[comp.sys.ibm.pc] MAIL ORDER IN IL is DEAD.

wolfordj@cbnewsc.ATT.COM (j.w.wolford) (08/17/89)

Here is some info for you folks in other states:

Our Gov. just signed into law that all mail order places must withhold
the 6 1/4% IL state tax. (Starts Jan 1, 90)

How are all the mail-order companies keep up to date what the current
sales tax is in every state.... (Going to HAVE to use a compter now,
and buy updates (LOTS of updates)).

How is IL going to make sure that they get the sales tax......
They don't know who I mail-order from....

I here a couple of groups are going to take it to the supreme court, but
the supreme court upheld IL right to take out of state long distance
(which they have been taking for quite some time).

ONCE again IL is known for the TAX'em till they die state....

Jeff Wolford
att!iwsag!jww

harvard-+
        |
ucbvax--+---- att --+ iwsag!jww
        |
decvax--+

2212msr@cbnewsl.ATT.COM (max.s.robin) (08/17/89)

In article <2495@cbnewsc.ATT.COM>, wolfordj@cbnewsc.ATT.COM (j.w.wolford) writes:
> Our Gov. just signed into law that all mail order places must withhold
> the 6 1/4% IL state tax. (Starts Jan 1, 90)
> 
> How are all the mail-order companies keep up to date what the current
> sales tax is in every state.... (Going to HAVE to use a compter now,
> and buy updates (LOTS of updates)).
> 
> How is IL going to make sure that they get the sales tax......
> They don't know who I mail-order from....
> 
New Jersey has a similar bill under consideration.  NJ merchants already have to collect NYSales Tax, or risk being assessed 6% of their gross revenue. (NY
I might ad, has well over 25 different rates, depending what town/county you
live in!)

Max Robin
AT&T Bell Laboratories
email:whuts!2212msr
voice:201-386-6865

res@cbnews.ATT.COM (Robert E. Stampfli) (08/18/89)

In article <2495@cbnewsc.ATT.COM> wolfordj@cbnewsc.ATT.COM (j.w.wolford) writes:
>Our Gov. just signed into law that all mail order places must withhold
>the 6 1/4% IL state tax. (Starts Jan 1, 90)

Fine.  Could someone explain to me what powers of enforcement the great
state of Illinois has over a business which has no assets or other dealings
within that state?  What would be the likely recourse if the law were simply
ignored by the outside mail order firm?  It would seem to me that if the state
wants to tax mail orders, then its only recourse would be to put the burden
for payment on its citizens, not the outside vendor.

Rob Stampfli
att!cblpe!res (work)
osu-cis!n8emr!kd8wk!res (home)

brown@astroatc.UUCP (Vidiot) (08/18/89)

In article <2495@cbnewsc.ATT.COM> wolfordj@cbnewsc.ATT.COM (j.w.wolford) writes:
<Here is some info for you folks in other states:
<
<ONCE again IL is known for the TAX'em till they die state....

Don't feel too bad.  Your northern neighbor, WI, wants to do the same thing.
For now, they have a spot on the state tax return for declaring sales tax
on items purchased out-of-state.  You think I'm going to put it down?!
-- 
	        harvard\     att!nicmad\
Vidiot            ucbvax!uwvax..........!astroatc!brown
	        rutgers/  decvax!nicmad/
	ARPA/INTERNET: brown%astroatc.UUCP@spool.cs.wisc.edu

g-tookey@rocky.cs.wisc.edu. (Keith Tookey) (08/18/89)

In article <9056@cbnews.ATT.COM> res@cbnews.ATT.COM (Robert E. Stampfli) writes:
>In article <2495@cbnewsc.ATT.COM> wolfordj@cbnewsc.ATT.COM (j.w.wolford) writes:
>>Our Gov. just signed into law that all mail order places must withhold
>>the 6 1/4% IL state tax. (Starts Jan 1, 90)
>
>Fine.  Could someone explain to me what powers of enforcement the great
>state of Illinois has over a business which has no assets or other dealings
>within that state?

Also, how does the interstate commerce clause of the US Constitution
pertain to the issue?  Is taxation a form of regulation?


Rick
Please send e-mail to: schaut@madnix.UUCP
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             {decvax!att}!

I am posting this through a friend's account.  His consent to my use of his
account in no way implies his consent to responsibility for the opinions
expressed herein.

ralf@b.gp.cs.cmu.edu (Ralf Brown) (08/18/89)

In article <8181@spool.cs.wisc.edu> schaut@madnix.UUCP writes:
}Also, how does the interstate commerce clause of the US Constitution
}pertain to the issue?  Is taxation a form of regulation?

It may not be regulation, but in my opinion it sure is a form of import duty.
As such, it would fall under Article I, Section 10:

"No state shall, without the consent of the Congress, lay any
 imposts or duties on imports or exports, except what may be
 absolutely necessary for executing its inspection laws; and the
 net produce of all duties and imposts, laid by any state on
 imports or exports, shall be for the use of the Treasury of the
 United States; all such laws shall be subject to the revision and
 control of the Congress."
-- 
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crr@cbnewsm.ATT.COM (christopher.r.riley) (08/18/89)

The original artical was rather vague as to just who was going to be taxed.
The way it has been (at least for most people), is that if you buy something
via mail order from out of state, you don't pay that state's sales tax.  By
law you ARE supposed to, and have been supposed to for many years (this
from a law professor teaching contract law).  To me it looks like they are
just going to start enforcing that law.  Thus, if you buy something mail
order from IL, you will have to pay IL state sales tax.
-- 
Chris Riley         chris.riley@attbl.att.com       prodigy: kdfv03a

I will not be pushed, filed, stamped, indexed, briefed,
debriefed, or numbered.  I am not a number!  I am a free man!

joel@peora.ccur.com (Joel Upchurch) (08/18/89)

In article <9056@cbnews.ATT.COM>, res@cbnews.ATT.COM (Robert E. Stampfli) writes:
> In article <2495@cbnewsc.ATT.COM> wolfordj@cbnewsc.ATT.COM (j.w.wolford) writes:
> >Our Gov. just signed into law that all mail order places must withhold
> >the 6 1/4% IL state tax. (Starts Jan 1, 90)
> 
> Fine.  Could someone explain to me what powers of enforcement the great
> state of Illinois has over a business which has no assets or other dealings
> within that state?

I agree with that. What I don't understand is why that don't declare that
the transaction is taking place in the SELLERS state and not the buyers
and have the mail order operation pay the sales tax of whatever state
they are located in. It seems to me that it would be a heck of a lot
easier to enforce and a lot simpler for the mail order vendors as well.

The biggest drawback that I can see is that mail order firms will tend
to locate in states where the sales tax is lowest.

I think follow up should go to misc.consumers, since this issue isn't
specfic to IBM PCs.


-- 
Joel Upchurch/Concurrent Computer Corp/2486 Sand Lake Rd/Orlando, FL 32809
joel@peora.ccur.com {uiucuxc,hoptoad,petsd,ucf-cs}!peora!joel
Telephone: (407) 850-1040   Fax: (407) 857-0713

jimb@athertn.Atherton.COM (Jim Burke) (08/18/89)

In article <9056@cbnews.ATT.COM> res@cbnews.ATT.COM (Robert E. Stampfli) writes:
>In article <2495@cbnewsc.ATT.COM> wolfordj@cbnewsc.ATT.COM (j.w.wolford) writes:
>>Our Gov. just signed into law that all mail order places must withhold
>>the 6 1/4% IL state tax. (Starts Jan 1, 90)

>Fine.  Could someone explain to me what powers of enforcement the great
>state of Illinois has over a business which has no assets or other dealings
>within that state?  What would be the likely recourse if the law were simply
>ignored by the outside mail order firm?  It would seem to me that if the state
>wants to tax mail orders, then its only recourse would be to put the burden
>for payment on its citizens, not the outside vendor.

This is already the law in the state of California.  If you buy 
so much as a pack of chewing gum for someone out of state,
you owe the state some sales tax.  Of course, the state
has absolutely no way of enforcing such a law and they are
mostly concerned about large ticket items being brought in
like automobiles.  Many areas of CA have a 7% sales tax, so
buying a car out of state in a place where they have a low
or no sales tax would be very beneficial.  That is true of
any other big ticket item like a PC, but of course you don't
have to register your PC with the state (yet, anyway) so you
can save up to 7% just by buying mail order from out of state...


-- 
******                Views expressed herin are my own               ******* 
Jim Burke - consultant  408) 734-9822   | I'll stop posting when they pry my 
jimb@Atherton.COM                       | cold, dead fingers from the smoking
{decwrl,sun,hpda,pyramid}!athertn!jimb  | keyboard.

alt@cbnewsd.ATT.COM (art.l.todesco) (08/19/89)

> Here is some info for you folks in other states:

> Our Gov. just signed into law that all mail order places must withhold
> the 6 1/4% IL state tax. (Starts Jan 1, 90)

I just got a "friendly" letter from the IL State Revenue Dept. demanding that I 
pay sales tax on a camcorder that I bought from a NY mail order place in April,
1988.  The letter states that I can pay the tax + penalties if I don't contest 
it.  If I do contest, it is tax + penalties + more + more + more + ......  
Does anyone know my legal rights in IL on this subject?  They do site a state-
ment made on the previous state income tax form concerning the subject.  
Apparently, according to the form, the law is already on the books and even 
though there is no way to collect the tax, they are trying to use this letter
tactic.

Art Todesco
att!ihlpf!alt

bobc@attctc.Dallas.TX.US (Bob Calbridge) (08/19/89)

In article <2495@cbnewsc.ATT.COM>, wolfordj@cbnewsc.ATT.COM (j.w.wolford) writes:
` Here is some info for you folks in other states:
` 
` Our Gov. just signed into law that all mail order places must withhold
` the 6 1/4% IL state tax. (Starts Jan 1, 90)
` 
` How are all the mail-order companies keep up to date what the current
` sales tax is in every state.... (Going to HAVE to use a compter now,
` and buy updates (LOTS of updates)).
` 
` How is IL going to make sure that they get the sales tax......
` They don't know who I mail-order from....
` 
` I here a couple of groups are going to take it to the supreme court, but
` the supreme court upheld IL right to take out of state long distance
` (which they have been taking for quite some time).
` 
` ONCE again IL is known for the TAX'em till they die state....

What I want to know is how IL can legislate what businesses in other states
HAVE to do?  It seems to me that we have a central government for this sort
of thing and they're doing a damn good job of taxing us already.  

I know that recoprisity (sp!) is a one of the foundations of our form of 
government but that would mean that any such levies would be automatic and
would not need legislation if taken from that point of view.
-- 
-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-
=             I know it's petty..........                                     =
-                  But I have to justify my salary!                           -
=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=

johne@hpvcfs1.HP.COM (John Eaton) (08/19/89)

<<<
< For now, they have a spot on the state tax return for declaring sales tax
< on items purchased out-of-state.  You think I'm going to put it down?!
----------
Unless you always pay by a non traceable money order and have it shipped
to a different name and address than you file your taxes under then you
better put it down.
 
Checks and credit cards leave a paper trail that your state IRS can
easily follow. All they need to do is go to any of the big mail order
houses and obtain a list of customers from your state. If you received
anything during a year that you declared nothing on you taxes then it's
time for a closer look at your return.

Recently the police in Seattle announced that they were investagating  a
certain man in connection with the "Green River" serial killings. They
were able to obtain his credit card records that were eight years old
and used that information to show that he was in the area for all of the
killings.  That information exists for everyone if they take the time
to retrieve it. With computers its getting easier and easier.


John Eaton
!hpvcfs1!johne

 

fyl@fylz.UUCP (Phil Hughes) (08/19/89)

I think you have this backwards but speaking of stuff in the wrong
group, let's get this to misc.legal.

-- 
Phil Hughes  -- FYL -- 8315 Lk City Wy NE -- Suite 207 -- Seattle, WA 98115
	
{amc-gw,uunet!pilchuck}!ssc!fylz!fyl

karl@ddsw1.MCS.COM (Karl Denninger) (08/20/89)

>Item 5081 (0 resps) by alt at cbnewsd.ATT.COM on Fri 18 Aug 89 19:16
>[art.l.todesco]    Subject: MAIL ORDER IN IL is DEAD.
>
>I just got a "friendly" letter from the IL State Revenue Dept. demanding that
>I pay sales tax on a camcorder that I bought from a NY mail order place in
>April, 1988.  The letter states that I can pay the tax + penalties if I don't 

>contest it.  If I do contest, it is tax + penalties + more + more + more + 
>Does anyone know my legal rights in IL on this subject?  They do site a state-

>ment made on the previous state income tax form concerning the subject.  
>Apparently, according to the form, the law is already on the books and even 
>though there is no way to collect the tax, they are trying to use this letter
>tactic.

How did they find out about the camcorder sale in the first place?  I'd like
to know how states are discovering this information.......  I can't think of
a reason for a business to voluntarially give out this information to the
states involved, nor can I come up with a way for a state such as Illinois
to force a NY business to divulge the info....

--
Karl Denninger (karl@ddsw1.MCS.COM, <well-connected>!ddsw1!karl)
Public Access Data Line: [+1 312 566-8911], Voice: [+1 312 566-8910]
Macro Computer Solutions, Inc.		"Quality Solutions at a Fair Price"

karl@ddsw1.MCS.COM (Karl Denninger) (08/20/89)

>-----
>Response 8 of 8 (5056) by johne at hpvcfs1.HP.COM on Sat 19 Aug 89 15:18
>[John Eaton]
>
>Unless you always pay by a non traceable money order and have it shipped
>to a different name and address than you file your taxes under then you
>better put it down.
> 
>Checks and credit cards leave a paper trail that your state IRS can
>easily follow. All they need to do is go to any of the big mail order
>houses and obtain a list of customers from your state. If you received
>anything during a year that you declared nothing on you taxes then it's
>time for a closer look at your return.

Ok, again, how can a state (such as IL) compel a company to release that
information, when there is NO PROBABLE CAUSE that a crime (tax fraud) has
been committed?

Listen to what you are saying here.  "The state IRS goes to a mail order
house and obtains a list of customers from it's state".  Just HOW does the
state IRS do this?  Where do they get the authority to just "grab" that
information, in effect "sifting" for violators of the tax laws?

It smells a lot like the abuses of power that we have all "poo pooed" for so
long.  Here it comes, friends.  When the American people allowed the
Constitution to be trampled in the name of the War on Drugs, they allowed
this kind of thing to go on unchecked.  We will _all_ pay for this one
folks.

So much for the Constitutional protections (like needing probable cause to
obtain that kind of info (ie: get a warrant)).

Or is everyone now presumed guilty until proven innocent?

--
Karl Denninger (karl@ddsw1.MCS.COM, <well-connected>!ddsw1!karl)
Public Access Data Line: [+1 312 566-8911], Voice: [+1 312 566-8910]
Macro Computer Solutions, Inc.		"Quality Solutions at a Fair Price"

dave@westmark.UUCP (Dave Levenson) (08/20/89)

In article <[24edeb3b:5056.9]comp.ibmpc;1@ddsw1.MCS.COM>, karl@ddsw1.MCS.COM (Karl Denninger) writes:


> Or is everyone now presumed guilty until proven innocent?


In matters regarding taxation, 'guilty until proven innocent' has
been the norm in both federal and state tax courts for many years.

-- 
Dave Levenson                Voice: (201) 647 0900
Westmark, Inc.               Internet: dave@westmark.uu.net
Warren, NJ, USA              UUCP: {uunet | rutgers | att}!westmark!dave
[The Man in the Mooney]      AT&T Mail: !westmark!dave

nts0302@dsacg3.UUCP (Bob Fisher) (08/21/89)

I don't know about Illinois *requiring* mail order firms from other states
to report sales to Illinois residents, but...

It has been a long time since I studied the Uniform Commercial Code in
college, but when I did, the point of sale was considered to be with the
caller, not the business.  That puts the point of sale in Illinois (or
wherever).  Illinois has the *right* to tax the sale.  The resident has
the *responsibility* to report the sale and pay the tax.  This is where
people have been getting away with it.  They don't report it.  If Illinois
finds out about it, you'd better believe that they can assess the tax and
penalties.

Illinois can't *force* out of state companies to collect and remit the
tax unless they have an office within the state.  But they can and
probably do *buy* the sales records for Illinois from the major mail
order firms or maybe even the major credit card companies.  It might
seem expensive, but think of the extra tax revenue it provides.

As for all the different tax rates someone mentioned in New York, it
would depend on the wording of the law if the tax collected must include
city and county taxes.
-- 
Bob Fisher (osu-cis!dsacg1!bfisher) 614-238-9071 (Autovon 850-9071)
From the Internet: bfisher%dsacg1.uucp@daitc.arpa
US Defense Logistics Agency Systems Automation Center
DSAC-TSX, Box 1605, Columbus, OH 43216-5002

greg@dekalb.UUCP (Greg Philmon) (08/22/89)

In article <670016@hpvcfs1.HP.COM> johne@hpvcfs1.HP.COM (John Eaton) writes:
>Checks and credit cards leave a paper trail that your state IRS can
>easily follow. All they need to do is go to any of the big mail order
>houses and obtain a list of customers from your state. [rest deleted]

	And what in the world is compelling the "big mail order house"
	to give out the names of their customers?  Sure, you can probably
	BUY their mailing list, but that won't tell you what (if anything)
	that person bought.

	If some mail order place I do business with cheerfully handed over
	my purchase records to anyone, I would cease to be a customer.

-- 
    ---------------------------------------------------------
    | Greg Philmon  ...gatech!dekalb!greg   CIS: 72261,1724 | 
    ---------------------------------------------------------

ray@philmtl.philips.ca (Raymond Dunn) (08/24/89)

>In article <670016@hpvcfs1.HP.COM> johne@hpvcfs1.HP.COM (John Eaton) writes:
>Checks and credit cards leave a paper trail that your state IRS can
>easily follow. All they need to do is go to any of the big mail order
>houses and obtain a list of customers from your state. [rest deleted]

I think that it is much more likely that NY and IL have a joint arrangement
whereby they notify each other of these sales.  Remember that the mail order
company in NY must report his sales to the NY taxation authorities.

I know that similar arrangements exist between the Canadian provinces.
-- 
Ray Dunn.                    | UUCP: ..!uunet!philmtl!ray
Philips Electronics Ltd.     | TEL : (514) 744-8200  Ext: 2347
600 Dr Frederik Philips Blvd | FAX : (514) 744-6455
St Laurent. Quebec.  H4M 2S9 | TLX : 05-824090

baumann@muon.uucp (Michael Baumann) (08/26/89)

In article <2982@cbnewsm.ATT.COM> crr@cbnewsm.ATT.COM (christopher.r.riley) writes:
>The original artical was rather vague as to just who was going to be taxed.
>The way it has been (at least for most people), is that if you buy something
>via mail order from out of state, you don't pay that state's sales tax.  By
>law you ARE supposed to, and have been supposed to for many years (this
>from a law professor teaching contract law).  To me it looks like they are
>just going to start enforcing that law.  Thus, if you buy something mail
>order from IL, you will have to pay IL state sales tax.
Oh this is just wonderful....
This means that legally I can get 
1)taxed TWICE for the same purchase. CA attempts to collect
  "use" tax on items purchased out-of-state.

2)Get taxed without representation. As a CA resident you better believe
  I cannot vote in an IL election. Wasn't this what caused us to
  cede from G.B. somewhere around 1776? (1/2 :-) )
 
Methinks the IL legislation better take a closer look a that law.

-----------------------------------------------------------------------------
Radiation Research Lab		|Internet: baumann%proton.UUCP@ucrmath.UCR.EDU
Loma Linda Universtiy Medical Center |        UUCP: ...ucrmath!proton!baumann
Loma Linda, California. (714)824-4077|

toma@tekgvs.LABS.TEK.COM (Tom Almy) (08/28/89)

What does this have to do with IBM PC's?  Ah, well.

In article <466@proton.UUCP> baumann@muon.UUCP (Michael Baumann) writes:
>In article <2982@cbnewsm.ATT.COM> crr@cbnewsm.ATT.COM (christopher.r.riley) writes:
>>The original artical was rather vague as to just who was going to be taxed.
>>The way it has been (at least for most people), is that if you buy something
>>via mail order from out of state, you don't pay that state's sales tax.  By
>>law you ARE supposed to, and have been supposed to for many years (this
>>from a law professor teaching contract law). 
>Oh this is just wonderful....
>This means that legally I can get 
>1)taxed TWICE for the same purchase.
>2)Get taxed without representation. 

Well I found an even stranger case.  Harry and David, a gift fruit mail order
company located here in Oregon (no sales tax) charges sales tax based on the
state(s) the gifts are delivered to, and then only a certain number.

This means that if you live in California, and order gift pears for friends
in Washington, Illinois, New York, and a box for yourself, you pay four
different sales taxes!  

On the other hand, if you decide to give your friends shirts from Norm
Thompson, another Oregon mail order company, you pay no tax (to them at least)
at all.

Living in Oregon, I would think twice about buying merchandise from Harry
and David to send to friends out of state!  (As an unusual twist, Oregon
residents can buy merchandise in Washington and not pay Washington sales tax
as long as the merchandise is intended for Oregon use -- appliances, not 
MacDonalds' food!).

Tom Almy
toma@tekgvs.labs.tek.com
Standard Disclaimers Apply
(We do get socked with a high income and property taxes, so don't feel
 too bad out there).

gary@dvnspc1.Dev.Unisys.COM (Gary Barrett) (08/28/89)

> Thus, if you buy something mail
> order from IL, you will have to pay IL state sales tax.
> -- 
> Chris Riley         chris.riley@attbl.att.com       prodigy: kdfv03a


I have purchased a lot of goods through mail-order, computer-related
and otherwise.  My experience has been that I either am asked to pay
NO tax as an out-of-stater, or I must pay the tax of MY state.  I've
never seen it where I have to pay the tax of the state where the
mail-order firm is headquartered (unless, of course, that firm is
centered in my own state).

What really baffles me are the companies which ask for the tax ONLY if
I am from some particular state, maybe three or four out of the
possible 50.  And the list seems to differ with each mail-order
company.  Beats me how they determine who owes what.

mbb@cbnewsh.ATT.COM (martin.b.brilliant) (08/31/89)

From article <781@dvnspc1.Dev.Unisys.COM>, by gary@dvnspc1.Dev.Unisys.COM (Gary Barrett):
> What really baffles me are the companies which ask for the tax ONLY if
> I am from some particular state, maybe three or four out of the
> possible 50.  And the list seems to differ with each mail-order
> company.  Beats me how they determine who owes what.

Until recently, law (I don't know whether it's federal law or uniform
state codes) required a mail-order company to collect sales tax on
orders shipped to states in which the company had business locations.

So if you order from a company with business locations in Michigan and
Ohio, you pay them Michigan tax if you live in Michigan, and Ohio tax
if you live in Ohio, and if you live anywhere else your state may try
to collect use tax from you.

M. B. Brilliant					Marty
AT&T-BL HO 3D-520	(201) 949-1858
Holmdel, NJ 07733	att!hounx!marty1 or marty1@hounx.ATT.COM

Disclaimer: Opinions stated herein are mine unless and until my employer
	    explicitly claims them; then I lose all rights to them.

malloy@nprdc.arpa (Sean Malloy) (08/31/89)

In article <781@dvnspc1.Dev.Unisys.COM> gary@dvnspc1.Dev.Unisys.COM (Gary Barrett) writes:
>What really baffles me are the companies which ask for the tax ONLY if
>I am from some particular state, maybe three or four out of the
>possible 50.  And the list seems to differ with each mail-order
>company.  Beats me how they determine who owes what.

Generally, if a company operates a branch in a state, they get stuck
paying sales tax to that state for residents of that state. So, for
example, if you live in California, and order from a mail-order house that
has a branch warehouse in California, you pay California sales tax.


 Sean Malloy					| "The proton absorbs a photon
 Navy Personnel Research & Development Center	| and emits two morons, a
 San Diego, CA 92152-6800			| lepton, a boson, and a
 malloy@nprdc.navy.mil				| boson's mate. Why did I ever
						| take high-energy physics?"

mlawless@ncrwic.Wichita.NCR.COM (Mike Lawless) (09/02/89)

In article <781@dvnspc1.Dev.Unisys.COM> gary@dvnspc1.Dev.Unisys.COM (Gary Barr
>
>What really baffles me are the companies which ask for the tax ONLY if
>I am from some particular state, maybe three or four out of the
>possible 50.  And the list seems to differ with each mail-order
>company.  Beats me how they determine who owes what.

As I understand it, mail order businesses must collect sales tax for orders
from states in which they have a retail operation.  For example, if XYZ
company has locations in CA, TX, IL, and NY, it would have to collect sales
tax from customers in those states only.  Theoretically, if I buy something
mail order and don't pay sales tax, I am supposed to volunteer payment to
the Kansas Department of Revenue.  Does anyone know anybody who actually
does that?  One type of purchase where they typically get you no matter what
is when you buy a car from an individual; if you cannot show an invoice
showing sales tax paid, or prove it was a gift from someone, you have to
pay sales tax when you register it for the first time.

From what I understand, there have been efforts to require mail order 
companies nationwide to uniformly collect the appropriate state and local
sales tax for every sale, based on where the buyer lives.  This would be a
nightmare even if they had only the tax rates of the 50 states to worry about,
keeping track of how much tax was collected for each, filing the quarterly
returns, etc.  Add in the various city and county taxes, and it becomes even
worse.  Its enough to make me glad I'm not in the mail-order business.

-- 
Mike Lawless, NCR E&M Wichita, Box 20     (316) 636-8666   (NCR: 654-8666)
3718 N. Rock Road, Wichita, KS  67226     Mike.Lawless@Wichita.NCR.COM
{ece-csc,hubcap,gould,rtech}!ncrcae!ncrwic!Mike.Lawless
{sdcsvax,cbatt,dcdwest,nosc.ARPA}!ncr-sd!ncrwic!Mike.Lawless

davidsen@sungod.crd.ge.com (ody) (09/06/89)

In article <665@philmtl.philips.ca> ray@philmtl.philips.ca (Raymond Dunn) writes:

| I think that it is much more likely that NY and IL have a joint arrangement
| whereby they notify each other of these sales.  Remember that the mail order
| company in NY must report his sales to the NY taxation authorities.

  The Sales Tax form in NY has no details on non-taxable sales. It asks
for total sales, total taxable sales, and tax by unit (area).
	bill davidsen		(davidsen@crdos1.crd.GE.COM)
  {uunet | philabs}!crdgw1!crdos1!davidsen
"Stupidity, like virtue, is its own reward" -me

akcs.amparsonjr@vpnet.UUCP (Anthony M. Parson, Jr.) (09/15/89)

A few responses ago, referring to the Constitution, a note was left that Con-
gress has to approve interstate things, like taxes.  Is it so far fetched
that Congress, with a quick wave of its mighty pen, WON'T approve such 
a nationwide mail order tax.  They are always looking for more tax money. The
big retailers, such as Sears, Wards, Venture, etc would probably be FOR
a tax on mail order items, and they would have well funded lobbyists that
would do nothing to help small mail order companies get away from paying
taxes that the retailers, who sell locally, already pay.  I fear its only
a matter of time when, not only will you have to pay tax on mail order items,
_but_ you won't be able to hide or escape from paying those taxes.
                                             Tony
                                     (working on a longer `handle')

johnl@esegue.segue.boston.ma.us (John R. Levine) (09/18/89)

In article <[2510da87:1282.14]comp.sys.ibm.pc;1@vpnet.UUCP> akcs.amparsonjr@vpnet.UUCP (Anthony M. Parson, Jr.) writes:
>A few responses ago, referring to the Constitution, a note was left that Con-
>gress has to approve interstate things, like taxes.  Is it so far fetched
>that Congress, with a quick wave of its mighty pen, WON'T approve such 
>a nationwide mail order tax.  ...

My copy of the Constitution says this:

Art I, Sec 9, Para 5.
	No tax or duty shall be laid on articles exported from any state.

Art I, Sec 10, Para 2.
	No state shall, without the consent of the Congress, lay any imposts
	or duties on imports or exports, except what may be absolutely
	necessary for executing its inspection laws; and the net produce of
	all duties and imposts, laid by any state on imports or exports, shall
	be for the use of the treasury of the United States; and all such laws
	shall be subject to the revision and control of the Congress.

That is, Illinois can't tax anything exported from the state, and all duties
go to the Federal government anyway.  It's rare to see a law that is so
patently unconstitutional.  I can hardly wait to see what the courts say
about it.
-- 
John R. Levine, Segue Software, POB 349, Cambridge MA 02238, +1 617 492 3869
johnl@esegue.segue.boston.ma.us, {ima|lotus}!esegue!johnl, Levine@YALE.edu
Massachusetts has 64 licensed drivers who are over 100 years old.  -The Globe