Legal Question in Tax Law in California

California Use Tax

I bought things from internet here and there from outside of California and those internet merchants did not charge me for California sales tax. Now I am filing for 2007 tax return and CA state tax return form is asking if I purchased goods out-of-state and if so, have I paid CA sales tax on them. If not, I have to pay for it now with the tax return. Do I really have to? I mean my purchases are like $80.00 here $50.00 there but if I add all of these purchases, it may be over $1,000 but each invoice amount is not that big.. Besides, are those merchants (big & small) going to report each individual's name and what they bought to every state that those individual lives? I don't want this to come back and haut me later but I mean to pay sales tax on purchases made through internet.... is this really necessary? Can you give me some thoughts on this? I didn't think of anything last year so when I used one of the tax filing software, it asked me the question so I went ahead and report it. I reported like $60.00 sales tax in tax return and had to pay fir it. But this year... It go me thinking. Really...


Asked on 4/11/08, 12:33 pm

1 Answer from Attorneys
Jeb Burton The Burton Law Firm

Re: California Use Tax

Technically you generally owe Use tax on property you purchase out of state which you do not pay sales tax for. The State has been making claims that they are going to rigorously enforce this tax.

I choose not to comment on their ability or historical efficacy in enforcing the Use tax.

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Answered on 4/11/08, 1:45 pm


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