to forgo the ad income. Then you don't need to lay out the $300.

 

[ponderingturtle]

How dare they demand commercial enterprises be recognized as such! Outrage I tell you Outrage!

 

[ponderingturtle]

And of course it also means that they can deduct business expenses from their taxes. A friend of mine filed as a business because he had being going to computer events for years on his own dime, then after writing a book he filed as a business, now they are business expenses.

 

[LorenzoValla]

I'm curious about the justification for the city requiring a license for a business that is conducted entirely over the internet. The city doesn't seem to be giving anything in return in the form of services nor is it providing oversight or regulation. Seems like an outdated model.

 

[ponderingturtle]

I'm curious about the justification for the city requiring a license for a business that is conducted entirely over the internet. The city doesn't seem to be giving anything in return in the form of services nor is it providing oversight or regulation. Seems like an outdated model.

They are the level of government that issues business licencees?

 

[LorenzoValla]

They are the level of government that issues business licencees?

That doesn't answer the question.

 

[ponderingturtle]

That doesn't answer the question.

Yes it does. The question was why is that the level of government to do so, not why do businesses need licences.

 

[marplots]

And of course it also means that they can deduct business expenses from their taxes. A friend of mine filed as a business because he had being going to computer events for years on his own dime, then after writing a book he filed as a business, now they are business expenses.

I think you can also expense out the cost of the license.

 

[Foolmewunz]

I'm curious about the justification for the city requiring a license for a business that is conducted entirely over the internet. The city doesn't seem to be giving anything in return in the form of services nor is it providing oversight or regulation. Seems like an outdated model.

Seems like a loophole people are trying to exploit by saying "Hey, wait... I don't have a business in XYZ, my business is on the internet." By that Freemen-like logic, their businesses aren't domiciled ANYWHERE and would be subject to no state or municipal laws. Do they have a computer? Work out of some premises in one of the States or Territories? Or are they floating around off-shore beyond the jurisdiction of the various governments?

Seems that unless you're arguing as someone is above that businesses shouldn't require licenses, then the only recourse would be to have internet businesses licensed by the Federal Government. I'm sure that'll go over big with EG3K.

 

[kookbreaker]

The Philadelphia Business Privilege tax was started because a bunch of Republican state electors decided that the wage taxes and sales taxes the city generated were better spent on obscure upper state farmlands and obsolete coal mining districts rather than being returned in any decent way to Philadelphia's infrastructure. These Republicans were elected because they constantly tell their constiuents that they are being robbed of their wealth by the big bad city full of dark skinned people.

As a business owner in Philadelphia I hate the BPT but I know the truth its origins.