So I spent about 1500.00 over the weekend with the parts place through Ebay. Now every single one of there ebay ad's states

"ALL ILLINOIS RESIDENTS MUST APPLY 8% SALES TAX WHEN ITEM IS SHIPPED TO OR PICKED UP IN ILLINOIS!!"

Now the problem is I don't live in ILLINOIS I live in Indiana so tech this doesn't apply to me. The ad states pickup or shipping via freight on all items is available and up to the buyer. So I elected to pick everything I bought up. I get an email this morning stating I have to get my money refunded and I will need to pay when I pick the items up because I have to pay sales tax in Illinois. The guy states in his email it's the law that ALL states have to charge sales tax if an item is picked up in a state be it purchased in state or out of state.

This makes no sense to me what so ever and I have never heard of this law before. Matter of fact, I have purchased everything from motorcycles to cars to even t shirts off ebay from private and public sellers alike and never paid sales tax UNLESS I resided in the state where it was purchased.

Is this some kind of new law that hasn't caught on? I picked up my rear quarters, Headers and Carpet from Summit Racing in Ohio all of it bought off ebay and there was not even a single mention of refunding money cause I have to pay tax when picked up. Me thinks the parts place is just Foo O crap and trying to get every last penny out of someone. I suggested he update the ad for the parts to reflect either all US residents must pay tax when picking up, do not buy off ebay if you plan to picup since we will waste time with refunds, or no outside pickup allowed at all.

 

Tamraz must have already had a disgruntled customer since his big items state "For Illinois orders and any customer that would like to pick up in Illinois, There is and will be added 8.25% sales tax to there invoice.". So he worded his ad correctly to avoid crap like this. By all right going by TPP ebay ad and my binding agreement I can pick the hood up and not pay sales tax since they allow local pickup and there disclaimer does not cover non Ill residents.

 

Sorry. I don't know what rock you've been hiding under, but that's the law, and, as far as I know, has always been, in every state, so long as there has been a sales tax.

Sales tax is not a tax on local RESIDENTS, it's a tax on local SALES.

If the sale was made in the state, the seller must remit a percentage of the sum to the state. It's that simple.
If the seller is in Illinois, and you are in Illinois, and you click the "BUY" button on your computer screen in Illinois, then the sale was in Illinois, and the seller owes sales tax.
If the seller is in Illinois, and you are in Indiana, and you click the "BUY" button on your screen in Indiana, then the sale was in Indiana, and the seller does not owe sales tax.

The problem comes at the time of delivery of the product.
If you are in Indiana, and the product is shipped to Indiana, then the sale is obviously out of state.
If you buy it in Indiana, but pick it up in Illinois, then the argument can be made that the actual transaction took place at the time the goods were handed to you, which was in Illinois, and so is subject to sales tax.

A number of high-end jewelry stores in NYC got busted for the opposite of this some years ago: They were accepting money for products in-store, and then mailing them to out-of-state addresses, and not collecting sales tax. The sales had occurred in NY, so the taxes were due.

In this case, I would bet that Illinois authorities have begun to crack down on internet sellers, and that the Parts Place has been placed on notice that if the tax man observes a customer coming out of the store with boxes, and they go in and check the receipts, they'd better see sales tax collected on the paperwork.

If you have a complaint, you should direct it to the Illinois state government.

Sorry. "Binding agreements" do not allow you to violate the law.

- Eric

 

This sounds right for illinois. You used to be able to buy a car and put a low price and the day's date to pay less tax. well the state of ill. caught on so now it goes by year and miles. Also if you are from lets say cook county and buy a car in dupage county you get taxed cook county taxes . cook county has some of the highest taxes in the us. they want their cut no matter what. the state of illinois is corrupt as hell.

 

Parts Place is following the law.

 

May be cheaper to ship it. but they are following the law.

 

Hiding under no rock Eric. Being a business owner myself who has a RRMC(Registered Retail Merchant Certificate) from Indiana which gives me the right to collect tax and by federal guidelines governing internet sales on my sheet from my bank to accept credit cards transactions. It states that I am not subject to collect sales tax on any out of state internet transaction. There are no stips in place to collect it due to how it's delivered due to the fact the transaction and buyer is not located in state.

So because I was curious and I have bought many things from Illinois and this is the first I have heard about this I called the Illinois Dept. of Revenue. According to them this is what the law is.

1. If the buyer lives out of state then no sales tax is collected in Illinois as of now. If Illinois joins the Streamline Sales tax thing then it would collect sales tax no matter where the buyer lives.

2. As of this moment there is no mandate in place to determine if Illinois tax should get collected depending on how the item was delivered to the customer who resides out of state.

3. The only way an out of state buyer would pay sales tax would be if the business had a manufacturar facility, local branch or local hub in there state conducting business there.

4. She said the law is set to change soon and will charge anyone conducting certain internet business in Illinois sales tax however it's not in place yet.

My whole point to this thread was I was upset that TPP failed to disclose to me that I would have to pay Illinois sales tax. Ebay considers a purchase a binding agreement. With that said, it's considered contract with the terms being what the seller has listed. The seller clearly states the item can be picked up locally and that ONLY Illinois residents picking up or buying locally must pay the 8% tax. Now, there may be some loophole law that states he must collect it from me, but thats not my problem he should have disclosed it. I'm not mad that I have to pay a tax, it is what makes the world go round. Im mad because I was mislead, then was sent my money back and told I have to pay for it there and pay even more now even though the contract they had in place did not disclose this. The fault is on the seller not the buyer in this case. That and I am just **** to the fact that this should have been disclosed properly.

According to the DOR there is a federal law trying to get pushed that would require every state to collect sales tax on every purchase made local or out of state at a set national level. It's all part og some Streamline Sales tax crap which Illinois is not apart of yet there in the Advisory stages.

Either way, I was refunded my money so no more reason to complain except to complain about complaining.

 

With all the options and documented complaints about TPP, why not do business with someone else. I feel there should be a certrain level of professionalism that goes with 1,500 worth of merchandise.

 

In that case I stand corrected.
Having a lifetime of experience in sales taxes between NY and NJ, as well as with ME and Mass, I had never seen a situation where Sales taxes are collected on the basis of residency. LLBean, for instance, will hit you for sales taxes when you buy in Maine, whether you're from Freeport or Wassila.

Thanks for checking this out and letting us know.

Which is a reasonable point.
Since the law requires payment of taxes on the basis of the sale price, and (contrary to what we often assume) does NOT require taxes to be added at the register, the way they usually are, you have a good argument through eBay that the deal you made was inclusive of all taxes that the seller may (or may not) have to pay, and that the seller was therefore in violation for having added them on after the fact.
If eBay follows the rules of logic, you would win that case, but I have been led to believe that they don't necessarily do that.

I completely understand what you mean, and agree that if taxes were due (which you have proven they are not), under the way that the eBay listing was written, the Parts Place should have eaten the extra cost, and by not doing so they have now gained yet another unsatisfied customer.

- Eric

 

In all honesty I have spent over 2k with them this year alone not counting this order. Everything I have ordered has come in a day and as described. I've never really had an Issue with them or Brothers. Also I have nver had to call them or email them before this incident and let me tell you. There customer service is HORRIBLE!!!! For that fact alone I will no longer shop with them. I mean, just calling and asking a simple question on store hours will get you some ******* with an attitude.

I think the other big problem people have with TPP is fitment of parts and then wanting refunds and then comes customer service encounters when this happens. Every bad feedback I've read about them was about customer service, fitment of parts and shipping issues. Fitment of parts I can handle as I am under the impression my car is 41 years old and nothing except original is going to fit correctly.

There is no excuse for there poor customer service be it a 20.00 order or in my case a 1500.00 order. They also need to disclaim things just a tad better. Had they put in there ad that ALL local pickups would require sales tax to be paid I would have held off buying. Because according to the email I just got if the item is picked up, they will not accept paypal anyways because paypal wont cover buyer protection on items with local pickups?? First I have ever heard of this with paypal as well. So basiclly they need to put an updated listing that says dont buy online if picking up local. Oh well, like stated above, nothing I can do now but **** and moan and suck it up.

 

I agree- the dollar amount doesn't matter, but you expect a little more patience with a large order. I would suggest going with Fusicks and quit the moaning! I think you will be 1,500 dollars happier (maybe less!).

 

I wish Nova Scotia's sales tax was only 8%.

 

Come to Alberta!.........still ZERO PERCENT provincial tax!...

 

Kind of funny! I used to buy quite a bit from a wholesale warehouse in Hammond, Indiana, and never got charged sales tax, either pick-up or delivery!
All they ever did was put a Illinois address on the bill!
But when I built my garage, [24x24] and needed a 'kit', I ordered from Indiana to avoid the 8 3/4% tax, and they billed me for it! I refused to pay the tax, and they did nothing about it!
I think with some, it's a way to put some extra money in their pockets!!

 

http://en.wikipedia.org/wiki/Sales_t..._tax_avoidance
I fail to see the problem here.
You clearly are misunderstanding the Sales Tax laws every state has to follow.

You picked up the merchandise at the POP to avoid shipping fee's.
You can not avoid POP sales tax regardless of what state you are from or
what state you did the online transaction from. You picked it up IN PERSON.

Do you think Home Depot would just allow you to flash your out of state ID
1 mile over the border in IL from a phone order you made, and they'd go
"Oh hey, no problem, this guy doesn't need to pay tax!!!" :LMFAO

You would think #2 above kinda eludes to the fact it's talking about interstate commerce.
But I guess that wasn't understood.

#1. Interstate Commerce
An OUT-OF-STATE resident makes a purchase from an IL retailer ACROSS state lines,
and it is shipped (regardless how, bus, train, UPS, Aircraft)
= NO SALES TAX

#2. In-State Commerce
IN-STATE picking up an order, regardless of HOW it was ordered, or where you are from
(Kalamazoo, Africa, Russia, Indiana)
Picking up the merchandise at the POP (point of purchase) is not "Being delivered"
You're present in IL , you are taxed.

 

This thread was started as a joke correct?

 

Yah, but then we'd have to live in ALBERTA! It would cost to much for the lobster, blueberry grunt and imported salt air smell.

When I lived in Virginia I was surprised that different counties in the State added their own sales tax. if I went to the closest location of a certain fast food resturant I would pay more tax than if I drove farther from home for the same food, just because of County lines.

You might be able to get out of state sales tax refunded. On $1500 it might be worth the search.

Adam

 

Send it back.Add a 25% restocking fee your taxes..and you are now out 33.5% ..It is kind of like buying Ford stock and hanging on to it for a year..

 

Yeah.....I know. My little brother lives in Grande Prairie.