Internet sales to be taxed in New York

[Wes]

The way I read this article it looks like New Yorkers are going to have to start paying sales tax on all of their Internet purchases. Wonder how long it will take for this garbage to hit us in Texas?

http://wcbstv.com/technology/ny.inte....2.707820.html

[centtex1]

great! after Texas jacks up our fuel tax it will leave the time to do this! i noticed in the article alot of stores complain about people coming in to sniff and lick the merchandise then go buy online i have done it too but all it takes is good customer service and i go ahead and buy then and there for more $'s. i wish the stores would figure out that service sells as much product as price!

[swanny338]

Originally Posted by centtex1

great! after Texas jacks up our fuel tax it will leave the time to do this! i noticed in the article alot of stores complain about people coming in to sniff and lick the merchandise then go buy online i have done it too but all it takes is good customer service and i go ahead and buy then and there for more $'s. i wish the stores would figure out that service sells as much product as price!

Here in Santa Barbara, there is a samy's camera with awesome service. I have bought tons of stuff from them and it has been rewarding as they typically give me great prices now that I have a relationship with them. While it doesn't beat bhphoto... it is very competitive.

[LoungeLizard]

Guys...you've ALWAYS been responsible for paying sales tax in your home state for out of state purchases. It's called the "use tax".

Read about it here.

Q: Do I owe tax on goods purchased via mail-order catalogs or Internet merchandise?

A: Yes. A seller who uses catalogs or the Internet to sell goods is treated the same as any other seller of taxable items. If you purchase merchandise through a catalog or the Internet from a seller located in Texas, you owe Texas sales tax on the purchase. If you purchase merchandise through a catalog or the Internet from a seller located outside of Texas and use the taxable item in Texas, then you owe Texas use tax on the purchase. An out-of-state mail-order company or an Internet company may hold a Texas Sales and Use tax permit and collect Texas tax. If the out-of-state seller does not have a Texas permit or does not collect Texas use tax, the use tax is due and payable by the purchaser.

By the way, I believe most states have similar statutes.

[dbphotos]

Sales tax is only collected if you buy from a seller in your same state. Most states do require this. If you buy from an out of state supplier, you will owe no sales taxes. CA tried to implement this a few years ago and the Congress extended the internet tax exemption.

Use tax is different than sales tax and applies to businesses.

[Gart]

Originally Posted by LoungeLizard

Guys...you've ALWAYS been responsible for paying sales tax in your home state for out of state purchases. It's called the "use tax".

Read about it here.



By the way, I believe most states have similar statutes.

You are supposed to pay tax. An example is if you are a resident of Texas and you go to Oklahoma to buy a new car, you wouldn't pay sales tax on it. You go to register it in Texas, they see it is a new vehicle, you pay the tax on it at time of registration.

I would be surprised if any non-business consumer pays sales tax on out-of-state internet purchases.

$.02