Maine Sales Tax Question

12 posts / 0 new
Last post
Michelle Anderson
Online
Joined: 11/03/2003 - 1:01am
Maine Sales Tax Question

I have, of late, been buying stuff from Pampered Chef, a corporation in Illinois.

They charge me sales tax for the merchandise as well as sales tax on the shipping and handling.

I talked to someone at their corporate offices, and they assure me that they pay all of those taxes to the state of Maine, but I am confused:

Does Maine require sales tax on shipping and handling charges?

Is there a way to declare these purchases but opt out of use taxes for them, given that PC is claiming that they pay the taxes here?

Robert
Offline
Joined: 04/01/2005 - 1:01am
I don't know if this helps.
samadams
Offline
Joined: 08/15/1999 - 12:01am
It's the word 'handling' that

It's the word 'handling' that makes it taxable. If the invoice said only 'shipping', then the shipping charges would not be taxable. It's the way they word the invoice that's screwing you.

Henry Simmons
Offline
Joined: 11/14/2010 - 11:37am
.....hhmmmm.........new

.....hhmmmm.........new career Michelle??
http://www.pamperedchef.com/join_us/join_us.jsp

Michelle Anderson
Online
Joined: 11/03/2003 - 1:01am
Thank you guys. I understand

Thank you guys. I understand now. I was thinking that there was double payment going on, with PC saying they were paying Maine, and me having to declare use taxes for the purchases. I see now that I can leave these purchases off my taxes.

And I guess I'll have to capitulate to the shipping and handling wording because it's impossible to get hold of anyone who understands the problem.

[quote].....hhmmmm.........new career Michelle??[/quote]

Not at all, Henry. I'm just a consumer. (I have a good friend who sells for them, and I am happy to attend "parties" and end up with cooking stuff. (It's why I've started the "Tonight's Dinner" notes on my Facebook page.

After 3 years of eating almost nothing but frozen foods, I have expanded my cooking to include actual cooking (and low-fat, low-calorie at that!)

woodcanoe
Offline
Joined: 02/22/2005 - 1:01am
I buy a few things online as

I buy a few things online as I highly dislike the 'Walmart experience" and prefer the ease of shopping from home. I have not run into any company in another state that collects sales tax from anyone but people who are residents of the state they do business in.

The states are all interested in their being some kind of uniform sales tax but there are huge questions about how this would happen, and be enforced.

I have bought a couple of things in Europe. How would anyone in the USA be able to compel someone in another country to collect taxes for them.

Can the Maine AG's office go after a company in another state?

If they do come up with some sort of sales tax that applies all over the USA they will just drive more business out of the country than they already have I think.

WC

Swampy
Offline
Joined: 09/07/2006 - 6:28am
I thought the only way a

I thought the only way a company is compelled to collect sales taxes for on-line purchases would be if that company had a store in Maine. This happened to me with Cabelas once they opened the Scarborough store. So now i have merchandise shipped to the store to avoid paying shipping charges but still pay the sales tax.

Roger Ek
Offline
Joined: 11/18/2002 - 1:01am
When Cabelas was considering

When Cabelas was considering coming to Maine they were in negotiations with Maine not to collect sales tax on computer ordered purchases. I have not heard how that came out.

FLNext
Offline
Joined: 11/21/2006 - 7:18am
WC: "Can the Maine AG's

WC: "Can the Maine AG's office go after a company in another state?"

If memory serves Maine requires businesses that have a physical presence in the state to collect sales tax on internet purchases. The state "played chicken" with Cabela's, and won even though the internet catalog operation is a separate corporation from the retail operation.

Naran
Offline
Joined: 10/06/2004 - 12:01am
That's correct, FL, from what

That's correct, FL, from what I recall of that situation with Cabela's.

Michelle - if you've paid sales tax once (or twice, as it appears you're doing), you shouldn't declare those purchases on your Usury Tax form. That tax is only for those out-of-state purchases on which you didn't already Render unto Caesar.

I would, however, be very interested to see whether Pampered Chef is truly rendering all those taxes unto Caesar. Myself, I've never paid a sales tax on a S&H fee.

FLNext
Offline
Joined: 11/21/2006 - 7:18am
Shipping and

Shipping and handling--"Handling" implies labor and there is no sales tax on labor in Maine, thanks to voters.

tim
Offline
Joined: 08/07/2002 - 12:01am
handling is in fact taxable

handling is in fact taxable if the purchase itself is taxable and not exempt. It is considered by the state to become part of the cost of the merchandise. If it is separated from shipping only the handling part is taxable. Again if it is production equipment or some other exempt purchase the entire amount is exempt.

Log in to post comments