PA tax question

[galt11]

Does anyone know if PA requires you to charge tax for purchases made over the internet if they are shipped out of state? I know NY just passed a law starting such a practice, where previously if you had the item shipped out of state it was not taxed. Thanks.

Adam

[EZ Bagger]

PA Sales Tax...Out of State Sales

Their own website says no. Not taxable. That doesn't mean that the sales aren't included in gross sales on the PA sales tax return, just that they will be backed out. This is the same as most states.

[galt11]

Thanks, I actually looked and searched on that site but couldn't get the right search string I guess. I a thinking of opening a webstore, but as I am close enough to the NY and PA borders, I can base it in either state. I know the retail store I worked at in NY that was the case, no sales tax if the products were shipped out of state, but no because of the new law, that is no longer the case.

Adam

[EZ Bagger]

Thanks, I actually looked and searched on that site but couldn't get the right search string I guess. I a thinking of opening a webstore, but as I am close enough to the NY and PA borders, I can base it in either state. I know the retail store I worked at in NY that was the case, no sales tax if the products were shipped out of state, but no because of the new law, that is no longer the case.

Adam

The search function on that site is atrocious!

If you have other questions, let us know....

[Rob Boudrie]

I know NY just passed a law starting such a practice

Do you have details on this law? If such a law was passed and is enforceable, it would be a reversal of long standing federal policy, and a change in the interpretation of the commerce clause of the constitution.

I think you may be thinking of the recent law that expands the scope of on-line vendors that are requires to collect NY sales tax when shipping to a NY resident.

NY has recently taken the position that a "associate program" (like the Amazon one in which USPSA participates) constitutes a nexus of operation if any associates reside in NY, thus requiring Amazon to collect tax on sales to NY residents - hence the state's use of term "the Amazon tax". Overstock.com recently dropped all NY based associates to avoid this situation, and Amazon is currently litigating the issue.

[galt11]

I know NY just passed a law starting such a practice

Do you have details on this law? If such a law was passed and is enforceable, it would be a reversal of long standing federal policy, and a change in the interpretation of the commerce clause of the constitution.

I think you may be thinking of the recent law that expands the scope of on-line vendors that are requires to collect NY sales tax when shipping to a NY resident.

NY has recently taken the position that a "associate program" (like the Amazon one in which USPSA participates) constitutes a nexus of operation if any associates reside in NY, thus requiring Amazon to collect tax on sales to NY residents - hence the state's use of term "the Amazon tax". Overstock.com recently dropped all NY based associates to avoid this situation, and Amazon is currently litigating the issue.

Rob,

Thanks for the clarification. It sounds like that is the law I was told about and I may have mis-understood what was being explained. I am leaning toward PA regardless, as I hate giving my money to a state that works so hard to demonize law abiding gun owners.

Edited May 27, 2008 by galt11