Friday, December 17, 2010

Ask Mrs. Wizard - Sales Tax on Kindle books

Hi,
I appreciate your blog and the work you put into it...so, Thanks so much!!!

I have a question that may not be Kindle specific but, I've only noticed it on my Kindle...

Why do some books I purchase on Kindle charge me sales tax but, others don't? Most books, and all other purchases from what I can tell, don't charge me sales tax but, a few have. The most recent example I have is when I purchased Brad Meltzer's Zero Game for $1.99 and was charged tax of $0.10. I've also noticed it on a few other book purchases. I live in New Mexico if that makes any difference...I'm just curious why some and not others??

Thanks so much,
Scott in New Mexico

Thank YOU Scott for reading!

Your question isn't Kindle specific, but it IS Amazon specific. I have notice sales tax on books I purchase for my Kindle on Amazon too... One of the main reasons I shop so much (and I do a LOT) at Amazon is the free 2 day shipping (I have a Prime membership) and no sales tax. I have been seeing it on Kindle books, but not on other items I purchase from Amazon. Interesting isn't it?

I thought the "rule" was if there was a store in the state you live in, and your state charges sales tax, then if you purchase the item from the "online" same store, you still have to pay sales tax. Since Amazon doesn't actually have any "stores" anywhere, no sales tax. I'm thinking our state governments have found a way to get their fingers under the lid of this cookie jar. It is certainly has been happening here in Tennessee these last several months, and apparently for you in New Mexico too... such a shame, but I doubt there is much we as consumers can do about it, unless it is to raise some serious hell with our legislators. I do believe it is a state issue, and not a national one at this time.

Here is what I found in the Help area on Amazon:

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