Amazon (and other e-tailers) charging Sales Tax in NY!!!

serum79

serum79

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I just placed an order on Amazon and saw this lovely message:

 "Due to a new law recently passed by the State of New York we are required to collect NY sales taxes on taxable items sold by Amazon.com on or after June 1st, 2008. If your order is placed prior to June 1st, your Order Total may not include an estimate of NY sales taxes, but those taxes may still be charged if your order is readied for shipment on or after that date."

Well this just sucks!!!


 
Are you kidding me?! Dammit! The one state I live in and they decide to charge tax to it. Who's the genius that passed this law? Now I gotta add 8.325% to every order. Unless this means that there's a new distribution center in NY, then I won't mind. I'd gladly pay tax for an order coming from NY rather than across the entire country...
 
I thought about the new distribution center idea too, but then quickly shot that down only because the Amazon blurb says due to a recently passed NY law. They probably would have said that they opened a distribution center if that was really the case. I am really agitated by this. It basically ruins Amazon being my number one source for purchases :bomb: :cry:
 
I think it has more to do with the state of NY charging sales tax on all online purchases. I think I remember reading something like that being talked about. Amazon is based in WA so we've always had to pay it. :cry:
 
and so it begins...the end of the internets.

In all seriousness though, I knew the government was going to try this. With the US$ tanking, the price of oil going through the roof... it totally sucks though. I feel your pain guys. I just pray to God they don't start doing this in Connecticut too. What an awful thing :(
 
[quote name='mike.m']I think it has more to do with the state of NY charging sales tax on all online purchases. I think I remember reading something like that being talked about. Amazon is based in WA so we've always had to pay it. :cry:[/quote]

As I posted my last post I thought about what you just said
This law will have affect all online purchases that people in NY make.
Oh man, I am so bummed :cry:
 
New York is such a tax hungry state so I'm more surprised it took them this long to enact this law. They've probably just been aching to do this for years now.

I haven't been too keen on Amazon since free shipping started getting slower for me but I'm glad I moved out of NY last year and this doesn't affect me.
 
What a bunch of horse shit. I'm sure this is just the start...I'm sure other states will be following suit eventually, but goddammit I'm pissed.
 
[quote name='crzyboy88']Are you kidding me?! Dammit! The one state I live in and they decide to charge tax to it. Who's the genius that passed this law? Now I gotta add 8.325% to every order. Unless this means that there's a new distribution center in NY, then I won't mind. I'd gladly pay tax for an order coming from NY rather than across the entire country...[/quote]

Actually, I don't know when they're going to be up and running with it, but Amazon is supposed to be opening a new distribution center about 45 minutes to the south of me in a little town called Hazleton(which you may remember from last years anti immigrant renter law furor which made national news).

They said on the news they're supposed to hire 1100 full time workers and 600 or so part timers.

http://www.forbes.com/businesswire/feeds/businesswire/2008/05/19/businesswire20080519006490r1.html

Now, if gas hadn't gone up as much as it has and this place was in close driving distance to me and paying a good wage(I'm sure they'll just match Pennsylvania's statewide $7.15 an hour minimum wage), then I'd have been all over this.

Either way, I think PA charges tax on everything already anyway....so we felt your pain a long time ago.
 
[quote name='crzyboy88']Are you kidding me?! Dammit! The one state I live in and they decide to charge tax to it. Who's the genius that passed this law? Now I gotta add 8.325% to every order. Unless this means that there's a new distribution center in NY, then I won't mind. I'd gladly pay tax for an order coming from NY rather than across the entire country...[/quote]\

No new shipping center. Just NY being its greedy self all over again.
 
[quote name='IAmTheCheapestGamer']Actually, I don't know when they're going to be up and running with it, but Amazon is supposed to be opening a new distribution center about 45 minutes to the south of me in a little town called Hazleton(which you may remember from last years anti immigrant renter law furor which made national news).

They said on the news they're supposed to hire 1100 full time workers and 600 or so part timers.

http://www.forbes.com/businesswire/feeds/businesswire/2008/05/19/businesswire20080519006490r1.html

Now, if gas hadn't gone up as much as it has and this place was in close driving distance to me and paying a good wage(I'm sure they'll just match Pennsylvania's statewide $7.15 an hour minimum wage), then I'd have been all over this.

Either way, I think PA charges tax on everything already anyway....so we felt your pain a long time ago.[/QUOTE]

Just great, I guess we'll be paying tax in PA for Amazon purchases as well. I just hope they don't mess up what is taxable and what isn't, like all food (with exceptions such as soda). In PA candy isn't taxable for example but it is in NJ. I remember we and NV were the only 2 states to be charged tax from EBGames.com since they were headquartered in PA and had a warehouse in NV.
 
For people that are concern about your state is next, write to your city/state officials and let them know how you feel. Or you could always move to a state with no sales tax.
 
[quote name='62t']For people that are concern about your state is next, write to your city/state officials and let them know how you feel. Or you could always move to a state with no sales tax.[/QUOTE]

I don't think most politicians would care... considering tax-free online sales are eating into government/state/local tax revenues.
 
there goes our tax rebates.. why does ny have to be the first to do this shit. one of the best thing about online is not paying the tax. this is really BS. :bs:
 
[quote name='phear3d'] one of the best thing about online is not paying the tax. this is really BS. :bs:[/QUOTE]
Yea, now there is no incentive to order online. Unless there is a huge price difference, why would I order anything online and have to wait for it to be shipped when I can just go pick it up at best buy? Online retailers are gonna end up losing some business.
 
[quote name='DrunkTigerWoods']Yea, now there is no incentive to order online. Unless there is a huge price difference, why would I order anything online and have to wait for it to be shipped when I can just go pick it up at best buy? Online retailers are gonna end up losing some business.[/quote]
i really dont get it. aren't we in recession right now? instead of giving something back to people, they take that little something away.

and you know what, i remember them having to bitch about how nyc & its 5 boroughs charging tax on clothing. so i dont know whats gonna happen to that now that technically, clothing IS a taxable item.
 
[quote name='phear3d']i really dont get it. aren't we in recession right now? instead of giving something back to people, they take that little something away.

[/quote]


Before you say something stupid like "we in recession" learn what recession means. We're far from a recession.
 
[quote name='DarkRider23']Before you say something stupid like "we in recession" learn what recession means. We're far from a recession.[/quote]so in your opinion were not? its not a full blown recession, but when you have 400,000 people in NYC alone with no jobs, i think i understand what it meant. just because you "clearly" understood what the word means, doesnt mean you have to be a dick about it. teh internets, its full of rocket scientist :beer:
 
We have 8.75% sales tax (I live in the state of NY) on pretty much everything except food, however some stores charge you tax for food just because their registers are messed up and we also pay 8.75% tax on all prepared food orders as well which means you are hit with the tax for take out, and anything you order on a college campus as well as at restaurants plus having to give a tip. Some states don't pay tax on prepared food orders. Our sales tax is the same as in the state of california yet our area has no jobs, no entertainment and does very little to give back to the community. The city I live in is 70% welfare.

Our state is one of the only states to collect for use of the highway (thruway here) and in order to go shopping here I have to pay a 1$ toll just to get there and a 1$ toll back. Not to mention more tolls if you go further away. They keep raising tolls as well. Gas is above average here compared to the rest of the nation and is well over 4$ a gallon now.

I am just really glad I made all my major purchases last year so I won't have to worry too much as I haven't been buying much off amazon lately. I have everything I need electronics and computer wise for a long time. I will be shopping a lot with ebay since they can't charge tax other than the use tax when you go to pay your taxes.

The tax REALLY cuts into system purchases as 8.75% tax on a console is a huge amount of money and can basically mean the difference between getting a game with your new console and not getting a game.
 
I'm curious...if someone like me buys a game from Amazon (again I live in Connecticut) and has it shipped to you...then you wouldn't have to pay taxes would you? It seems like a stupid loophole to me and one that is very easily avoidable. I don't think it's even illegal as it's no different than buying someone a gift anyway and shipping it to them, right?

Surely there has to be a way that CAGs can get around paying extra taxes like that. Or, like you said you can always buy from eBay, but sometimes paying the extra shipping costs and things will be higher than tax. I figure at 8.XX% you pay about $4-$5 tax for an average game these days which is about the same as a standard eBay seller's shipping rates. I'm sure you guys will figure out something :)

Maybe this will in effect strengthen the CAG trading bonds among sellers/buyers. Time will tell. We'll get through this!
 
I mostly buy for handheld systems and outdated systems so its useful for me to use ebay anyways. With handheld systems you don't have to worry about getting a scratched to heck game that won't play. Used games are almost always cheaper on ebay than at amazon, even with shipping. I just set my price in my head and shoot for that price, if it doesn't come right away I wait for the prices to drop. Most of the games I get are in perfect condition. I am mostly a price-drop shopper now for games, I won't pay full price unless its the next pokemon RPG.

I could see this being a problem if you were buying full priced new games but for me getting away from amazon was a good thing because it saves me money.

I would still shop with amazon over retail stores though, just because of the larger product selection and the fact that you don't have to deal with pushy sales staff in retail stores. Retail stores here are useless to me for electronics because often I find that they have outdated models at higher prices than online (even with the sales tax added in), and most electronics stuff is already discounted from the retail price when you shop on amazon, and if it isn't the price will drop accordingly and not stay at a fixed price like it does in the store. This is for large purchases like digital cameras.
 
Honestly, it's a bummer, but I dunno that it's wrong. I mean, if you buy an item physically, you pay sales tax, even if you drive out of state to do it (unless you drive to Alaska). People who buy on-line tend to be better-off than people who don't. So the online sales tax exception was basically a tax that hit poorer people harder.

It sucks to pay more---I'd like to see the sales tax gone entirely---but the lack of an online sales tax always struck me as kind of unfair (even if I did enjoy the benefits). Plus, by removing an incentive to buy online, maybe this'll be good for local shops, which now don't have an extra penalty versus online retailers.
 
[quote name='dkleinfeld']Honestly, it's a bummer, but I dunno that it's wrong. I mean, if you buy an item physically, you pay sales tax, even if you drive out of state to do it (unless you drive to Alaska). People who buy on-line tend to be better-off than people who don't. So the online sales tax exception was basically a tax that hit poorer people harder.

It sucks to pay more---I'd like to see the sales tax gone entirely---but the lack of an online sales tax always struck me as kind of unfair (even if I did enjoy the benefits). Plus, by removing an incentive to buy online, maybe this'll be good for local shops, which now don't have an extra penalty versus online retailers.[/quote]

I have to kinda agree

Sales tax is one of the only taxes that does make sense IMO (although an 8 percent tax is damn high)
 
NY is a joke. It's just one of the most selfish, greedy, egotistical states there is. They'll screw you every which way out of any hard earned dollar you make. And yes, I'm from New York, and live in New York. This Amazon thing only has me eve more fed up with this place. Can't wait to leave, then they'll get NO taxes from me.
 
[quote name='joshythegreat18']NY is a joke. It's just one of the most selfish, greedy, egotistical states there is. They'll screw you every which way out of any hard earned dollar you make. And yes, I'm from New York, and live in New York. This Amazon thing only has me eve more fed up with this place. Can't wait to leave, then they'll get NO taxes from me.[/quote]

This just reminded me of Homer Simpson's rant against NYC
 
[quote name='camoor']This just reminded me of Homer Simpson's rant against NYC[/quote]

LOL that's one of my favorite episodes of the Simpsons!

Lisa: Dad, you got a letter from the city of New York!

Homer: Pfft. Throw it away. Nothing good has ever came out of New York City.
Click to expand...
 
[quote name='SaraAB']We have 8.75% sales tax (I live in the state of NY)[/quote]
i keep forgetting that the rest of the state charges this amount for sales tax. im glad im getting my orders before June 1st. i wonder if this will have any effect on ebay? im curious to see..
 
Amazon can opt out of this if they just dump their NY affiliates. Looks like I'll be shopping overstock and deepdiscount almost exclusively from now on. Or hell, just buy at retail, then I get things instantly without paying 80 a year for Amazon Prime.

They probably will dump them soon, I'm sure any revenue those guys bring in won't even compare to the amount of business they're going to lose over this (not to mention the bandwidth, because New Yorkers still know Amazon has some of the best product pages out there, so we'll be windowshopping on their internet dime and purchasing elsewhere).
 
[quote name='Leggo']Amazon can opt out of this if they just dump their NY affiliates. Looks like I'll be shopping overstock and deepdiscount almost exclusively from now on. Or hell, just buy at retail, then I get things instantly without paying 80 a year for Amazon Prime.

They probably will dump them soon, I'm sure any revenue those guys bring in won't even compare to the amount of business they're going to lose over this (not to mention the bandwidth, because New Yorkers still know Amazon has some of the best product pages out there, so we'll be windowshopping on their internet dime and purchasing elsewhere).[/QUOTE]

This is why I am not worried, Amazon isn't gonna take this laying down, and once they realize how much money they will be losing from NY shoppers they will have to do something.

There are still MANY people who shop retail here, and tons of people who are in debt who don't have credit or debit cards, only the smart people shop online to avoid the sales tax and judging by the population of this area, thats not too many people.

And yes remember NY'ers get taxed over 8% on mostly everything except non-prepared foods.

I will continue to use amazon to browse for items, to read reviews and to look up information and specs on items I am considering buying.
 
[quote name='blk00civicsi']This is old news. Amazon is doing something about it.

http://www.bizjournals.com/seattle/stories/2008/05/05/daily7.html?ana=from_rss[/quote]

heres the article for the lazy..

Amazon.com Inc. is suing the state of New York to block a new law that requires out-of-state internet retailers to collect sales taxes if they have a physical presence in the state.


Attorneys for the Seattle online giant (NASDAQ: AMZN) filed the lawsuit in New York City on April 25 challenging the constitutionality of the law, which was enacted as part of the 2008-2009 state budget. The state estimates the tax will generate $50 million this fiscal year and $73 million in 2009-2010.
Any online company with a physical presence in the state that had at least $10,000 in sales during the past year must comply with the law and begin collecting sales taxes June 1.


The law has been cheered by the owners of independent bookstores, who say it levels the playing field between them and Amazon.
Amazon sells merchandise exclusively online but the state contends it meets the criteria for sales tax collection because of its "associates" program. Associates receive up to 10 percent in referral fees from Amazon by creating links on their blogs or websites that enable people to click through and purchase products.


Since there are Amazon associates in New York, the state contends they are considered sales representatives under the new law.
Amazon argues the law's definition of solicitation is "overly broad and vague" and that the law violates the state and U.S. constitutions because it "intentionally targets Amazon."


The New York state Department of Taxation and Finance isn't commenting on the lawsuit, spokesman Tom Bergin said Monday.
Of the 10 largest internet retailers in the state, eight already collect sales taxes because they also have a brick-and-mortar presence. Those retailers include Dell, OfficeMax, Target and Sears.


Amazon.com and Newegg.com, an online seller of computer supplies, are the only two of the top 10 internet retailers that don't collect sales tax.
Online retailers that have no physical presence in the state aren't required to collect sales taxes under the new law.
Click to expand...
 
Ok, that clears it up a bit, not every online retailer is going to be charging tax to NY so there are definitely options if you live in the state of NY.
 
Yeah tax would really cut down my Amazon purchases and I'd only really order from them if their doing a crazy DoTD or lightning deal. In the past I've opted to buy some games off Amazon since I didn't mind waiting a week for free shipping and no tax. But if they start charging tax, I can get that game for the same price in a B&M store and get it immediately. Makes waiting for Amazon's slow free shipping pointless.
 
[quote name='freakyzeeky']California is next... I can feel it. :cry:[/quote]
Don't they already charge us? I've never been able to place an order without tax...
 
[quote name='hec204']Don't they already charge us? I've never been able to place an order without tax...[/quote]

No we are not charged sales tax here in California from Amazon. I have never been charged any sales tax. One of #1 advantages for me from ordering from Amazon.
 
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