Sales tax on Heritage invoice?

[scooter729]

I just got my invoice for my Heritage winnings and it has sales tax on it, which I have never seen before. I'm in Massachusetts so I didn't think it would be a factor.

Anyone else have the same? I'll reach out to Heritage, but was curious if this was a mistake on all invoices.

[mcap100176]

Yes you owe it....see number 3.


http://www.window.state.tx.us/taxinf...s/faq_use.html

[rainier2004]

I guess it depends on which office the lot is selling from...

[scooter729]

That doesn't seem in line with the policy on their site; it looks like for Massachusetts for "All Other Collectibles" (which is their sports auctions), it says, "Applicable state sales tax on Signature Auctions ONLY if held in that state."

Since this auction took place in Texas, I would think there should be no sales tax for something shipped to Massachusetts.

I'll send something along to Heritage now to see....

[kkkkandp]

I think the application of sales tax is determined by where the goods are delivered and whether the seller has a license to collect sales tax in that state. If the seller does not, I believe the recipient is liable for use tax if the item purchased is taxable in that state.

[FrankWakefield]

add "of residence" to the end of Kevin's post immediately above, for clarity; then +1 to what he said.

[steve B]

Mcaps link spells it out pretty clearly. Texas seems to tax mail order and internet transactions as though they were local.

The laws have been changing, 40 states have setup to require sales tax on all sales even if the seller has no physical presence there.

Amazon has been fighting it, likely at great expense.

Personally I'd ask them to fix their policy page and pay the tax.

Unless you want to get into fighting Texas over the tax......And if you've got that sort of money ther are better things to do with it.

Steve B

[jimross]

This sales tax thing got to be something new and everyone should be watched out for. People should add that "sales tax" factor on top of those already super high "buyer's penalty" before they place their bids.

I won something from HA last yr and they didn't charged me sales tax.

[atx840]

Canadians have to pay an additional 5% on declared value (some provinces up to 15%)

A $7,500 win ends up costing $10,210.53 plus ship/ins. THAT IS 36% in fees.

The BL460 final winning price $7500 * 1.195% = $8,962.50 * 1.085% = $9,724.31 * 1.05% = $10,210.53

[shaunsteig]

just went back and reviewed my prior Heritage invoices. I've never been asked to pay sales tax on a Heritage lot, although I've only won things in their internet/phone auctions, not their Signature auctions. I lived in MA until last year, and now since then in RI. I agree though, that tacking on that % would make a sizable difference to the cost, and thus one's limit bids, on a lot, and that if HA changed their policy (even if due to a state law which is out of their hands) that they should be more clearer and forthright about letting prior customers know about the change.
--S

[oldjudge]

Charging this tax is contrary to their Terms and Conditions. I am being charged the tax in Connecticut. Perhaps this is an error--I would not pay until chatting with customer service tomorrow. Interesting, my invoice was up on their web site and has now been taken down. Perhaps they are being corrected.

[Leon]

Tax laws are tax laws. I wasn't able to take a Heritage Live winning a few years ago, in person when I won it, because of tax laws. I am quite sure that whatever the law is, is exactly what is going to happen to each invoice. It's not a debate and there won't be a gray area on this. I would just hang tight and speak with them if there is a question.

[batsballsbases]

I paid it this time but my memory will be very long for the next time!

Also curious since this has happened will REA or any of the other auction houses be charging sales tax? Leon since you are also in TX and run auctions do
you also fall under the same guidelines?

[baseballart]

Originally Posted by atx840

Canadians have to pay an additional 5% on declared value (some provinces up to 15%)

A $7,500 win ends up costing $10,210.53 plus ship/ins. THAT IS 36% in fees.

The BL460 final winning price $7500 * 1.195% = $8,962.50 * 1.085% = $9,724.31 * 1.05% = $10,210.53

The only province in which a Canadian pays 5% on cards is Alberta. As Chris notes, in other provinces, the feds either collect the HST (up to 15%), the QST in Quebec (which is the only province to charge its tax on the value including the federal tax) or the provincial sales tax in Manitoba and Saskatchewan (PEI with Anne of Green Gables is soon to harmonize with the HST) (BC is going back to the PST instead of the HST--but don't get me started on an OT thread about the benefits of a value added tax!)

Max
*in his real life, dealing with tax and custom issues since 1985

[GoldenAge50s]

Am I the only one who has not heard a word from Heritage re: shipping of my winnings? I paid promptly w/ bank ck & have recvd no shipping info at all. Anyone else?

[Texxxx]

Everyone needs to get ready for sales tax on anything purchased online. The states are pressuring the federal gov. to make sales tax collected from point of sale instead of expecting the buyer to pay it. Most people are defrauding there state of the taxes by not paying them when they buy something and the states are loosing millions of tax dollars. The Feds have already shut down buying tobacco products over the internet because of the taxes not paid.

[glchen]

Originally Posted by GoldenAge50s

Am I the only one who has not heard a word from Heritage re: shipping of my winnings? I paid promptly w/ bank ck & have recvd no shipping info at all. Anyone else?

I'm in the same boat. I also paid promptly via bank cashier's check, and have yet to receive any shipping info either. Saying that, Heritage is one of the slowest shippers, so I expected it. They do not ship for 2 weeks after payment is received unless you paid by wire transfer. It doesn't matter that you paid by cashier's check, e-check from their website, have a history of winnings with them, etc.

[scooter729]

I received an email last Thursday 5/17 that my winnings had shipped, and I received them yesterday 5/22 (FedEx Ground).

Considering I paid via credit card on 5/7, I'm not sure why it needs to take them 10 days to ship something paid in full via credit card. But that seems to be the norm for Heritage, so I expected it when I bid.

[batsballsbases]

Well it took me 5 phone calls to finally get an answer on why they didnt ship my item. Paid by paypal and had paid the sales tax to them . They refunded my sales tax. Answer to why they didnt ship faster, we had to wait for your paypal refund from us to clear! Now does that make any sense! I would suggest a phone call to them it does seem to get some response! Finally did get a tracking # as it was sent out yesterday!

[GaryPassamonte]

I paid the monday after the auction, 5/7, my check cleared on 5/11, and still my item has not been shipped. Heritage is, without question, the slowest shipper I have ever done business with. And I've been collecting a long time.