Tax Evasion on Internet Purchases?

[RJP]

...and warrants serious discussion, but not necessarily on this forum.

Right, let's get back to split fins vs blades!

 

[miketrance84]

I think its about time the government was afraid of the people not the other way around. Pretty soon there is going to be a bathroom tax where everytime you go you have to report it and pay a fee. Speaking specifically about the US, Many people forget the reason we succeded from England in the first place was Over taxation. They make the Tax code so complicated that unless you spend hours a day reading it you'll prob miss a tax you wernt aware of.

 

[drbill]

Actually I do pay my use tax thanks to a line item on my state income tax forms. I must admit with a proposed increase of state and local sales tax to over 10% here in Los Angeles County, the temptation to not pay them increases exponentially.

 

[vladimir]

I think its about time the government was afraid of the people not the other way around. Pretty soon there is going to be a bathroom tax where everytime you go you have to report it and pay a fee. Speaking specifically about the US, Many people forget the reason we succeded from England in the first place was Over taxation. They make the Tax code so complicated that unless you spend hours a day reading it you'll prob miss a tax you wernt aware of.

Taxation may be behind our success, but it was only half the reason for our secession, if fifth grade history lessons are to be believed. "No taxation without representation," was the reason that Mrs. Pernikoff gave us.

 

[divemedic1316]

Get A job.

 

[ronbeau]

I think its about time the government was afraid of the people not the other way around. Pretty soon there is going to be a bathroom tax where every time you go you have to report it and pay a fee. Speaking specifically about the US, Many people forget the reason we succeeded from England in the first place was Over taxation. They make the Tax code so complicated that unless you spend hours a day reading it you'll prob miss a tax you were not aware of.

The tax code is so complicated the IRS doesn't fully understand it. Several years back the government compiled statistics regarding errors made on federal tax returns. They found the highest rate of errors were from returns prepared for taxpayers by the IRS.

Sometime after that the IRS stated the they would now only do tax returns the mentally infirmed and members of Congress. The joke became that "mentally infirmed" and members of Congress were synonymous.

The joke is even more interesting when you consider who comes up with the tax laws in the first place.

 

[RJP]

Taxation may be behind our success, but it was only half the reason for our secession, if fifth grade history lessons are to be believed. "No taxation without representation," was the reason that Mrs. Pernikoff gave us.

Hey, never let the facts get in the way of a good story!

 

[Scubagolf]

Deleted...

 

[ketchumid]

Heck, I even won against the government and had them pay for damages to my car that occurred on a poorly kept highway. That was a victory of epic proportion in my books.

Impressive... my best friend, post college (20 yrs ago), wrote Chevron a letter and got money for a new fuel pump, he said he only bought Chevron gas and it should have helped, not hurt his gas line... he got some $$$ - now I have 2 David and Goliath stories.

 

[ketchumid]

Broken off from a tangent on a recent thread...

Beyond the potential for lower prices available when purchasing items on-line, most folks also factor "no sales tax" into their overall savings from online purchases. These savings are, however, illusory. If you live in a state which charges a sales tax you still owe that tax, regardless of where you purchased the item. This is for the most part also true for any other county, municipal, or jurisdictional sales tax that might be owed where you live.

A Use Tax is a substitute for sales tax. All states which have a sales tax also impose a use tax. The use tax rate is the same as the sales tax rate, and is based on the purchase price of the item

Use tax applies when sales tax has not been charged. For instance, if you live in California and purchased goods from a supplier located in NY, whether by mail order or by taking delivery in NY, use tax is due and payable in California if the goods are brought to California. Purchases made over the internet and out-of-state are the most common type of transactions subject to a use tax. A state resident does not escape sales tax by purchasing out-of-state or over the internet.

Under state laws in the 45 states that do impose a use tax, any person who evades the reporting, assessment or payment of sales taxes or use taxes that would otherwise be due may be guilty of tax evasion. Violators are subject to fines, penalties, interest and/or prosecution. Note that "I didn't know there was such a thing as a use tax..." is not an adequate defense for evading payment.

So, have you paid YOUR use tax lately?

How about used gear sold by an individual? I had always thought if used gear was bought from an individual, whether in state or out of state- no tax was required. I'm guessing here - does anyone know the used gear rule?