Buyers pay more fees: Heritage email on honoring State Sales tax

I received an email stating Heritage auctions will be changing their policy on State sales taxes and by the next auction (which I already have bids on) then I must pay those to my State even though Heritage has no presence in my State.

Did anyone get the same?
Anyone else considering getting a PO Box in sales tax free places, like Oregon...

Thank you

Comments

  • goldengolden Posts: 5,071 ✭✭✭✭✭

    I got the same message. I was going to bid on a note in the next sale. When I figured the minimum bid plus the buyers fee plus the sales tax it is more than the note is worth. Even if I get a dealer to bid and then ship to me it is very ,very marginal. I will pass. :'(

  • synchrsynchr Posts: 755 ✭✭✭

    I have been bidding with them for almost 20 years and over that time the fees have really started to add up ...

  • tomtomtomtomtomtomtomtom Posts: 266 ✭✭✭

    "Please note: As of September 1st, Heritage Auctions will be required by state law to charge applicable sales tax on any items delivered to addresses in Massachusetts for the following categories: Art & Antiques, Coins (for purchases less than $1,000), Comics, Currency, Entertainment, Historical, Jewelry, Timepieces & Luxury Accessories, Movie Posters, and Sports."

    In Mass, as long as you spend more $1000...no sales tax...guess I'll have to just buy more!

  • 2ndCharter2ndCharter Posts: 1,193 ✭✭✭

    Did not receive a letter because currency and coins are exempt from sales tax in South Carolina so, for me, full speed ahead on bidding!

  • I was notified months ago that Heritage would begin to collect sales tax on notes shipped to NJ addresses starting January 17, 2018 unless the buyer has a sales tax number. With the NJ sales tax rate currently 6.625%, I'm bidding one increment lower on lots I'm interested in than I would have bid if I didn't have to pay the sales tax. Heritage has no physical presence in NJ at this time. If I get outbid by someone who doesn't have to pay the sales tax, so be it.

    Separately, as the buyer's premium went from 15% to 20% now, I also reduced my hammer bids to reflect the higher buyer's premium. It's just common sense as it's the all-in number that I have to pay that's relevant, not the hammer number or the pre-sales tax number.

  • Timbuk3Timbuk3 Posts: 7,980 ✭✭✭✭✭

    Yup, Hawaii is included !!! :s

    Timbuk3
  • MR168MR168 Posts: 89 ✭✭

    Is Florida and Illinois still sales tax free for the currency?

  • Boy that sucks but it's nothing new for me. Sadly I have always had to pay California sales tax on HA notes and it's often times made the note far too expensive for me to buy. If it wasn't for sales tax I would be buying a lot more notes.

  • synchrsynchr Posts: 755 ✭✭✭

    Top of the recent auction is a banner stating

    "_**For Currency: Effective September 1st, Heritage Auctions is required by state law to charge applicable sales tax on any items in this category delivered to addresses in the following states: Colorado, Massachusetts, Michigan (for World Currency only), Oklahoma, Rhode Island, Washington. Exemptions include dealers with valid sales tax numbers who are purchasing for resale and who furnish us with a properly completed resale certificate, for the states listed above. See paragraph #25 in our Terms and Conditions for more information.

    NOTE: Please visit our other categories regarding other states with applicable sales tax.**_"

  • TheRegulatorTheRegulator Posts: 1,116 ✭✭✭

    I was just thinking of posting on this subject. The response from my question to Heritage made things even more confusing.

    Does anyone know if a purchase from auction and shipped to a Minnesota address will be charged Minnesota sales tax? According to the above post, no. With all the confusion, it seems like it would be smart for Heritage to have a simple bid/BP/sales tax calculator for their auctions. Thanks in advance.

    "When the people find they can vote themselves money, that will herald the end of the republic." -Benjamin Franklin
  • coinpalicecoinpalice Posts: 1,014 ✭✭✭✭

    the Seller suppose to charge tax on the item to Minnesota resident. if the seller doesn't collect the tax, the buyer must pay "use tax" on the item

  • MEC2MEC2 Posts: 275 ✭✭✭

    All states will be charged tax (except where exempt by law) by 1/1/2019, per my last face to face at Heritage. Helps me because I've been getting an 8.25% knucklebuster for a decade,.

  • 2ndCharter2ndCharter Posts: 1,193 ✭✭✭

    Helps me because I've been getting an 8.25% knucklebuster for a decade,.

    Not against me because, in South Carolina, currency and coins ARE exempt by law from sales tax. I would suggest that the folks in the high-tax states should: a) lobby your legislators to change the law or b) consider moving to a low tax state.

  • synchrsynchr Posts: 755 ✭✭✭
    edited September 6, 2018 7:49AM

    As of Sept 1, The Great State of Washington will now be gladly accepting your 10.6% contribution to their Sales Tax coffers - Thank you very much.

    There will be no promise of using it wisely ....
    https://www.seattletimes.com/seattle-news/transportation/levy-backers-foes-spar-over-whether-city-broke-earlier-vow-to-fix-roads/

  • TookybanditTookybandit Posts: 3,331 ✭✭✭

    10.6% OUCH!!!

  • tomtomtomtomtomtomtomtom Posts: 266 ✭✭✭

    changed my shipping address to my son's house in NH...no sales tax :)

  • ElmhurstElmhurst Posts: 396 ✭✭✭

    @synchr said:
    As of Sept 1, The Great State of Washington will now be gladly accepting your 10.6% contribution to their Sales Tax coffers - Thank you very much.

    There will be no promise of using it wisely ....
    https://www.seattletimes.com/seattle-news/transportation/levy-backers-foes-spar-over-whether-city-broke-earlier-vow-to-fix-roads/

    I got the email, but I understand that currency is supposed to be exempt from sales tax in WA, along with coins and bullion. Do you know if Seattle are dealers are charging tax?

  • boimre1972boimre1972 Posts: 756 ✭✭✭

    Why does anyone still buy from them? I hear nothing but bad about the fees, etc.

    Mike
    Collecting small-size star notes.
    Mishawaka, IN
  • berylberyl Posts: 136 ✭✭

    @boimre1972 said:
    Why does anyone still buy from them? I hear nothing but bad about the fees, etc.

    They have what others don't.

  • mbwizkidmbwizkid Posts: 284 ✭✭✭

    @beryl said:

    @boimre1972 said:
    Why does anyone still buy from them? I hear nothing but bad about the fees, etc.

    They have what others don't.

    Agreed.

    Personally, I add in the fee and tax when bidding....ultimately, it’s the seller that may not realize the full potential for lower priced notes.

    AKA Steve in Tampa

  • 2ndCharter2ndCharter Posts: 1,193 ✭✭✭

    Why does anyone still buy from them? I hear nothing but bad about the fees, etc.

    If I didn't buy from Heritage, I would only have about half the notes in my collection. If I had passed, I'm sure a few of the notes would eventually have turned up on eBay at two or three times what they sold for in the Heritage auction - would you please explain how that method of collecting makes any sense?

  • MR168MR168 Posts: 89 ✭✭

    @2ndCharter said:
    Why does anyone still buy from them? I hear nothing but bad about the fees, etc.

    If I didn't buy from Heritage, I would only have about half the notes in my collection. If I had passed, I'm sure a few of the notes would eventually have turned up on eBay at two or three times what they sold for in the Heritage auction - would you please explain how that method of collecting makes any sense?

    2ndCharter, I agree with you 100%. I’ve been enjoying reading and learning from your knowledgeable posts here for years. I hope you will consider to post in the other forum too.

  • @Elmhurst said:

    @synchr said:
    As of Sept 1, The Great State of Washington will now be gladly accepting your 10.6% contribution to their Sales Tax coffers - Thank you very much.

    There will be no promise of using it wisely ....
    https://www.seattletimes.com/seattle-news/transportation/levy-backers-foes-spar-over-whether-city-broke-earlier-vow-to-fix-roads/

    I got the email, but I understand that currency is supposed to be exempt from sales tax in WA, along with coins and bullion. Do you know if Seattle are dealers are charging tax?

    Unfortunately in Washington currency is not exempt, only coins and bullion.

    https://dor.wa.gov/get-form-or-publication/publications-subject/tax-topics/currency-and-coin-sales

  • Stack's Bowers auctions just started to charge sales tax, too.

  • dorancoinsdorancoins Posts: 2,068 ✭✭✭

    @MR168 said:
    Is Florida and Illinois still sales tax free for the currency?

    In Illinois, yes, but with the Governor's race going on and the Democrat promising new taxes, I wonder how long the sales tax exemption will stay in place. After November, we'll find out.

    DORAN COINS - On Facebook, Twitter, & www.dorancoins.net - UPCOMING SHOWS - Coming Soon
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