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Done with Newegg.

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ratbuddy

Member
Joined
Aug 24, 2007
Apparently they voluntarily gave their customer data for 2014, 2015, 2016 to Connecticut tax authorities. Why do I care? Because I purchased gifts there for people who live in other states, shipped directly to them, and CT now thinks I should pay 'use tax' for those items, even though I'm not using them and they never even entered the state of Connecticut. Apparently Newegg didn't bother to tell them the items weren't actually shipped here, just how much I spent. I'll find another vendor who isn't going to stab me in the back.
 

JLK03F150

What have I done! Member
Joined
May 17, 2005
Location
Georgia
No, he has a tax bill from Connecticut asking for their 6%.
Edit. Personally I'd be more angry with the state than with Newegg.

Connecticut law requires you to self-report the purchase and pay use tax in lieu of sales tax. For years, many have flouted this requirement with little to no consequence, as means of effective enforcement simply did not exist. However, this week the Connecticut DRS made waves by sending out use tax assessments for prior years to customers of at least one online retailer: Newegg.com.

The State of Connecticut Department of Revenue Services (DRS) apparently began an initiative to strong-arm online retailers without a presence in Connecticut into disclosing customer purchase data, which the DRS could then use to make assessments against taxpayers who failed to report and pay use tax of their own volition. Newegg appears to have relented, handing over a list of purchases shipped to Connecticut residents in the past few years. From this, the Connecticut DRS appears to have generated automated use tax bills that are have left many Connecticut taxpayers feeling confused, angry, and violated.

link
 
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Alaric

New Member
Joined
Dec 4, 2011
Location
Satan's Colon, US
From the link in post #3
Newegg appears to have relented, handing over a list of purchases shipped to Connecticut residents in the past few years.

Looks like an out if you can print the orders out with shipping addresses.

According to this https://www.insidesalt.com/2017/07/connecticut-will-make-you-disclose-personal-customer-data/ newegg shouldn't have given them the info if it wasn't shipped to CT. And you aren't liable for the use tax burden because the items weren't used in CT.



The Connecticut Department of Revenue Services (DRS) recently issued demand letters to many remote sellers requiring that they either: (a) provide electronic sales records for all individual sales shipped to a Connecticut address over the past three calendar years; or (b) register to collect and remit Connecticut sales and use tax.
 
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Blaylock

"That Backfired" Senior Member
Joined
Jun 5, 2013
Location
Go Blue!
I wouldn't be too upset at Newegg. They are only protecting their business interest and trying to stay within the letter of the law. I'm not sure if they are required to release this information or not, but I'm sure they are just cooperating with what they have been directed to do.
 

Pinky

Member
Joined
Apr 21, 2001
Location
Las Vegas, NV
And newegg is now a Chinese company. China's view of what government entities can and can't do is a little skewed.

China's government's views on what governments can/can't do is certainly skewed, but I would imagine Chinese businesses share a similar anti-government slant that most of the US based businesses embrace.

I doubt Newegg's business ownership is a factor here.
 

Johan45

Benching Team Leader Super Moderator
Joined
Dec 19, 2012
Technically ratbuddy should have declared this on his taxes and paid the gov't what they perceive is their share but that wasn't the case since it wasn't technically being enforced. Since then the CT gov't has has gotten a list of purchases mad eand is now collecting back taxes owed to them which ratbuddy will have to pay or prove to the CT gov't that he doesn't owe them since purchases were sent out of State.
Here we call it GST and doesn't matter who it's always charged at point of sale and the gov't gets their slice.
 
OP
ratbuddy

ratbuddy

Member
Joined
Aug 24, 2007
No need to declare for state use tax, things which never entered the state. These purchases were/are not supposed to be subject to any form of CT taxes.
 

Alaric

New Member
Joined
Dec 4, 2011
Location
Satan's Colon, US
No need to declare for state use tax, things which never entered the state. These purchases were/are not supposed to be subject to any form of CT taxes.

That's what I gathered. It seems either CT demanded all CT related info or newegg just sent them everything on their own, rather than actually checking the relevant laws and handing over only what they're (CT) entitled to have. A government entity demanded info they weren't entitled to without a warrant=constitutes a 4th Amendment violation. A private entity giving out personal information without being presented said documentation=civil rights violation. Either way, someone stepped on their willy and there should be repercussions, but I doubt that will happen. The best outcome you can probably hope for is present your evidence and CT rescinds its demand for money not owed them.
 

JLK03F150

What have I done! Member
Joined
May 17, 2005
Location
Georgia
I am sure newegg sent data based on your Bill To. Sadly it is going to be on you to provide the Ship To information to prove CT isn't entitled to that income. Guilty until proven innocent. Wait.. what!!!:mad:
 
OP
ratbuddy

ratbuddy

Member
Joined
Aug 24, 2007
I think there's a supreme court case right now relating to this, CT probably trying to grab cash while they still can. Either way, Newegg betrayed my trust, so I won't spend any more money with them.
 

Alaric

New Member
Joined
Dec 4, 2011
Location
Satan's Colon, US
Amazon caved long ago, but put a proper system in place. I get taxed (through Amazon) for items they had in my state, and delivered to me in state. Everything else is tax free. Which is good, because the taxes here are rather stupidly set up.
 

UltraTaco

Member
Joined
Oct 28, 2017
Oo!! So *this* is the tax thing that started not very long ago with Amazon? If they have warehouse in your state, you get taxed, or is it something else ?

I didn't like it the moment they implemented it. Tax free online was the major perk for buying electronics for me!