Heritage tax on coins in Ohio - very disappointing

I recently picked up some stuff on Heritage and did not realize they were charging tax on coins in Ohio now. I really like the variety of pieces they offer but am sad that my bids will no longer be competative since I have to factor in the additional almost 7%. Needless to say I am quite disappointed. Anyone else running into problems like this on their states?

 

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Nope. Good old Missouri has no tax on collectible coins and bullion.

 

Texas is clear, and thanks for warning me about Ohio, I will make sure to stay far away from the scary place.

 

Looks like they collect state sales tax now for: ohio, Michigan, Hawaii, kentucky, Maine, Mississippi.

 

Is it the laws in those states that require Heritage to collect the tax?

 

I was under the understanding that ohio did not charge sales tax on coins with a precious metals content of over 50%, which is most of my collecting interest. But when I won something recently, Heritage told me they charge taxes on any coins in ohio that arent bullion and have a value of less than $1500 because they aren't considered "investment coins". Such a crock of BS. Ohio (or Heritage) needs to get its crap together.

 

Wonder if there's a way for you to reclaim the incorrectly-charged sales tax when you file your state taxes?

 

I recently bought a coin at a Stack’s post-auction sale. 9.5 percent Louisiana sales tax added. They said the tax is charged on any invoice totaling less than $1,000.

This Internet sales tax has the promise of being one huge mess.

 

Question: what dictates the state for taxes? Is it the billing address or the shipping address? Might want to try privacy.com and just pay with one of their credit cards. You can specify any billing information you want.

It's also just a great service if you don't really trust a site with your real credit card number.

EDIT: Could also use a VPN service if it's based on IP lol

 

Agreed. I sent them a copy of my resale certificate being a dealer/ collector I’ll just run all of it through my business

 

Hey Goon , are you in Texas? I live in Houston, actually Katy, a suburb of Houston.

Texas actually does have sales tax on virtually everything sold on the internet within the state , i.e. from one Texas resident to another Texas resident, however , it's up to the seller to collect it, keep track of it, and remit it to the state, and most just do not.
On bullion and collectable coins, the tax is on ALL sales up to $1500.00 in one transaction. After that figure, there is no tax. Some of my local eBay sellers charge it, some do not.
It seems the difference may be whether the seller has a physical store and owns a business whose records are subject to inspection.
The typical from-home-seller probably does not charge it.

I base that opinion on my experience with the many Texas eBayers I buy from.

Google " Texas sales tax on internet sales " and you'll get a more definitive answer.

 

I pay sales and use tax in Virginia for all my in-state sales. Every month, someone emails me saying something like, "You charged me $xx.xx extra for this coin. Please refund me! I did not agree to pay this amount!" Then I have to explain that the extra money they paid doesn't go in my pocket, because I have to send it right back to VA on the 18th of every month. It isn't that hard, but it is a required monthly filing that I have to make and keep track of.

 

Individual states can require online sellers to collect state sales tax on their sales, but they have to have a law passed by that state to do so. This places the burden to collect taxes on the seller, and I think that it is up to the states to decide if they keep all the money, even from out of state buyers or if they have agreements with other states. But essentially, this all came true in June of this year with a Supreme Court decision on South Dakota vs, Wayfair, Inc.

I predict in the future more states will pass laws and this will become common.

 

The changes to state sales tax laws are starting to kick in. Every state has an open ticket to do what they want.
This is also going to give the IRS more ways to track money. It's time to get your house in order.

 

I am ok with sales tax on items from out of state sellers for other goods, but have not had to pay taxes on coins before. It's just aggravating since ohio has changed their law multiple times and then i get hit with a tax that I didn't know existed after buying a coin.

 

I’m in Ohio and since 1/1/2017, there is no sales tax on coins with 50% or more precious metal content up to, I think, $10,000 dollars. Heritage needs to be informed of Ohio’s exemption.

 

Oh yeah, I do recall now having tax at the coin store. Only the dude at the coin store is cool and decided the tax was on him. Ah well, can´t escape sales tax no matter where you go can you? Then again I have never spent more than 100$ at once so who really knows. I don´t, I am a big doof anyhow

 

I buy 40% halves without tax at my LCS, but War nickels are taxed, because 35% silver. All copper coins are taxed as well in Ohio.

 

That was my impression also, and I told that to Heritage but they told me I was wrong. Something about the pieces not being "investment" coins even though they were about 400 each, and were silver ancients.

 

All of these taxes and buyers premiums are going to keep the little guys away from buying things. So if you hit the hammer on a $500 coin from Heritage (per their website) you are charged 25%, plus the 7% tax in Ohio, the total is going to be $660. Thats ridiculous. Absolute absurd.