I recently started to noticed that all my ammo orders are charging AZ state sales tax. I have ordered from TargetUSA and SGAmmo and they both charged tax in addition to shipping. Have you guys seen this with your online orders? If they are going to start charging tax, I might as well buy from my local brick and mortar sources and save the shipping and waiting expenses. The local guys nearly charge about the same or a little higher for the common stuff like 9mm.
Yeah, Illinois cracked down on it. Ammo, Amazon, heck even PlayStation Network.
Sucks, but pretty common for most states.
Remember those ads that would list a price and say something like, “Arizona residents add whatever% sales tax”? That’s because if the business is based in Arizona it only had to collect sales tax from AZ residents. If I buy something from Arizona but I live in Illinois, I’m supposed to pay the sales tax to Illinois, at Illinois’ rate. Not to Arizona. Of course nobody ever did that, and for non-commercial mail order type stuff it was largely ignored. As online sales exploded, states starting demanding that sales tax be added when you ordered.
Last edited by Darth_Uno; 12-17-2019 at 01:47 AM.
Yeah, the last couple of ammo orders Ive made, heck, all of my wife’s Amazon Christmas shopping, has added Arizona sales tax. Started in late summer/early fall, IIRC.
Blame it on North Dakota. In 1992 they sued Quill corporation (office supplies) for not collecting sales taxes on in-sate sales even thought they had no physical presence; catalog sales only. The supreme court ruled that a physical presence was necessary to establish a business presence (nexus) and without that, the states sales tax laws didn't apply to Quill(Quill Corp. v. North Dakota, 504 U.S. 298 (1992)).
Recently many states began to attempt to tax economic nexus. North Dakota passed a very aggressive law that was basically lawsuit bait; Overstock, NewEgg and Wayfair swallowed the hook. The Wayfair case went to the supreme court who reversed themselves on the Quill standard, adopting an "substantial activity" standard(South Dakota v. Wayfair, Inc., 138 S. Ct. 2080 (2018)).
So now, the states are free to construct laws that tax these transactions. Oh, and by the way, so are counties, cities, school boards, transit districts....you get the idea.
Last edited by Pacioli; 12-17-2019 at 06:41 AM.
My last ammo order was from Lucky Gunner and I was charged full sales tax - 10.2% including state, parish (county) and city. My guess is that there's software out there that computes it based on zip code. The State of Louisiana also expects you to keep track of all non-taxed internet purchases and add 4% of that to your state income tax.
The number of online businesses that don't charge sales tax is steadily shrinking.
And the two things you are guaranteed in life Taxes and death.
Yup. My last purchase from SGAmmo had $116 charge for insured delivery and $117 for state tax, effectively making it $200/case of 9 mm price. I get a small discount for ammo as a part of my range membership, and suddenly LGS ammo prices have become competitive.
Doesn't read posts longer than two paragraphs.
$117 tax on $116 order? Where is this state I want to avoid?Originally Posted by YVK
"Gunfighting is a thinking man's game. So we might want to bring thinking back into it."-MDFA
Beware of my temper, and the dog that I've found...
I deal a little with online sales for work. Sales tax for your location is quickly becoming a thing. For instance, ebay is niw collecting sales tax for 34 states.
If they find a way to tax breathing, they'll do it.
-Cory
You have always "owed" it, the states are just getting aggressive about getting it collected. In OH you were supposed to file and pay, but there was no enforcement. Amazon probably makes it hard for a governor to ignore.
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