So I purchased a guitar from Canada a... Log Out | Topics | Search
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Alembic Club » Miscellaneous » Archive through November 11, 2010 » Archive: 2008 » Archive through June 20, 2008 » So I purchased a guitar from Canada and I learned a couple of things. « Previous Next »

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jorge_s
Intermediate Member
Username: jorge_s

Post Number: 161
Registered: 8-2002
Posted on Tuesday, April 29, 2008 - 6:19 pm:   Edit Post

When the guitar was delivered it came with a NAFTA document that stated I did not owe taxes. A few months go by and I get a letter from the state that I owe a use equivalency tax. Upon researching this I find out that not only do I owe state sales tax on imported purchases from out of the country but also on out-of-state or on-line purchases where the seller was not required to collect taxes. Wow! I hope the state doesn't find out about all the purchases I've made where the only extra payment was for shipping.
rami
Senior Member
Username: rami

Post Number: 797
Registered: 6-2002
Posted on Tuesday, April 29, 2008 - 8:27 pm:   Edit Post

I get the same treatment when I purchase goods from the U.S. into Canada. First there's the exchange rate, then come the import duties, then the provincial and federal sales taxes.
I feel your pain.
terryc
Senior Member
Username: terryc

Post Number: 487
Registered: 11-2004
Posted on Wednesday, April 30, 2008 - 3:40 am:   Edit Post

jorge s..careful what you post here..anyone can read this forum..including the tax people
jorge_s
Intermediate Member
Username: jorge_s

Post Number: 162
Registered: 8-2002
Posted on Wednesday, April 30, 2008 - 5:55 am:   Edit Post

I am not trying to get away from paying what is due. It was just my understanding that on out of state purchases you didn't have to pay sales tax when the company you purchased from doesn't operate in your state of residence. I now stand corrected.
bassman10096
Senior Member
Username: bassman10096

Post Number: 1122
Registered: 7-2003
Posted on Wednesday, April 30, 2008 - 6:08 am:   Edit Post

Jorge: Different states approach the sales tax issue with different degrees of aggressiveness. Most would tell you the tax is payable, but many feel they lack the ability (mainly the information) to enforce and collect the tax. I wonder (and have absolutely no idea) whether international transactions, such as yours, may be sufficiently tracked and reported to allow a state to request payment.

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