Solve : Do I still need to pay tax when it is not collected by an onli

1.	Solve : Do I still need to pay tax when it is not collected by an online retailer??
Answer» I am getting an iPod from Amazon and apparently they don't charge any tax. You just pay the price of the item. If I bought on apple's website, I'd have to pay about $17 in tax. It seemed simple enough, but then I found a comment on the apple discussion board. It's in response to someone else who had bought stuff from amazon and was happy about not paying tax on it. "Of course, you still have to pay the tax yourself. Buying from an online retailer that doesn't charge you local sales tax doesn't mean you don't owe it, it just means they didn't collect it and submit it for you. Suggesting you bypass paying your local tax by purchasing online is against the Terms of Use of the Apple Discussions as it's an illegal activity." What's the deal with that? So if I bought from amazon I would still need to eventually pay the $17 myself even though amazon doesn't charge it?You are apparently referring to sales tax in the state of California, USA. Quote Business California to Collect Sales Tax on Web Purchases, Amazon Miffed By Doug Aamoth \| daamoth \| June 30, 2011 \| 9 California will become the latest state to collect sales tax for online purchases made from out-of-state retailers. The law goes into effect tomorrow and COINCIDES with a 1% reduction in the state’s basic sales tax rate as a result of the end-date of a two-year-old temporary tax increase. Read more: http://techland.time.com/2011/06/30/california-to-collect-sales-tax-on-web-purchases-amazon-miffed/#ixzz1mt9fczZQ As you can see, that is an old story from last year. Here is some more of that story... Quote Retailers with stores located in California support the new law, of course, with California Retailers Association president Bill Dombrowski telling the L.A. Times, “You can’t give one segment of retail a 10% discount EVERY day. It’s just not FAIR.” At issue is a Supreme Court ruling from 1992 stating that out-of-state retailers “can’t be forced to collect sales tax unless they have a physical presence in the state,” says the L.A. Times. While Amazon will keep selling products to California residents—and collecting sales tax on those purchases—it’s decided to draw a line in the sand when it comes to its affiliate program. Overstock.com has also pulled its affiliate program from California, as well. IMHO just don't pay until the legality has been verified and is put into effect. My thought is he burden of proof is on the state of California. Quote from: Geek-9pm on February 19, 2012, 08:23:39 PM You are apparently referring to sales tax in the state of California, USA.As you can see, that is an old story from last year. ...IMHO just don't pay until the legality has been verified and is put into effect. My thought is he burden of proof is on the state of California. Well that quote that I gave was posted by some guy on the apple forums in 2007, and it seemed like he was saying in GENERAL for the USA regardless of the state you live in. I live in MN. So since I don't live in California, that whole thing doesn't apply to me? And I won't have to pay the $17 tax on the ipod? You should not have to pay the tax. Some states, like California, look for ways ti crease their revenue with little regard of the hasle it is for the merchants. The general rule, at the present time, is that a transaction inside a sate is subject to the sales tax of that state. A on-line sale over the state line is not subject to tax to EITHER sate. Otherwise, if the states can impose tax on any pretext, you can imagine the awful disintegration of the retail market. In Europe that have a VAR tax. Which is the absoluteness of efficiency. For a up to date story about California... http://www.latimes.com/business/la-fi-calif-taxes-20120219,0,7614714.column (The link above is not about the Internet , but about how California is ready to tax almost anything.)

Solve : Do I still need to pay tax when it is not collected by an online retailer??

Answer»

I am getting an iPod from Amazon and apparently they don't charge any tax. You just pay the price of the item. If I bought on apple's website, I'd have to pay about $17 in tax.

It seemed simple enough, but then I found a comment on the apple discussion board. It's in response to someone else who had bought stuff from amazon and was happy about not paying tax on it.

"Of course, you still have to pay the tax yourself. Buying from an online retailer that doesn't charge you local sales tax doesn't mean you don't owe it, it just means they didn't collect it and submit it for you. Suggesting you bypass paying your local tax by purchasing online is against the Terms of Use of the Apple Discussions as it's an illegal activity."

What's the deal with that? So if I bought from amazon I would still need to eventually pay the $17 myself even though amazon doesn't charge it?You are apparently referring to sales tax in the state of California, USA.
Quote

Business
California to Collect Sales Tax on Web Purchases, Amazon Miffed
By Doug Aamoth | daamoth | June 30, 2011 | 9
California will become the latest state to collect sales tax for online purchases made from out-of-state retailers. The law goes into effect tomorrow and COINCIDES with a 1% reduction in the state’s basic sales tax rate as a result of the end-date of a two-year-old temporary tax increase.

Read more: http://techland.time.com/2011/06/30/california-to-collect-sales-tax-on-web-purchases-amazon-miffed/#ixzz1mt9fczZQ

As you can see, that is an old story from last year. Here is some more of that story... Quote

Retailers with stores located in California support the new law, of course, with California Retailers Association president Bill Dombrowski telling the L.A. Times, “You can’t give one segment of retail a 10% discount EVERY day. It’s just not FAIR.”

At issue is a Supreme Court ruling from 1992 stating that out-of-state retailers “can’t be forced to collect sales tax unless they have a physical presence in the state,” says the L.A. Times.

While Amazon will keep selling products to California residents—and collecting sales tax on those purchases—it’s decided to draw a line in the sand when it comes to its affiliate program. Overstock.com has also pulled its affiliate program from California, as well.

IMHO just don't pay until the legality has been verified and is put into effect. My thought is he burden of proof is on the state of California.
Quote from: Geek-9pm on February 19, 2012, 08:23:39 PM

You are apparently referring to sales tax in the state of California, USA.As you can see, that is an old story from last year. ...IMHO just don't pay until the legality has been verified and is put into effect. My thought is he burden of proof is on the state of California.

Well that quote that I gave was posted by some guy on the apple forums in 2007, and it seemed like he was saying in GENERAL for the USA regardless of the state you live in. I live in MN.

So since I don't live in California, that whole thing doesn't apply to me? And I won't have to pay the $17 tax on the ipod? You should not have to pay the tax. Some states, like California, look for ways ti crease their revenue with little regard of the hasle it is for the merchants.
The general rule, at the present time, is that a transaction inside a sate is subject to the sales tax of that state. A on-line sale over the state line is not subject to tax to EITHER sate.

Otherwise, if the states can impose tax on any pretext, you can imagine the awful disintegration of the retail market.

In Europe that have a VAR tax.
Which is the absoluteness of efficiency.

For a up to date story about California...
http://www.latimes.com/business/la-fi-calif-taxes-20120219,0,7614714.column
(The link above is not about the Internet , but about how California is ready to tax almost anything.)

Solve : Do I still need to pay tax when it is not collected by an online retailer??

Discussion

No Comment Found

Related InterviewSolutions

Reply to Comment