Posted on 03/20/2011 5:52:30 AM PDT by Red in Blue PA
PITTSBURGH -- Channel 11 consumer reporter Robin Taylor spoke to a Hazelwood woman who said the state put a lien on her home after she purchased tax-free cigarettes online. While it's true you can buy some items online without paying taxes, cigarettes are not one of those items. The state of Pennsylvania said if they catch people buying cigarettes on the Internet without paying state taxes on them, they will issue fines. Rose Pitzarella said she smokes about three packs of cigarettes a day, a habit that has gotten so expensive that she has started to roll her own. For years, Pitzarella said she ordered cigarettes online from a website where she could get a tax-free carton for $13. But her days of purchasing the cigarettes online are over because she said the state caught her. "All of a sudden I get this letter that says I owe $1,500 taxes. I called the man up. I was upset. I can't afford to pay $1,500," said Pitzarella. Taylor reported that the federal government cracked down on cigarette dealers and forced them to hand over their customer lists to state leaders.
(Excerpt) Read more at wpxi.com ...
And people wonder why citizens are fed up with govt?
Oh my.
Cigarette taxes are a big deal. I am surprised the gov’t would go to this extreme however. I think the requirement to collect is on the vendor and she will be able to contest this.
ping
Imagine in twenty years....when we have birdfood taxes, dogfood taxes, wiper fluid taxes...and you start buying via internet sources from two states over...and this letter comes saying you owe $2200 for avoiding the state taxes.
The great part of this story is that the lady could have gotten in her car and drove to the Indian reservation involved and just bought them in person...in cash....and avoid any ID possibility.
It's not generally true in the legal sense. And it apparently is true in the practical sense for cigarettes, since she did it. The question is whether you can do it without getting caught.
That is, so long as the state law allows it. I can imagine states protectiing people's primary residence from such an action, just as bankruptcy law often protects your residence.
we already have bird food taxes....sales tax. Next step a national sales tax. Of course what the nimrods don’t think of is the chilling effect on the economy.
More proof that it is the government which has the worst addiction to tobacco. It really should start cutting back.
Indeed. We're already seeing this with taxes on plastic bags in some areas.
Wait until letters are sent out bybstate govts demanding taxes past due for everything ever purchased on the net.
And you thought we were at the start of a recovery.
Watch the economy crash.
OTOH, if she doesn't pay her property tax to give those hardworking public school gym teachers their $90,000 salaries & bennies so they can have two homes and Beemers, well the sheriff will come knocking.
You are incorrect, sir. Each state that has a sales tax has what they call a "use tax" requiring the buyer to self-report items bought out of state. It is a substitute sales tax that some deep pockets lawyer should contest.
The $1,500 owed in cigarettes taxes are now up to $6,000 with late fees and interest.
The state gets the $6,000 if she sells her house.
Hey PA, why bother collecting taxes on each pack of cigarettes, when you can just put a liens on every smokers house? That’s a great idea!
Which items are those?
You are supposed to pay state tax on online purchases in states that have it, Illinois this week started going after all online taxes - Amazon dumped state affiliated businesses.
Massachusetts has a Use Tax section on state tax forms that everyone is supposed to fill out for all out of state purchases - no one does it...They don't go after those YET, but buy cigarettes online, which is illegal now (PACT act), you'll get a bill.
$1,500 tax bill comes to roughly 94 cartons of cigarettes ($16 PA state tax per carton) - most likely bought over years.
Why should a company be forced to collect taxes from someone else to give the government?
Why should this lady have to pay late fee’s and penalties. Charlie Rangel never paid them?
I know ,I know, He is a Black, a Representative , a Democrat, and part of the entitlement class.
land of the free, home of the...
Land of the FEE, home of the Depraved.(Gov't)
well, that rhymes...
;)
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