Home | Links | Contact Us | Bookmark
Financial Forum Search :
   Homepage      News      Financial Topics     Finance Directories      Financial Forum      Dictionary  
Financial Forum    Taxes
Finance Discussion Forum

 Can a state collect taxes if no longer living in that state?
...


 Moving out of the country to protect myself from the IRS?
I love my country and I dont mind paying my taxes. But I do owe a lot of back taxes and I am having a hard time catching up.

I have nightmares about the IRS freezing my bank account. If ...


 Can i file my husband if he drew workers comp all year and i worked part of the year in nc?
...


 How can i get my pan card .?
...


 Got a 1099 after I filed my taxes electronilcally, what should I do?
...


 If i have two dependents and made only 5,865.00 do i have to file?
if i don't file will i get audited if someone else claims me on their taxes?...


 If I rent my primary residence and don't make a profit, it is a wash from a tax standpoint?
I rented it for a few months for less than my mortgage payment. Seems like the tax accounting is profoundly complicated (depreciation, prorating of expenses and taxes, etc.) for not making any money....


 Is gas station is a good business????????????????
...


 How long do you reckon till dick head Gordon Brown sticks a Tax or licence fee on the Internet????
...


 Will i have enough money?
i am 13..... but when i turn 16, i plan on getting a ford mustang.
i could afford this if i got a job at lasertron. they pay 9.25$ an hour. if i work 5 days a week and 4 hours a day, i think i ...


 Can I claim a step-child on my taxes??
My husband and his ex wife have joint custody. She gets to claim one of the kids on her taxes and he gets to claim the other on his. He has back child support to pay on another child from a ...


 What is VAT ?
What is Value Added T...


 If my mom gives me 1.5 mill do I have to pay tax's and if so how much?
...


 Can I claim a tax rebate on travel costs to and from work in the UK?
I wok 50 miles away and drive in to work 3 times a week (a 100 mile round trip) and have done this for the last 18 months. I work for the NHS and can apparently claim for lots of other little things, ...


 Emergency Tax Question?
I am moving to the UK in May to start a job. I will not have a national insurance number when I start. So I know I'll be in the emergency tax code for awhile, and I know that eventually I'...


 What does total gross mean?
...


 Who is Obama's $250,000 tax incentive really benifitting?
Ok so I heard about Barack Obama proposed tax relief bill to those who are making less than $250,000 but I was just wondering who will it really and truly benefit?.I say this because most politicians ...


 Can I claim my condo as a home business?
I am an indepedent contractor and I invoice my "employer" every month to get my paycheck. I get 1099 at the end of the year and what I charge is what I get. Meaning, no tax, SS, ... is ...


 Are they taking your 2008 Rebate check if you owe IRs, Student Loans, or Child support?
...


 LSNT THE STIMULAS INCOME THE BEST THING THEY EVER THOUGH OF?
...



somedude
Do i have to pay tax when i buy something out of state?
had one company charging me sales tax (ToysRUs) and the item is being shipped of OH. another company isn't charging me tax (Rightstuf) and they're shipping from IA. so what's the deal? is one doing something correct and the other not?
                     
 




Fran
Rating
Whenever I buy stuff from amazon.com, I am never charged with sales tax since the place from where it is shipping is out of state. If I buy something from Barnes and Noble online, I do have to pay for sales tax since there are Barnes and Noble stores in my state.

Rightstuf is probably only available in one or more than one state(s) (which is not your state) and ToysRUs is probably located in the state you are in.


Judy1
Rating
If an online company has a store in your state (as ToysRUs probably does) or their facility is in your state, then they have to charge sales tax when selling to residents of that state. Otherwise, they don't.


kohalakoast
Judy's answer has the basics down right.

You pay sales tax on catalog, on-line or phone orders if the SELLER has what is called nexus in the state where the item will be delivered and that state levies a sales tax. If the seller does not have nexus, then they have no legal obligation to charge the tax.

Nexus generally is having a physical presence in a state such as having an office or a warehouse or an agent in the state.

The shipping address is what controls. Your state of residency, your credit cards billing address or the location where you were physically when you placed the order have no impact at all. If you are living in New Hampshire (a no sales tax state) and place an Internet order for delivery to Aunt Bessie in California, California's tax laws apply. If you are in a Texas airport (a state with a sales tax) and order something from a California catalog business to be shipped to your kid in college in Colorado using your credit card with a Ohio mailing address, Colorado tax law applies.

Is the item being shipped to a state with a sales tax and does the seller have nexus with that state? Yes to both issues and sales tax will be charged. No to either issue and tax should not be charged


HandyDan
Just wanted to add a couple points:

1) Even if a business does not have nexus in a state, the business can voluntarily collect sales tax for sales into those states where it does not have nexus.

2) Nexus is defined by state law and the definition can vary by state. Some of those nexus definitions can get pretty complicated.

3) There may be a few exceptions, but every state I am aware of that has a sales tax also has a use tax. Even if an out-of-state seller does not collect sales tax, the purchaser is still liable for paying their state's use tax - at least, legally and theoretically. At present, it is just not viable for states to track down every in-state buyer who makes a $50 purchase on Amazon and demand that they pay the use tax.


paradise
In the State of Maine, we are required to pay a Use Tax (Sales Tax) for purchases made out of state via mail order or internet, IF no sales tax has been collected. (STATE INCOME TAX RETURN) If the other state collected sales tax you may be credited against the Maine Sales Tax Due. This tax is calculated the same way sales tax is.
If you are SELF EMPLOYED you are required to pay the same sales tax on all purchases made and the state does audits very diligently to collect these taxes owed.


datette
Rating
Some states require businesses to charge sales tax regardless of where the item(s) is shipped, unless you're tax exempt and provide the certificate to prove it. As for whether or not you actually owe it, that depends on the state in which you live. Go to your state's Department of Revenue website (or Treasury or Franchise Tax Board, it all depends on the state as to what it's called, and look for their publication(s) on Sales and Use tax. Not knowing the state I can't say for certain, but using Massachusetts as an example, I know I can take a credit on my own tax return for having paid sales tax to another state agency.

This is known as the Exemption from Massachusetts Use Tax for Tax Paid Under Laws of Another State. Your state may have something similar. I've included a link to mass.gov that explains the exemption. If you're not from MA, it may help you when looking through your own state's website.


spicertax
Rating
Sales taxes on internet purchases is still a gray area of tax law. See link below.

http://www.eweek.com/article2/0,1759,1243236,00.asp?kc=EWNKT0209KTX1K0100440


Atrixo
Rating
If you are not a resident of that state; you did go to that state to place an order; and you received your order from out of the state, then I don't think you should pay the tax of that state.

State sales tax does not apply to mail orders from out of the state. That's why we often see the mail order advertisement says "OH residents please add X.X% sales tax."


 Enter Your Message or Comment


User Name:  
User Email:   
Post a comment:







Archive: Forum -Forum -Finance - Links - 1 - 2 - RSS - All RSS Feeds
The Causes and the Results. 0.034
Copyright (c) 2011 Financial Crisis Tuesday, May 29, 2012 - Terms of use - Privacy Policy