Re:Connecticut Hunting Down Online Shoppers Who Didn't Pay S...
by FussyZeus on Tuesday February 27, 2018 @10:40AM
(#16474295)
Huh, weird. Glad I don't live there. Thanks for the clarification.
Re:Connecticut Hunting Down Online Shoppers Who Didn't Pay S...
by BoorishBears on Tuesday February 27, 2018 @10:50AM
(#16474440)
> When the states first enacted their sales taxes, the tax was imposed only on in-state sales. There was no use tax. As businesses began to offer delivery services and customers realized they could avoid sales taxes by ordering products from businesses in a different state, the complimentary use tax was enacted. Currently, every state that imposes a general sales tax also imposes a use tax.
http://www.ct.gov/drs/cwp/view.asp?A=1510&Q=270228
It’s technically not sales tax, but “use tax” in this case.
For years tons of online retailers didn’t charge sales tax with purchases, all of those purchases were subject to use tax. Even Amazon (or was it eBay?) wasn’t charging tax in CT a few years back iirc.
There are lots of various reasonings in why they don’t collect depending on how charitable you are to the retailers, ranging from “We get to advertise cheaper prices” to “We didn’t want to manage taxes in 50 states”