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  1. #1
    Join Date
    Mar 2006
    Location
    Wausau Wi
    Posts
    311

    Default Strange goings on

    I recently got a letter from a bee supplier stating that they didn't charge me the proper sales tax from the last couple of years. Its almost a hundred bucks. I'm not sure what to do, cause I have the receipts, and don't think its my problem. When I bought everything I had paid the total bill, and I don't know what they should be adding on for tax. That's what they are supposed to do, and I trusted them to do it. I'm not trying to get out of paying what I owe, but really, it just don't sound right ? I'm not sure what to do. Any advice ??
    Everything happens for a reason. Time heals all wounds - time and a half heals them even faster

  2. #2
    Join Date
    Apr 2005
    Location
    College Station, Texas
    Posts
    6,973

    Default

    stuff ordered over the web?

  3. #3
    Join Date
    Apr 2003
    Location
    Greenville, TX, USA
    Posts
    4,397

    Default

    I would say a retail operation that failed to collect tax at point of sale is out of luck. If it's web sales, they should have still done it at time of sale. If they are out of state, it's even less your responsibility. Check for ag exemptions as well. Dadant here in Texas doesn't charge sales tax because products used for ag production are exempt.

  4. #4
    Join Date
    May 2008
    Location
    Snowmass, Colorado, USA
    Posts
    2,496

    Default

    You have no obligation to pay and it sounds fishy to me. If they didn't charge you the correct sales tax it is not your responsibility to pay at a later date what the store owes to the IRS or state. If they push the matter tell them you will be sending a copy of all correspondence by them to the IRS, your state inspector general and the local DA's office for suspicion of fraud. I also would look for a different vendor in the future.

  5. #5
    Join Date
    May 2008
    Location
    Campobello, SC, USA
    Posts
    195

    Default

    I seriously doubt they can even request you to legally. I order most of my supplies online. Just curious, which vendor is it? I had planned on ordering from a couple new suppliers, dont want to get mixed up in that.

  6. #6
    Join Date
    Dec 2007
    Location
    Ludington, Michigan
    Posts
    645

    Default shipping

    This past spring I placed a phone order through a large well known supplier. Payed with a credit card and received it UPS. A couple of week later I got a bill in the mail for 10.00 stating then didn't charge enough shipping. I just filed it in the trash. A month lated they sent me another so I sent them a check. What a joke

  7. #7
    Join Date
    May 2007
    Location
    Port Orchard, WA USA
    Posts
    208

    Default

    Depends or where you live. Here in Washington state we have a state sales tax, but it is really a purchase tax. They expect you to pay state sales tax on everything you buy, no matter where. And I do not just mean internet sales. If you take a trip out of state, and buy a bunch of stuff, the State actually expects you to pay their tax when you come back. Obviously its not enforced very well, but if the state has your name in the records of some buisness they decided to harass, you may be on the hook.

  8. #8
    Join Date
    May 2007
    Location
    Hillsboro, Wisconsin, USA
    Posts
    1,672

    Default

    When you say "proper sales tax", did you actually pay some tax on the order(s), or did you not pay tax altogether? Because if you ordered through the internet, and the firm has a retail (or wholesale) operation in the state, like Dadant for example, you should have had to pay 5.5% sales tax. If it was a firm with Wisconsin offices, did they overlook your location on your order, or did you not "check" the box indicating that you were a taxable customer?

    I don't know if you are liable at this time to make it right - I guess if you should have paid tax, and they made an error (perhaps they had their books recently audited), you might in all consciousness pay the tax discrepancy. Folks make mistakes - if you were a business and someone in your organization overlooked some tax accounts, you might try to collect in a similar manner. If you weren't the only customer with this error, I'm sure that the amount due to the state could be substantial, and a hardship on a business.

    MM

  9. #9
    Join Date
    Mar 2003
    Location
    Lima, Ohio, USA
    Posts
    725

    Default

    I just received a similar letter from an outfit in Minnesota yesterday. It sounds as if the state audited them and determined that they should have been collecting sales tax on far more sales than they were. They will try to collect it from the buyer, or get an exemption form, but ultimately it will be their responsibility to pay the tax or prove that tax should not have been paid. In my case I just filled out the exemption certificate as my purchase fell under use in agricultural production.

    Of course in some states (Ohio being one), if you aren't exempt and didn't pay sales tax because you purchased online or over the phone, you are still legally obligated to pay the sales tax when you pay your state income tax. It's not enforced well here either though I have heard they have cracked down on sales of some products the tax was high enough to be worth the effort apparently.

    This could happen with any vendor that is in a state that doesn't automatically charge sales tax on every sale unless an exemption certificate is on file.

    -Tim

  10. #10
    Join Date
    Apr 2006
    Location
    Pepperell, MA.
    Posts
    3,770

    Default

    Remember that the business owner is an agent of the state when it comes to collecting tax. If, for example, they mis-calculated the amount of tax that should have been charged on an order, they have an obligation to represent the correct amount to you and to attempt collection. If you live in the state that the tax is being collected in, you have an obligation to pay it.

    Whether or not it's enforceable at any particular level is open to discussion.
    "My wife always wanted girls. Just not thousands and thousands of them......"

  11. #11
    Join Date
    Jun 2007
    Location
    mineral county,Montana USA
    Posts
    812

    Default

    just one more reason to live in montana.

  12. #12
    Join Date
    Feb 2008
    Location
    Madisonville KY
    Posts
    95

    Default

    Many states are getting tight on money. I expect more sales tax audits etc in the near term.

  13. #13
    Join Date
    Jun 2008
    Location
    Lake Park, Georgia, USA
    Posts
    155

    Default Who's gonna pay the tax?

    I agree with some of the replies. They probably didn't collect the correct amount at time of sale. However I don't feel you have to pay for a companies mistakes. That would be like us owing the IRS taxes we didn't pay and expecting our employers to pay that. Personally I wouldn't pay them any more than what you have. You bought the stuff & paid the ask for price end of sale no shady dealings on our part that's it. We buy lots of stuff at the time if they tried to add taxes later to overcome some office tax error I could see where that could be in the thousands for us. A letter like that sounds suspicious to me and I would pass that straight to our lawyer. For only a few hundred bucks would file that & give them a call informing them of intentions not to pay.

  14. #14
    Join Date
    Mar 2006
    Location
    Wausau Wi
    Posts
    311

    Default

    It did seem strange, because it was from 2005 to 2007 . Like you said, I paid what they asked, so a couple of years later I don't suddenly get a bill for extra money that I in all honesty thought was paid in full. I have run a business and if I screwed up I was the one that ate it, not my customers. Imagine what they are thinking ? Hmmmmm......
    Everything happens for a reason. Time heals all wounds - time and a half heals them even faster

  15. #15
    Join Date
    Jul 2006
    Location
    South San Ysidro, NM
    Posts
    503

    Default

    In many states it is the vendor that is responsible for paying sales tax not the buyer. The sales tax is typically passed on in a transparent way to the buyer, but if there is a mistake the vendor is responsible. That doesn't mean they cannot go after you after the fact for their mistake, but I don't think you have any obligation to pay.

  16. #16
    Join Date
    Mar 2006
    Location
    Buda, Texas
    Posts
    922

    Default

    If you paid the amount that was agreed upon at the time, then you have fulfilled your part of the contract, both legally and ethically.
    "I am the Good Shepherd. The Good Shepherd lays down His life for the sheep. " John 10:11

  17. #17
    Join Date
    Jul 2008
    Location
    Venango/Crawford Pennsylvania
    Posts
    1,709

    Default

    I believe, if they don't collect the right taxes then it is their fault. They must have been audited and were not paying the right taxes. Which becomes their problem not yours. When you collect taxes for the government, it is the collectors job to do so at the time of sale, not after. When I was a Supermarket Manager and our Store Systems Manager didn't put something in the system right and collect taxes on, then when doing taxes, it became our problem.

    There was a local car dealer that didn't collect the right taxes when doing the paperwork and sent the money in to the DMV, which the DMV rejected the paperwork and sent it back. Long/Short of it...they told the people they had to pay it, but they took out the loan according to what they were told they needed. If they told them the wrong amount then why is it their fault. They would have to refinance to get it. If the taxes were not paid, the DMV would not process, so they took the dealer to court and won. The dealer had to pay the taxes, because it was their responsibility to collect it at the time of the sale.

  18. #18
    Join Date
    Jul 2008
    Location
    Venango/Crawford Pennsylvania
    Posts
    1,709

    Default

    Quote Originally Posted by Jeffrey Todd View Post
    If you paid the amount that was agreed upon at the time, then you have fulfilled your part of the contract, both legally and ethically.
    correct...........
    Last edited by Eaglerock; 08-16-2008 at 05:48 PM.

  19. #19
    Join Date
    May 2008
    Location
    Concord, CA
    Posts
    4,160

    Default

    I've had a couple bee supply companies charge me sales tax this year, even though they don't have stores in California.
    Has their been a law change, I've never paid tax too out of state vender's before?

    I thought they where ripping me off by charging me tax.

    Dan

  20. #20
    Join Date
    Feb 2007
    Location
    owensboro,ky
    Posts
    2,240

    Smile tax

    Quote Originally Posted by KQ6AR View Post
    I've had a couple bee supply companies charge me sales tax this year, even though they don't have stores in California.
    Has their been a law change, I've never paid tax too out of state vender's before?

    I thought they where ripping me off by charging me tax.

    Dan
    it simple-YOU are paying the tax "focus on bees" beat them out of!
    "Wine is a constant proof that God loves us and loves to see us happy" Ben Franklin

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