Legal Question

[hex1848]

That sounds like a rumor a local tobacconist started to keep people from shopping online....

[hex1848]

Here is a thread on CA about this very thing:

http://forums.cigaraficionado.com/ev...75/m/805101563

My favorite post is this one:

Don't you own your local B&M?


B.A.S.E. Secretary and #0013 <(0)>
R.O.C.A #14
Foreign Affairs Minister - BS

Apparently CI did a story on this:

We did a story on this in a recent Cigar Insider, and had a smaller piece on the web.

We're working on a follow up regarding a development that happened last week, which will appear in Tuesday's Cigar Insider.

Anyone have access to Cigar Insider and can share some info?

[jbo]

That sounds like a rumor a local tobacconist started to keep people from shopping online....

I was thinking this same thing...It's not above my friend to tell tall tales...but this one struck a chord with me because I didn't want a bill coming to my door. However, after having read the other posts, it makes me wonder if there isn't something to it. I wonder if there is a "magic" amount that would trigger the government's interest. After all, it does seem to be a rare occurance.

Thanks to everyone for their help.

[nhcigarfan]

After reading those links I once again am happy to live in the "Live Free or Die" state of New Hampshire. No cigar tax, and none of this bull shit.

Wooo Hooo

[cigar no baka]

After reading those links I once again am happy to live in the "Live Free or Die" state of New Hampshire. No cigar tax, and none of this bull shit.

Wooo Hooo

I feel the same about Texas, the "Don't Fuck with us and we Won't Fuck with You" state!!

We have a cigar tax here. It's 1 cent a stick. So if I have to pay tax on my online orders fine, I have a penny jar I'll send to you and let you count it.

[HarvInSTL]

I was in Tacoma washington for a few months and their attorney general made a huge stink about people ordering cigarettes from online vendors and shipping them into washington and not paying their tobacco tax.

This was back in 2003 and cigarettes were almost $8.00 a pack because of their tobacco tax.
I remember reading an article about the attornery general going after the consumer for the taxes, but if I'm reading their tax laws properly they should be going after the vendor, not the consumer.

As well regardless if the company you purchase from says that the taxes are your responsibility it will depend on your state law.

Washington WAC 458-20-185
http://apps.leg.wa.gov/wac/default.aspx?Cite=458-20-185

I'm not a tax lawyer so please let me know if I'm not understanding it properly.

http://www.stateline.org/live/ViewPa...ontentId=29157

[nhcigarfan]

Interesting. But once again I state -

After reading those links I once again am happy to live in the "Live Free or Die" state of New Hampshire. No cigar tax, and none of this bull shit.

Wooo Hooo

[hex1848]

When you want to know the answer to something, speak with someone at the company that the rumor is about. I called Thompson’s and got transferred a few times and ended up at someone’s voicemail box. I’m pretty persistent. Let’s see if I get a reply.

Usually people would want to squash a rumor if it isn't true.

[brian]

I would think that you wouldn't have to pay any taxes unless you live in the state from which the purchase is coming from. Why would say Virginia want to collect taxes off of tobacco you purchased from Florida, seems weird to me but you know gov'ts...always wanting their share...of your money...

[hex1848]

Hmm... this link was posted in that CA thread:

http://www.rev.state.la.us/sections/publications/viewrelease.asp?id=172

I guess there is some merit to this. What state do you live in jbo?

[jcruz1027]

http://www.google.com/search?q=cache...efox-a&strip=0

Some more merit although everything I find is mostly in regards to cigarettes but hey we get lumped together.

Hmm... this link was posted in that CA thread:

http://www.rev.state.la.us/sections/publications/viewrelease.asp?id=172

I guess there is some merit to this. What state do you live in jbo?

[jbo]

Hmm... this link was posted in that CA thread:

http://www.rev.state.la.us/sections/publications/viewrelease.asp?id=172

I guess there is some merit to this. What state do you live in jbo?

Arkansas

[Empire23]

Yeah that just sounds like a myth. Theres no way that UPS would know whats inside those boxes unless maybe its going over country borders and then I think it has to be stated whats inside it.

[Bassfever]

Holy Chit! I wouldn't doubt for a minute Mass would jump on board with this.

[yoink]

Here is the problem with whole thing. When you buy something off the internet you have to pay the shipping and handling plus tax right there. They bill you credit card right away. You don’t get something days later saying that you now have to pay the tax. Sounds like a funny story to me and I wouldn't trust it at all













"smoke with your taste not your mind"

[HarvInSTL]

Here is the problem with whole thing. When you buy something off the internet you have to pay the shipping and handling plus tax right there. They bill you credit card right away. You don’t get something days later saying that you now have to pay the tax. Sounds like a funny story to me and I wouldn't trust it at all

Normally for any purchases made online you only have to pay tax if they have a business pressance in your state.

If I walk into a local cigar shop and buy a $6 cigar, my cigar really didn't cost $6. It might have cost $5.35 plus the tobacco tax. Its easier for a retailer to include the tobacco tax into the cost of a cigar because they are taxed based upon their cost of the cigars. You then pay sales tax upon that $6.

If I buy a $6 cigar online and they don't have a business pressence in my state I don't pay the state tobacco tax, yet I legally should.

I guess we should explain tax a little bit better. (I'm using my home state of Missouri as an example) http://www.dor.mo.gov/tax/business/tobacco/

On cigarettes in the state of missouri there is a cigarette and other tabacco tax of 17 cents per pack of 20 cigerettes and 21.25 cents on packs of 25.

The other tobacco tax, which would include cigars is 10% of the manufacturer’s invoice price before discounts and deals.

This is in addition to the state sales taxTaken directly from their FAQ, and to my knowledge all other states follow the same idea

If I purchase cigarettes or other tobacco products from the Internet, are the taxes still due?
Yes, you would be required to report your purchases to the department and pay applicable cigarette or other tobacco product tax and state and local sales/use taxes.

The benefit of us purchasing online is a.) normally lower costs, b.)technically we don't pay sales tax, yet legally we should, c.) normally selection online is far greater than selection in store

I pay 50-70% less online than I would in store, so even if I have to pay that 10% tobacco tax I'm still coming out way ahead than if I bought locally.

[Kenyth]

I'm doubting they could or would take you to court on this. Talk to a lawyer. You probably just have to reply asking for documentation of any taxes assessed in accordance with state law. They'll have a devil of a time coming up with it. That's why they want you to provide the invoices.

I'm guessing they could withhold your tax return for this, if you are owed any back that is.

[CoventryCat86]

Normally for any purchases made online you only have to pay tax if they have a business pressance in your state.

If I walk into a local cigar shop and buy a $6 cigar, my cigar really didn't cost $6. It might have cost $5.35 plus the tobacco tax. Its easier for a retailer to include the tobacco tax into the cost of a cigar because they are taxed based upon their cost of the cigars. You then pay sales tax upon that $6.

If I buy a $6 cigar online and they don't have a business pressence in my state I don't pay the state tobacco tax, yet I legally should.

I guess we should explain tax a little bit better. (I'm using my home state of Missouri as an example) http://www.dor.mo.gov/tax/business/tobacco/

On cigarettes in the state of missouri there is a cigarette and other tabacco tax of 17 cents per pack of 20 cigerettes and 21.25 cents on packs of 25.

The other tobacco tax, which would include cigars is 10% of the manufacturer’s invoice price before discounts and deals.

This is in addition to the state sales taxTaken directly from their FAQ, and to my knowledge all other states follow the same idea



The benefit of us purchasing online is a.) normally lower costs, b.)technically we don't pay sales tax, yet legally we should, c.) normally selection online is far greater than selection in store

I pay 50-70% less online than I would in store, so even if I have to pay that 10% tobacco tax I'm still coming out way ahead than if I bought locally.

Not true. In Connecticut (and most other states with a sales tax) YOU are responsible to keep track of your purchases and pay the state sales taxes on them if the merchant didn't collect it from you. There's a line on the Connectciut tax return forms for this.

[ggiese]

Normally for any purchases made online you only have to pay tax if they have a business pressance in your state.

If I walk into a local cigar shop and buy a $6 cigar, my cigar really didn't cost $6. It might have cost $5.35 plus the tobacco tax. Its easier for a retailer to include the tobacco tax into the cost of a cigar because they are taxed based upon their cost of the cigars. You then pay sales tax upon that $6.

If I buy a $6 cigar online and they don't have a business pressence in my state I don't pay the state tobacco tax, yet I legally should.

I guess we should explain tax a little bit better. (I'm using my home state of Missouri as an example) http://www.dor.mo.gov/tax/business/tobacco/

On cigarettes in the state of missouri there is a cigarette and other tabacco tax of 17 cents per pack of 20 cigerettes and 21.25 cents on packs of 25.

The other tobacco tax, which would include cigars is 10% of the manufacturer’s invoice price before discounts and deals.

This is in addition to the state sales taxTaken directly from their FAQ, and to my knowledge all other states follow the same idea



The benefit of us purchasing online is a.) normally lower costs, b.)technically we don't pay sales tax, yet legally we should, c.) normally selection online is far greater than selection in store

I pay 50-70% less online than I would in store, so even if I have to pay that 10% tobacco tax I'm still coming out way ahead than if I bought locally.

"Experts" who don't know how to spell...

And then to mispell the same word two different ways... Or spell it right one time, and incorrectly another...