Local taxes in the USA - tourist regulations

Well, he seems to be ignoring Supreme Court precedent that basically
does not allow states to enforce tariffs/penalties on goods imported
from other states.

You do have to pay sales tax on certain items bought out of state - but
only in order to receive proper licensing of those items. So, cars,
boats and other items must have sales tax paid to your state of
residence before you can legally use them. The registration is the only
method of enforcing the sales tax on out of state items as far as I
know. The Supreme Court threw out tax stamps and all other schemes a
while back.

 

There hasn't been any issue LATELY but a few years ago Connecticut State Law
Enforcement was sitting at the side of the road stopping people who had been
observered purchasing items just across the border.

I dont know ALL the details, but mostly they were stopping people who shopped
this way on a regular basis, and had not declered PREVIOUS purchases.

As for "probable cause" I dont know what the Police used for justification,
and since the last time it was on the news, Rhode Island has changed its tax
structure enough so I guess there is no advantage any longer.

I truly think the whole thing was STAGED for the TV news media, so people
would be aware of the law. BUT (and its a big BUT) They did do it, and they
CAN do it, any time you try to avoid paying state taxes. It IS the law,
though it is not always enforced.

This all took place in Connecticut several (maybe as much as 10) years ago.
Im sure a check with Channel 8 New Haven, Channel 3 Hartford, or Channel 30
(where ever it is lacated) would come up with specifics, it was ALL OVER the
news at the time, which is why I remember it.

For myself, the details are un-important, as most of my out of state shopping
is done on-line, and I pay whatever taxes are charged and dont worry about
it. However it would be untrue and unfair to say the states dont persue it,
because, from time to time, they do.

 

Not ignoring it, just didn't know...Since I have no problem paying taxes when
taxes are due, I dont follow these things very closely. Unless that court
decision made the front page on one of the FEW days I actually read the
paper, it would be easy for me to not be aware of it.

I was simply trying to [oint out to the OP that the states do NOT easily
forgive "Sales/Use" tax. They will collect it any way they can.

If you see my earlier post, this all took place years ago, perhaps before the
SC decision...

 

*AND* , it only applies to _outbound_ travelers.
If the OP wants to use the camera on the trip, this is not an option.
(Unless, the camera is purchased in the embarkation airport.)

Jonesy

 

I'm trying to find the case. Basically it falls under the commerce
clause not allowing tariffs on goods imported from another state, if I
remember correctly.

 

And if your credit card is not issued in the US, you can forget it.

 

I did some exhaustive research into this and found...

The most the Connecticut State Trooper could do is hand out the tax
forms and remind the citizens of their civic duty to pay Connecticut
State sales & use tax on the items they just bought.

Most states don't even bother with that any more. UPS and the internet
have become the bane of state sales taxes.

 

That is why many states have a Sales _and Use_ tax. The Use tax will
get you. The Supreme Court has made a number of finding that one state
can't require a vendor with no presence in that state to collect tax or (I
believe) report such sales. This whole thing is currently subject to change
due to the internet. However I don't know of any Supreme Court case that
prohibits a state from collecting a USE tax on personal property not
purchased in the home state and used for the first time in that state.

 

I agree, OTOH they do still collect state sales tax from a non-exempt buyer,
regardless of what country he comes from, and THAT is what started the thread
(I think).

I was simply trying to demonstrate that states (at least my home state) go to
some extremes to collect the sales tax.

 

You are correct sir, and mirror the statements I made in another post
after "digging" into the pile of exre...er, precedent that is US law.

 

Yeah, we know Connecticut is nuts.

 

Nuts doesn't cover it... but thats for another forum.

You just observe it I have to LIVE it.

 

Well, I have to drive through it occasionally.

 

If you go on route 95 you probably pass within 100 ft. of my house..

Maybe farther than that, I never was any good at finding the missing side of
a triangle...

Im 75 ft. ABOVE the highway, and about 50 Ft South of the Northbound lane
(which actually runs east through Connecticut).

Next time you go by, I'll wave.

 

I'll let you know the next time I must travel to the Commonwealth of
Taxachussets.

 

Some states are more aggressive than others -- NY at least used to send
agents into NJ to track NY license plates at NJ malls, for example, and
send demand letters to NY residents. Some states also track US Customs
declarations from overseas travellers.

While the states can't make retailers in other states collect *sales*
tax, they can and do impose "use tax" on goods brought in from other
states, or from overseas. (Some states also track customs declarations
data for big-ticket use tax evasion, for example.) The big difference
for the states is the collection process -- retailers collect sales tax,
but consumers have to report and pay their own use taxes.

What states with high sales and use taxes really want is to force mail
order and internet retailers to collect taxes for them at the point of
sale. That's what the Supreme Court has consistently rejected, not
because the consumers don't owe the tax, but because the retailers aren't
in the taxing jurisdiction and aren't subject to its laws.

 

Quill and Lands End are two of the big direct-mail companies whose
resistance to sales tax collection has made it up to the Supreme Court if
I remember correctly. California has tried any number of times to impose
its tax collection burden on retailers in other states.

 

"Joshua Putnam" posted:
"...
California has tried any number of times to impose
its tax collection burden on retailers in other states.
...."

And been 100% successful.

Some advice ... don't mess with that entity known as "California State
Board of Equalization" ... they'll get you every time (and, they can be
rather MEAN about it).