On-line purchases and sales tax - unfair?

Started Apr 26, 2012 | Discussions thread
andreben
Regular MemberPosts: 106
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Re: On-line purchases and sales tax - unfair?
In reply to henryp, Apr 26, 2012

henryp wrote:

Biggs23 wrote:

So then does the company collect sales tax from the state their store is in?

If we ship an order to an address within NY state, we're obliged to collect sales tax. If a customer buys merchandise in our store, we're obliged to collect sales tax unless the customer has us ship toe merchandise to a location outside NY state.

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Henry Posner
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Thanks for the clarification, Henry. This is obviously not meant as a political post, but as a comparison, if while in Europe I would buy online from another country I would either have to pay VAT where I purchase the item (if shipped to another EU country), or avoid haveing the VAT collected but pay import tax (essentially VAT, unless value is greater than a certain limit) at the border / after pick-up (if between non-EU coutries or Eu to non-EU).

I know VAT and sales tax isn't the same, but perhaps many would direct their business locally if sales tax was collected regardless of where they purchase?

Cheers,
Andreas

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