HA Sales Tax

[chriskim]

I was going to bid on a few David Hall's t206s in HA then realize I will need to pay sales tax for what I win. I will have to put that tax into my "bidding strategy"....LOL.

I am also surprise to find out close to 40s states need to pay sales tax on HA's sports auction winnings. I guess it is a "norm" to all of us who plan to win items from HA. (I don't oppose to pay sales tax at all, it is what it is!)

[BeanTown]

So how come other auction houses aren't charging tax in 40 States? Seems doing business with an AH that doesnt charge tax may be better in the pocket for both the buyer and seller.

[x2drich2000]

Originally Posted by BeanTown

So how come other auction houses aren't charging tax in 40 States? Seems doing business with an AH that doesnt charge tax may be better in the pocket for both the buyer and seller.

HA is huge, they aren't just sports cards. They have art, wine, music, real estate, books, etc. Right now, they have about 40,500 items up for auction. Besides having multiple locations which would force the collection of tax in those states, they are likely over the state collection limits due to sales as well.

[chriskim]

Originally Posted by BeanTown

So how come other auction houses aren't charging tax in 40 States? Seems doing business with an AH that doesnt charge tax may be better in the pocket for both the buyer and seller.

Couldn't agree more. I normally try to avoid getting anything from HA due to sales tax, however, if they offer unique materials then I have no choice.

[Jay Wolt]

eBay's been implementing sales tax slowly but surely & I imagine within a year or so, all 50 states will be covered.
My state (PA) started tax on July 1st. So I just figure the tax in & see if I want to proceed w/ the transaction.

[JustinD]

Originally Posted by Jay Wolt

eBay's been implementing sales tax slowly but surely & I imagine within a year or so, all 50 states will be covered.
My state (PA) started tax on July 1st. So I just figure the tax in & see if I want to proceed w/ the transaction.

Barring a large change the residents of Alaska, Delaware, Montana, New Hampshire, and Oregon should be dandy.

[Kawika]

Try living in Canada and buying from Heritage. Twelve per cent Goods & Service Tax for anything that crosses the border. Throw in our 75¢ dollars and Heritage's high shipping charges ($110 for two baseball cards . . come on!) and things can get very expensive. On the other hand they auction off some super-amazing stuff.

[chriskim]

Originally Posted by Kawika

On the other hand they auction off some super-amazing stuff.

So.. u got no choice.... I hear u!

[The Nasty Nati]

20% buyers premium and 7% sales tax is pretty rough.

[ramram]

Originally Posted by The Nasty Nati

20% buyers premium and 7% sales tax is pretty rough.

Throw in the seller's fee, roughly another 20%, and it sure makes the Net54 b/s/t page look pretty attractive.

Rob M

[marzoumanian]

I live in the city. The (unofficial) sole reason was to be able to collect taxes, taxes, and more taxes is what an HA employee told me when the office first opened about three years ago. It sounds like HA was losing out by NOT having an office here from a tax perspective.
Take care.

[Republicaninmass]

Originally Posted by marzoumanian

I live in the city. The (unofficial) sole reason was to be able to collect taxes, taxes, and more taxes is what an HA employee told me when the office first opened about three years ago. It sounds like HA was losing out by NOT having an office here from a tax perspective.
Take care.

They dont keep the tax?

[conor912]

BP + WA tax (10%) + crazy AH shipping now equals ~45% of my winning bid. I'm pretty much reduced to buying in person or on the BST at this point.

[oldjudge]

They don’t get to keep the tax but they probably get float on the money. I don’t know when they have to remit the taxes to the government, but for a while they get to hold the money and either earn interest on it, or use it to run the business.

[Yastrzemski Sports]

Originally Posted by oldjudge

They don’t get to keep the tax but they probably get float on the money. I don’t know when they have to remit the taxes to the government, but for a while they get to hold the money and either earn interest on it, or use it to run the business.

I pay sales tax every month and I would guarantee they do also. If you are under a certain amount you can get away with quarterly - to your point. But there’s really no time to play with it when it’s due on the 20th every month.

It would help to look at sales tax as something you have gotten away with for a long time. We knew the day would come when the government caught up with it. Party’s over.

[Santo10Fan]

Bidders from the states that HA don't collect from have a distinct advantage-online that is. Does anyone know how well attended the live auctions are? Anyone winning in TX has to pay sales tax but saves a little on shipping. That helps for items under $400