Would you be more likely to buy new gear out of state if there was no sales tax


There is a retailer that advertises in the Absolute Sound that you can buy gear from him without paying sales tax. He is located in Delaware where they don't have sales tax. Being from California that would save me 9.5 percent off the top and that is without even negotiating. I don't know if he charges for shipping or not but it seems like it could be beneficial.

taters

Showing 2 responses by davehrab

You can buy just about anything new from anybody in any state and not pay the taxes directly to the out of state seller

But it is absolutely your responsibility and obligation to report to your state any and all out of your state purchases in a specific calendar year  that you did not pay taxes on to the out of  seller so your home state can send you a bill for the amount of taxes due on those purchases

If you don't you are in defiance of the law

How many ads have you seen that say if you are a resident in the same state as the on line seller is you have to add/pay that states sales taxes to the purchase

Are you a law violator for the sake of your hobby ?????




Al has used the correct word ... it's a Use Tax and is due the state

Here in CT this is the way the law reads 

From the CT State Revenue Dept.

"The Customer’s Responsibility"


"In cases where the online retailer does not have to collect sales tax, it is the customer’s responsibility to pay the tax—in which case it is known not as a sales tax but, rather, a “use tax.” According to guidance from the DRS, “Common purchases that are subject to use tax would be supplies or equipment purchased by Internet or mail order sales since the vendor is rarely required to collect sales tax.”

My general understanding is

If a out of state seller or vendor has no physical presence in the state that the sale is being made to ... the seller/vendor is not require to collect the tax

But if the seller or vender  has any physical presence in that state that the sale is being made to  in the form of a outlet .. store ..warehouse or even a office ... then the seller is required to collect the tax

Again that is from the CT State Revenue Department

Al thanks again for the clarity ...