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Use Taxes

T

TiredEngineer

Member
I find the fact that use taxes are legal an absolute abomination. You are legally required to calculate the difference between taxes on out of state items and, if your state's taxes are higher, pay the difference. That means with every souvenir you purchase you are legally bound to calculate this difference.

I live in Georgia, and Amazon started charging sales tax some time around September when a new law was enforced. Therefore, I am required to add up around 75 Amazon purchases from January to August. I also had many Google Play digital purchases I need to add up, and I will need to crawl through my email to find any miscellaneous purchases I may have done using PayPal.

Does anyone else find this burden absolutely absurd?

I have been making online purchases for roughly a decade. I have only relatively recently even LEARNED about use taxes. I do plan on doing the right thing and adding up my purchases from this year (sigh...not that a full time engineering job, grad school, and a 15 month are enough to keep up with).

Am I legally obligated to add up all use taxes from PREVIOUS years (i.e. when I was in ignorance of these laws) that I have never paid? This actually would be truly impossible to do. I have been completing 100+ online purchases a year for probably around 5 years now.
 
TiredEngineer said:
I find the fact that use taxes are legal an absolute abomination. You are legally required to calculate the difference between taxes on out of state items and, if your state's taxes are higher, pay the difference. That means with every souvenir you purchase you are legally bound to calculate this difference.

I live in Georgia, and Amazon started charging sales tax some time around September when a new law was enforced. Therefore, I am required to add up around 75 Amazon purchases from January to August. I also had many Google Play digital purchases I need to add up, and I will need to crawl through my email to find any miscellaneous purchases I may have done using PayPal.

Does anyone else find this burden absolutely absurd?

I have been making online purchases for roughly a decade. I have only relatively recently even LEARNED about use taxes. I do plan on doing the right thing and adding up my purchases from this year (sigh...not that a full time engineering job, grad school, and a 15 month are enough to keep up with).

Am I legally obligated to add up all use taxes from PREVIOUS years (i.e. when I was in ignorance of these laws) that I have never paid? This actually would be truly impossible to do. I have been completing 100+ online purchases a year for probably around 5 years now.
Click to expand...
Use tax has been around for years. Nobody does it.
 
All states should adopt Massachusetts deal, when you file there is a standard internet purchase amount you can claim/use. I've done the math twice and the formula that's used is pretty accurate
 
I think more people would do it if it wasn't so inconvenient. Like, if you order stuff all the time you will inevitably lose track of some of it. I don't mind paying sales tax on items but the retailers need to do it on their end IMO.
 
TiredEngineer said:
I find the fact that use taxes are legal an absolute abomination. You are legally required to calculate the difference between taxes on out of state items and, if your state's taxes are higher, pay the difference. That means with every souvenir you purchase you are legally bound to calculate this difference.

I live in Georgia, and Amazon started charging sales tax some time around September when a new law was enforced. Therefore, I am required to add up around 75 Amazon purchases from January to August. I also had many Google Play digital purchases I need to add up, and I will need to crawl through my email to find any miscellaneous purchases I may have done using PayPal.

Does anyone else find this burden absolutely absurd?

I have been making online purchases for roughly a decade. I have only relatively recently even LEARNED about use taxes. I do plan on doing the right thing and adding up my purchases from this year (sigh...not that a full time engineering job, grad school, and a 15 month are enough to keep up with).

Am I legally obligated to add up all use taxes from PREVIOUS years (i.e. when I was in ignorance of these laws) that I have never paid? This actually would be truly impossible to do. I have been completing 100+ online purchases a year for probably around 5 years now.
Click to expand...

Every state where I've lived, you just paid the applicable sales tax rate for your on-line purchases. Very simple form to fill out...add it to your state tax return.
Now, I'm in a state that doesn't have state income tax...but there's still a relatively simple form to fill out. However, Amazon and Newegg both charge state sales tax for sales here...so I don't have to mess with it.

OP, YES, you ARE legally obligated to file and pay use taxes for past years purchases. How far back depends on your state law. Will you do it? I doubt it...very few people ever do. Be aware...Ignorance of the law is NOT an excuse...and if you get caught...you will have to pay the past taxes along with any interest and penalties. (good luck with that...I'm not sure how the fuck they could even know what companies to try to pry the information from)
 
99% of my purchases online are from Amazon or Newegg, so I go there, get the year's totals, and put that into the tax form. Ends up usually reducing my state refund by around a hundred bucks or so. Whatever.
 
lol, like anyone would ever actually do it?

i just blow past it every time i run into that section. no way am i going to tax myself.
 
I do not, nor did I ever, make any taxable online or out of state purchases that I am aware of.
 
brianmanahan said:
lol, like anyone would ever actually do it?

i just blow past it every time i run into that section. no way am i going to tax myself.
Click to expand...

I'm surprised people would readily admit, in writing, to avoiding paying what they legally owe.

And you're better off putting a number down instead of leaving it blank. In NY, (as far as I understand), the statute of limitations clock doesn't kick in if it left blank, so they could go back a very long time on the people that leave it blank.

TiredEngineer said:
Does anyone else find this burden absolutely absurd?
Click to expand...

You can always keep track of your purchases by just keeping a spreadsheet during the year.
 
I don't get why companies like Newegg or Amazon cannot just collect the use tax. I always see people bitching about sales tax being too difficult given the varying amounts, but those amounts vary based upon the county and the municipality, which are not included in the use tax. For example, Alabama has a 4% use tax (my county is 4% and municipality is 0%). Just collect 4% from me! :|
 
ITT: Open discussion of state tax evasion, on a forum that is already being monitored for BTC windfall information.
 
TiredEngineer said:
I find the fact that use taxes are legal an absolute abomination. You are legally required to calculate the difference between taxes on out of state items and, if your state's taxes are higher, pay the difference. That means with every souvenir you purchase you are legally bound to calculate this difference.

I live in Georgia, and Amazon started charging sales tax some time around September when a new law was enforced. Therefore, I am required to add up around 75 Amazon purchases from January to August. I also had many Google Play digital purchases I need to add up, and I will need to crawl through my email to find any miscellaneous purchases I may have done using PayPal.

Does anyone else find this burden absolutely absurd?

I have been making online purchases for roughly a decade. I have only relatively recently even LEARNED about use taxes. I do plan on doing the right thing and adding up my purchases from this year (sigh...not that a full time engineering job, grad school, and a 15 month are enough to keep up with).

Am I legally obligated to add up all use taxes from PREVIOUS years (i.e. when I was in ignorance of these laws) that I have never paid? This actually would be truly impossible to do. I have been completing 100+ online purchases a year for probably around 5 years now.
Click to expand...

pete6032 said:
Use tax has been around for years. Nobody does it.
Click to expand...

brianmanahan said:
lol, like anyone would ever actually do it?

i just blow past it every time i run into that section. no way am i going to tax myself.
Click to expand...

what? people actually do this?
if u are an avg American who buys a few $ worth of stuff from the internet (and the company doesn't charge you sales tax, which is rarer these days) then just put down $0.

You owe a few $ at most. not worth your time to keep track. nor is it worth the State's time and effort to come after you.

Put down $0 and be done with it
 
OCGuy said:
Yes....the .gov can crack the Swiss banks, but getting Amazon to turn over receipts? Not likely.
Click to expand...

And, the gov't can get all the telephone companies, etc., to simply turn over all the phone records. Yup, they'll never figure out a legal means to subpoena those records from Amazon, etc. Sales tax, interest, and penalties for not paying the tax could be an economic windfall for some states. For states looking at marijuana taxes as a source of extra income, they're overlooking something that could result in many times that amount. (afaik, I've never not paid tax on something that I was obligated to pay tax on. My online purchases are taxed by the companies I do business with.)
 
Strange. You find these taxes an "abomination", yet you plan on "doing the right thing" and paying them.

Grow some balls.
 
Same as the other poster. Most purchases are from Amazon. Just look up the year's purchases, and put that on the form.

I may have purchased an item or two from someone else, but not much. I figure telling them about my Amazon purchases is good enough. It's about 95% of my online business.

Why do I do it? Because my state will eventually win the legal battle and get the info from Amazon and then demand payment.
 
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