Thank you NYS

[josht]

I guess I won't be ordering from Newegg until I get to my next duty station:

As a result of recent changes in the State of New York Tax Law requiring certain out-of-state retailers to collect and remit sales taxes to the State of New York, we regrettably inform you that Newegg.com must begin collecting applicable state and local sales tax for all orders shipped to New York addresses on or after June 1, 2008.

http://publications.mediapost.com/index.cfm?fuseaction=Articles.showArticleHomePage&art_aid=81879

[derekf]

I don't doubt that every other state will follow suit shortly :/

[Mike Holleman]

North Carolina tried this several years back and were unable to enforce it. Unless all States do it, will be very hard to. NC has a line on the state income tax form so we can "voluntarily claim our out of state purchases" and pay the sales tax. Oh yeah! You can bet that the line is blank on most forms.

[gmjj13]

i guess i don't understand how a state can force sales tax from a business in another state that a sale was made in. i can see if the business is in the same state they sell to, but wouldn't it be up to the seller to "voluntarily" give that info to the state that the purchaser is from if its from another state? i understand the whole e-commece thing, but it gets a little fuzzy to me when states jump their boundaries to collect.

[6'9"Witha69]

In reality, nobody makes that tax. Not the state the retailer is in nor the state the buyer is in. It essentially is a large loophole which has been exploited for a long time and many states are eager to close it. California has the same voluntary line to claim your out of State purchases. Again, I doubt it is used often at all.

[LowBuckX]

Ohio has started sending out tax bills to people who have been buying cigarettes by phone or Internet.

[eville]

In CA on your state income taxes there is a line item to pay sales tax on items purchased out of state on which sales tax was not collected!

I personally never purchase anything online from out of state so I do not have to enter anything on that line.

[josht]

NYS has had line item to pay sales tax on items purchased out of state on which sales tax was not collected for two years?

There is a old Federal ?? rulling applying to mail order catalogs where if the vendor did not have a phyisical presence in the state then no taxes could be collected by the state.

This changed years ago as some catalogs collect state taxes from every state that has taxes. I don't know which ones do and don't.

I don't know the status of the federal tax exemption on internet taxes, I think it might of been renewed again in 2007?

NYS is claiming that these business have a phyisical presence in the state. Amazon has vendors and NYS is claiming that they represent amazon when they are a contract fufillment vendor/warehouse type deal.

I don't know about Newegg, I though there warehouse was in NJ.


I technicaly live in Nassau county which has one of the highest if not the highest taxes when you add up the federal, state and county taxes, .085% last time I was there two years ago.

[Jim Nilsen]

I personally never purchase anything online from out of state so I do not have to enter anything on that line.[/quote]


That's my story and I am sticking to it too:naughty:

[josht]

Dear Valued Newegg Customer,
As a result of recent changes in New York State tax law requiring certain out-of-state retailers to collect and remit sales taxes to the State of New York, we began collecting applicable sales tax for all orders shipped to New York addresses starting June 1, 2008.

After careful review and consideration, we are pleased to inform you that we have stopped collecting New York sales tax, effective August 21, 2008. This decision was driven by your direct and candid feedback and our continued commitment to you as our valued customers.

We appreciate your patience as we worked through this process, and would like to reiterate our commitment in offering our customers the broadest product selection, competitive pricing, fastest shipping, and award-winning customer service.

We look forward to continuing to provide you with the premier online shopping experience for all of your IT and consumer electronics needs.

Sincerely,

Bernard Luthi
Newegg.com
Company Spokesperson and
Vice President of Merchandising


Disclaimer: While Newegg no longer charges sales tax to its New York customers effective August 21, 2008, you may still have an obligation to pay New York State use tax on your purchases. Newegg cannot offer you any tax advice, so please refer to applicable law if you have any questions about use tax. Nothing in this email shall be deemed to approve the validity of any New York State law, including but not limited to section 1101(b)(8)(vi) of the New York State Tax Law, which purports to require Newegg to collect and remit New York State sales tax on its sales to residents of that state.