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  • Results 1 to 7 of 7
    1. #1
      masterofcatastrophe's Avatar
        masterofcatastrophe is offline Legendary Wizard

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      Did I just get taxed?

      So i headed immediately to the wizard101 website to get me some crowns due to the rare sale finally and after check out there was a tax applied...i dont remember ever having to pay tax on wiz purchases over the last years...

      Is this a new law or something that I'm not aware of?

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      Last edited by masterofcatastrophe; 8-9-20 at 5:49:33 PM.

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    2. #2
      Willowdreamer's Avatar
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      Re: Did I just get taxed?

      Quote Originally Posted by masterofcatastrophe View Post
      So i headed immediately to the wizard101 website to get me some crowns due to the rare sake finally and after check out there was a tax applied...i dont remember ever having to pay tax on wiz purchases over the last years...

      Is this a new law or something that I'm not aware of?

      Name:  SmartSelect_20200809-152934_Chrome.jpg
Views: 231
Size:  27.2 KB
      Yep - internet sales are taxed based on your home state. It's been that way for a couple of years now.

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    3. #3
      masterofcatastrophe's Avatar
        masterofcatastrophe is offline Legendary Wizard

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      Re: Did I just get taxed?

      Quote Originally Posted by Willowdreamer View Post
      Yep - internet sales are taxed based on your home state. It's been that way for a couple of years now.

      I just checked 2019 purchases and I was never taxed

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      Edit: I just researched about this and apparently Michigan started taxing out of state purchases starting october last year. That's why I probably didn't get charged because my purchases were made prior to the effectiveness of the law. Another reason I shouldve bought a ton of crowns to hoard for the years to come lol. I wish I knew...
      Last edited by Willowdreamer; 8-9-20 at 11:45:53 PM. Reason: removed outside link

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    4. #4
      Legendary Rose's Avatar
        Legendary Rose is offline Grandmaster Wizard
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      Re: Did I just get taxed?

      Quote Originally Posted by masterofcatastrophe View Post
      I just checked 2019 purchases and I was never taxed

      Name:  SmartSelect_20200809-164712_Chrome.jpg
Views: 226
Size:  190.8 KB

      Edit: I just researched about this and apparently Michigan started taxing out of state purchases starting october last year. That's why I probably didn't get charged because my purchases were made prior to the effectiveness of the law. Another reason I shouldve bought a ton of crowns to hoard for the years to come lol. I wish I knew...
      Yep! When most of your purchases are through online vendors, states tend to lose out on sales tax, since it's tacked onto the end. The same thing happened in June of last year in my state, and I noticed that a number of Steam purchases I made added the standard rate for where I live. Location's usually a dead giveaway when you add your billing information.

      My only complaint about this method is that it's difficult to necessarily calculate on the fly at times, sales tax should just be baked into the product. But as I type that, it makes it more difficult when the purchases come in at different rates per state (7.5% here, 6% in MI, 4.5% in NYC, 5% in ND, etc).
      Last edited by Willowdreamer; 8-9-20 at 11:46:36 PM. Reason: edited quote to match
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    5. #5
      masterofcatastrophe's Avatar
        masterofcatastrophe is offline Legendary Wizard

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      Re: Did I just get taxed?

      Quote Originally Posted by Legendary Rose View Post
      Yep! When most of your purchases are through online vendors, states tend to lose out on sales tax, since it's tacked onto the end. The same thing happened in June of last year in my state, and I noticed that a number of Steam purchases I made added the standard rate for where I live. Location's usually a dead giveaway when you add your billing information.

      My only complaint about this method is that it's difficult to necessarily calculate on the fly at times, sales tax should just be baked into the product. But as I type that, it makes it more difficult when the purchases come in at different rates per state (7.5% here, 6% in MI, 4.5% in NYC, 5% in ND, etc).
      Wish I knew this would happen lol

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    6. #6
      JaredSpellFrost's Avatar
        JaredSpellFrost is offline Grandmaster Wizard

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      Re: Did I just get taxed?

      @masterofcatastrophe

      Perhaps you could try using a VPN to change your location to avoid the tax? ...Or would this count as some sort of tax evasion?

      Disclaimer: @JaredSpellFrost is not a layer, and therefore cannot be held accountable for any advice taken resulting in undesirable results


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    7. #7
      masterofcatastrophe's Avatar
        masterofcatastrophe is offline Legendary Wizard

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      Re: Did I just get taxed?

      [QUOTE=JaredSpellFrost;5610804]@masterofcatastrophe

      Perhaps you could try using a VPN to change your location to avoid the tax? ...Or would this count as some sort of tax evasion?

      Disclaimer: @JaredSpellFrost is not a layer, and therefore cannot be held accountable for any advice taken resulting in undesirable results

      That wont work because the payment method will have the address anyways. They dont calculate tax until you input payment info, so it's not determined by IP for a vpn to be useful in this case
      Last edited by masterofcatastrophe; 8-9-20 at 11:01:51 PM.

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