Hermes starts charging tax for sending to states with no store?

[Newbie2016]

FYI...there is a thread about this from earlier this year:
https://forum.purseblog.com/threads...-for-sending-to-states-with-no-store.1004473/

...but this has more to do with the Supreme Court ruling last summer and your state regulations. So yes...even if you don't have a store gradually almost all states are requiring out of state retailers to charge sales tax. The only states not affected will be the five that don't have a sales tax...Alaska, Delaware, New Hampshire, Oregon, and Montana.

 

[dooneybaby]

FYI...there is a thread about this from earlier this year:
https://forum.purseblog.com/threads...-for-sending-to-states-with-no-store.1004473/

...but this has more to do with the Supreme Court ruling last summer and your state regulations. So yes...even if you don't have a store gradually almost all states are requiring out of state retailers to charge sales tax. The only states not affected will be the five that don't have a sales tax...Alaska, Delaware, New Hampshire, Oregon, and Montana.

Oh, thanks so much. Didn't see it before.

 

[Birkinitis]

I just purchased a great Carolina Herrrera tote in Chicago and had it shipped to Wisconsin and there was no sales tax charged. I purchased a necklace from Hermes (right down the street from Herrera shop) this weekend and shipped it to Indiana and they charged me Indy sales tax. The Chicago Christolfe store told me that they would ship from Chicago to Indy and not charge me sales tax. I still can not understand the law and how some boutiques can get around it.

 

[acrowcounted]

I just purchased a great Carolina Herrrera tote in Chicago and had it shipped to Wisconsin and there was no sales tax charged. I purchased a necklace from Hermes (right down the street from Herrera shop) this weekend and shipped it to Indiana and they charged me Indy sales tax. The Chicago Christolfe store told me that they would ship from Chicago to Indy and not charge me sales tax. I still can not understand the law and how some boutiques can get around it.

I don't shop with either of those other brands but it looks like Herrera doesn't have an online store so that would exempt them. As for Christolfe, did you actually purchase something or are you going by what they told you? SAs aren't always the most knowledgeable about tax changes...

 

[LilC0322]

My state doesn’t have an H store. Ordered an SLG March 8 online, and didn’t get charged tax.

I’m going to kick myself for not buying an evelyne PM last mont, if I get charged tax next time.

 

[Newbie2016]

I don't shop with either of those other brands but it looks like Herrera doesn't have an online store so that would exempt them. As for Christolfe, did you actually purchase something or are you going by what they told you? SAs aren't always the most knowledgeable about tax changes...

I just purchased a great Carolina Herrrera tote in Chicago and had it shipped to Wisconsin and there was no sales tax charged. I purchased a necklace from Hermes (right down the street from Herrera shop) this weekend and shipped it to Indiana and they charged me Indy sales tax. The Chicago Christolfe store told me that they would ship from Chicago to Indy and not charge me sales tax. I still can not understand the law and how some boutiques can get around it.

I actually read up up on parts of this law and think I might have an explanation. Many of the states have allowed "small seller exceptions". Here is wording from Indiana's tax law:

INDIANAPOLIS (AP) — Indiana residents purchasing products online from out-of-state sellers will soon be charged the state's 7 percent sales tax.
The law requires retailers who annually sell at least $100,000 in the state or do business with more than 200 Indiana customers to collect and remit state sales tax. Previously, only businesses with a physical presence in a state had to collect sales tax.

I imagine Christofle may not meet this threshold in Indiana. Wisconsin likely has a similar law and Herrera probably doesn't meet that threshold. My guess is Hermes would charge in both states because their sales and/or number of customers will be high enough.

 

[leechiyong]

I actually read up up on parts of this law and think I might have an explanation. Many of the states have allowed "small seller exceptions". Here is wording from Indiana's tax law:

INDIANAPOLIS (AP) — Indiana residents purchasing products online from out-of-state sellers will soon be charged the state's 7 percent sales tax.
The law requires retailers who annually sell at least $100,000 in the state or do business with more than 200 Indiana customers to collect and remit state sales tax. Previously, only businesses with a physical presence in a state had to collect sales tax.

I imagine Christofle may not meet this threshold in Indiana. Wisconsin likely has a similar law and Herrera probably doesn't meet that threshold. My guess is Hermes would charge in both states because their sales and/or number of customers will be high enough.

It's the retailer as a whole, though, so Hermes as a company, not the individual boutique. There is the possibility that Hermes doesn't meet that criteria, but from an implementation standpoint for their POS systems, it's easier to apply taxes across the board rather than risk hitting the $100,000/200 customer minimum, then have to back calculate taxes and pay those. I suspect this is more a training discrepancy than anything else.