Why no tax on online stores?

Discussion in 'General Discussion' started by TonyzCustomz, Sep 5, 2007.

  1. TonyzCustomz

    TonyzCustomz Am I doin it rite? TFW2005 Supporter

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    Ebay:
    Why is that some do and some don't and what is the reason for no tax. Is it because it being an online purchase? Just wondering.
     
  2. Vagabond Elf

    Vagabond Elf Well-Known Member

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    It'll depend on the laws where the store is located. Most places seem to charge tax if the buyer is in the same jurisdiction as the store, but not otherwise.
     
  3. Cheetatron

    Cheetatron Eh

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    Yeah that seems to pretty much be the jist of it.
     
  4. CompuGlobal HyperMegatron

    CompuGlobal HyperMegatron Nobody summons Megatron

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    When you file your taxes in Connecticut, you're asked how much you spent online and are taxed on that.

    :( 
     
  5. Greenshadow0

    Greenshadow0 Well-Known Member

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    I'm not going to like that.

    :banghead: 
     
  6. TonyzCustomz

    TonyzCustomz Am I doin it rite? TFW2005 Supporter

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    Ebay:
    I guess that kinda makes sense, as long as the places I buy from don't charge it then I am happy. :D  Thanks guys.
     
  7. KidDynamite

    KidDynamite don't know nothing Veteran

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    Generally, if the store operates in your state, they have to charge you sales tax. So for example, Amazon is located in Washington, so Washington residents pay sales tax, but I don't because I live in Indiana. Likewise, Apple is located in California, but they operate retail stores in Indianapolis. So I have to pay sales tax when I buy a Mac on their online store, because they operate in my state.

    Some states (including Indiana) have laws that require you to report on your tax return the amount of transactions you paid for online but did not pay sales tax.
     
  8. MegaPrime33

    MegaPrime33 Follow me @NerdActivist TFW2005 Supporter

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    That's exactly it. If live in that state, you pay the tax. Luckily for me I recently bought a new TV and didn't have to pay tax....or shipping!
     
  9. drippy

    drippy is a freethinker.

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    Except:

    http://www.mass.gov/Ador/docs/dor/Publ/PDFS/sales_use_07.pdf
     
  10. MegaPrime33

    MegaPrime33 Follow me @NerdActivist TFW2005 Supporter

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    This is why I hate Massachusetts.
     
  11. drippy

    drippy is a freethinker.

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    MA is not an atypical state in this regard.
     

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