Thread: Internet sales collecting State taxes :(

Today, I went to purchase a few resistors to attenuate my speaker's midrange/tweeters and discovered that Parts Express was charging me 8.8% WA sales tax (this wasn't charged on a similar purchase from them only 2 weeks ago).

Horrified, I went to Amazon to check up on Castle Forbes 1445 shaving cream pricing, and sure enough, I would have to pay $4 more in addition to the shipping charges. So much for what started out as a great $38 value. Guess I held off on that purchase too long.

Anyone else noticing the recent change in the US? Oh, and thanks to the genius trade war, Parts Express also increased the price of Mills resistors by $0.26, up from $4.25. This may seem insignificant, but today's 10-count bulk rate is what I was charged for the singles upon my last visit. Just great....

Yesterday, I placed an order on Amazon for 3 items. I was charged sales tax only
on two of the items: those that were shipped from here in California. No tax on the
out-of-state item.

California charges sales tax on anything ordered from a seller who has an outlet in
the state. Out of state origins, no tax. But, if an item comes from a seller who has
an outlet in the state, even if the actual shipment comes from out-of-state, then
sales tax applies.

Gotcha.....

Originally Posted by PaulKidd

Yesterday, I placed an order on Amazon for 3 items. I was charged sales tax only
on two of the items: those that were shipped from here in California. No tax on the
out-of-state item.

California charges sales tax on anything ordered from a seller who has an outlet in
the state. Out of state origins, no tax. But, if an item comes from a seller who has
an outlet in the state, even if the actual shipment comes from out-of-state, then
sales tax applies.

Gotcha.....

Right, Paul, this is exactly how WA sales were treated until now. If there was a brick and mortar shop owned by the internet retailer in my state or it was shipped from WA state, I got charged the WA state sales tax.

However, due to a recent Supreme Court decision this past June, all internet retail sites will now collect each state's respective state tax rate for those customer's purchases. The "free ride" is over, fellas. Bummer.

OK. So, I guess that means that state sales tax now applies to everything here, too,
although there does appear to be some anomalies.

However, our local sales tax (which includes assessments for county and regional bond
issues) is another story...I hope. That would nearly double the tax burden.

And then there's the $0.74 per gallon tax on gasoline in California, the $10.67 cellphone
tax, and the $3.30/gal liquor tax. Lord have mercy....

Originally Posted by Speedster

Right, Paul, this is exactly how WA sales were treated until now. If there was a brick and mortar shop owned by the internet retailer in my state or it was shipped from WA state, I got charged the WA state sales tax.

However, due to a recent Supreme Court decision this past June, all internet retail sites will now collect each state's respective state tax rate for those customer's purchases. The "free ride" is over, fellas. Bummer.

Just a quick FYI, just in case any of you were making any exorbitant purchases on line, it was never really a free ride. At least it wasn't supposed to be. As you know, unless the online vendor was in your home state, taxes were not collected in the past, but that didn't mean you didn't have to pay em. In other words, when you did your taxes, you were supposed to claim that. The government assumed you'd do the right thing I guess bhahahahaha.

Of course no one did! Duh! And I'm sure a box or two of Cubans flown in from FLA to your doorstep, isn't going to bring down the wrath of the US government on you. But you never know. If you did a lot of commerce, they might have taken notice. They have 7 years to ask fer der mullah. Just saying.

Amazon has been collecting sales tax for quite some time now. If it's not coming directly from them you may not be charged it.

The only thing they do better than collect money is spending it....

Yesterday, I placed an online order with a California in-state vendor (a SoCal
brick and mortar shop). Here's what the invoice looked like:

Subtotal
$50.00

Shipping
$0.00

CA COUNTY TAX
$0.13

CA SPECIAL TAX
$0.44

CA STATE TAX
$3.00

CA CITY TAX
$0.25

CA SPECIAL TAX
$0.50

Total
$54.32 USD

Originally Posted by PaulKidd

Yesterday, I placed an online order with a California in-state vendor (a SoCal
brick and mortar shop). Here's what the invoice looked like:

Subtotal
$50.00

Shipping
$0.00

CA COUNTY TAX
$0.13

CA SPECIAL TAX
$0.44

CA STATE TAX
$3.00

CA CITY TAX
$0.25

CA SPECIAL TAX
$0.50

Total
$54.32 USD

Damn, no wonder so many Californians are moving up to Oregon with no sales tax.

Compared to the $4.32 in CA tax, here in WA I'd wind up paying $4.40 (8.8%) plus the shipping (except for Amazon or free shipping on purchases totaling $75-100+).