Warning to Buy.com users in CA - check your tax rate.

HotShot

Member
Oct 25, 1999
71
0
0
Buy.com is still charging CA residents last years tax rate. As you should know, CA lowered (yes, lowered) it's state tax by .25%. I was just charged the same tax rate as last year on something I just bought today.

Moderator, please do not block this post right away to see if other people respond having the same issue. If so, this is a pretty big deal because this can really add up state wide and this is just pure profit to the businesses out of our pockets.

UPDATE: I sent an email to buy.com telling them of the situation and they credited back my order $5.00 (which is much more than just the tax). Cool.
 

beat mania

Platinum Member
Jan 23, 2000
2,451
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76
A lot of online stores are still charging last year's rate, not just buy.com (as you claim, didn't buy from buy.com this year).
 

jsmonet

Member
Dec 29, 2000
188
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verasoft charged me 8.5%, wtf? LA's new tax rate is 8 flat, right? and riverside is down to 7? something like that.
 

drac747

Senior member
Jul 30, 2000
245
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Nope. It depends on county I believe.

Its was 8.25% in LA, 7.75% in Orange County .. not sure about other areas.
 

Ranger X

Lifer
Mar 18, 2000
11,218
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I thought they lowered Orange County to 7.25%? That's what I was told to believe but I could be wrong.
 

aliu79

Member
Sep 18, 2000
53
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this is kinda of a deal... u save .25%!!!

just bought something from staples.com and they have the corrected sales tax, so no worries there =)
 

yodayoda

Platinum Member
Jan 8, 2001
2,958
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here is how i understood it. the state minimum was 7.25%. riverside and san diego counties had no additional tax. OC charged +0.5% for the bankruptcy bailout. LA charged +1.0% for the LA riot costs. state lowered the minimum tax by 0.25% to 7%. OC's 0.5% tax expired, so now OC, SD, and Riverside all should be at 7% and LA county is 8%.
 

pdragn78

Member
Jan 29, 2000
98
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whats the tax rate in San Fran? is it 8.5% cause thats what i was charged from buy.com

kinda negates the $30 coupon; so that sucks
 

jedimasta

Member
Oct 9, 1999
197
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Yep, by county, thats why at places like disneyland and universal studios, once they reach a certain size they register the property as a county so they can charge their own tax.
 

IITravel

Banned
Nov 7, 2000
151
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Also be aware that they are not allowed to charge you tax on shipping and handling, Buy.com charges tax to Californians for the full sale price (including shipping). That's a NONO.
 

KillaBee

Senior member
Oct 11, 1999
233
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Woohoo! Bay Area has the highest tax rates like everything else. Cost too much to live in this area. $1.85 for regular unleaded, 1 hour commute to travel 20 miles. Of course I could move a little close to work if I could afford to pay $1900 for a 1 bdrm apt or $500k for a decent home that isn't in the ghetto.

Who wants to pay 1 million dollars an acre with no house on it...but there is a guest house there already.
Check it
 

gev115

Member
Dec 7, 2000
103
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yeah, i am in the bay area as well. the rate changed from 8.25% to 8%.... yet when i ordered things from buy.com last year, they always charged me 7.25%. what's the deal with that?
 

RONType1

Golden Member
Feb 21, 2000
1,150
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Duh, cause Buy.com isn't based out of LA... I'm assuming, LA is now at 8% tax and I know San Diego is now down to 7.5%... everything else.. who knows...
 

KillaBee

Senior member
Oct 11, 1999
233
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vinneyracer: When you buy a car you're charged the tax rate of the city the car is registered in, not where you buy it.
 

Lore

Diamond Member
Oct 24, 1999
3,624
1
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I thought you can't charge sales tax on shipping, either, and then I found this:

"buy.com charges sales tax for orders shipped to California, Tennessee, Indiana and Massachusetts. Sales tax is automatically computed on both product(s) and shipping costs. To see the total sales tax charged on your order, click on checkout in the upper right of your screen or underneath your basket listings.
We will gladly credit sales tax for government institutions. Just fax us a copy of your tax-exemption form with an address matching your order's billing or shipping address at: 949-389-2837. Please include a copy of your receipt or your order number. "


Source: http://www.us.buy.com/corp/support/billing/tax.asp?what=salestax

Is that true, that you can charges sales tax on shipping?
 

IITravel

Banned
Nov 7, 2000
151
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Yeh, let's all start a Ca. state wide class action lawsuit against Buy.com (again) for charging tax on shipping, which you are not allowed to do since it's considered labor, who's in to help put another .com under? This is supposed to be sarcastic, but someone should inform the State as to this illegal practice, someone has probably notified Buy on this and they seem to ignore it...
 

Lore

Diamond Member
Oct 24, 1999
3,624
1
76
Well, in reality you are able to charge tax on shipping and handling but buy.com makes no claim whatsoever that they are charging for HANDLING costs. So in that sense it's illegal, but they have to give the extra tax to the state anyway. They can't hang on to it. If what they are doing is truly illegal the real victims are the customers; buy.com makes no gain (hopefully) from this.
 

aLuBa

Member
Apr 7, 2000
28
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0
As I know, Buy.com has warehouse at OrangeCounty. That why Buy.com charged 7.75% as tax for
orders from LA. However, the way Buy.com computes your order is:

(Product Cost + Shipping + Tax) then Subtract Coupon (if you used one).

Didn't save much when applying 30 off 150 coupon.