Stop Getting Scammed!

3 out of 5 Scam Rating

That’s right, the People’s Republic of New York is scamming its citizens once again with a new illegal and unconstitutional Internet tax.  This time New York State is imposing tax on all Internet based purchases for goods that are delivered into the People’s Republic of New York (also known as New York State for those of you who do not live in this wonderful state).  A new interpretation of the law by New York State is being used to go after every online retailer that wants to ship goods to New York State hoping to collect 8% sales tax, the newest and greatest Internet Tax of the millennium.

Here is the Letter sent by online retailer NewEgg.com which has no shops in New York, not points of business in New York, and legally is not mandated, required nor obligated to collect and remit sales tax to the Peoples Republic of New york.

Dear Valued Newegg Customer,As a result of recent changes in the State of New York Tax Law requiring certain out-of-state retailers to collect and remit sales taxes to the State of New York, we regrettably inform you that Newegg.com must begin collecting applicable state and local sales tax for all orders shipped to New York addresses on or after June 1, 2008.

Qualified business customers can continue to use the Newegg.com Sales Tax Exempt Form.

We value our relationship with you and all of our New York customers. We apologize for any inconvenience caused by this change in New York law and assure you that we will continue to work hard to offer you the best prices, fastest shipping and award winning customer service you deserve.

We look forward to continuing to provide you with the premier online shopping experience for all of your IT and Consumer Electronics needs.

Sincerely,

NewEgg.com along with other major online only retailers such as Amazon.com and
Overstock.com have been served notice by New York State to collect and remit these taxes, as well as to provide detailed records of past year purchases of New York State residents to assist in tax audits to make sure citizens have been paying their sales taxable purchases properly.

Here is the New York State Sales Tax Report detailing how and what sales taxes are for.  However, the regulation of interstate commerce is solely in the domain of the federal government, and the state of New York has no authority to levy taxes on a transaction made with an organization based in another state. This new interpretation of the law simply put is a scam, a sham, and entirely unconstitutional.  At the moment only Amazon is fighting back by filing suit against the Internet Tax Scam by the People’s Republic of New York and Overstock.com has chosen to currently ignore collection of the sales tax. 

For those fortunate enough to live within the confines of the People’s Republic of New York (who enjoy the highest state income tax rates in the nation, among the highest rates for gas, public road tolls, licenses and overall costs of living due to over-regulation) have already been PAYING their sales taxes associated with out of state online purchases thanks to the new personal tax returns for New York state which incoroporate an automatic amount due based on your income already.  In other words, New Yorkers are now being scammed into paying twice for all out of state goods purchased, 8% by the online retailers like NewEgg.com, and again at the end of the year on their personal tax returns for the estimated out of state purchases. 

 
We here at StopGettingScammed.com wish to offer The People’s Republic of New York 3 out of 5 Scam Stars for their new Internet Tax.

3 out of 5 Scam Rating

This entry was posted on Tuesday, May 27th, 2008 at 4:16 pm and is filed under Government Scams, Internet Scams. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.