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by kin 5467 days ago
How do you end up paying more in taxes? A majority of my spending this year was made on Amazon and in my tax return I didn't enter a single one of those purchases as "Out of State Untaxed Purchase" so I didn't get taxed, which I think was illegal but apparently I'm not the only one who neglects to do this. In any case, all Amazon receipts can be viewed in your account history.
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How do I end up paying more in taxes? Because I'm aware that I undoubtedly bought something from Amazon in the past fiscal year and, therefore, in compliance with my state's laws, I check "yes" in the box and pay the flat fee for use tax. That flat fee is set at a level that reflects what the state thinks an average taxpayer owes for their "out of state untaxed" purchases, but the "average" taxpayer in their model buys more stuff than what I would ever actually buy and, thus, they charge me more in use taxes than what it would have cost me if I had just been charged sales tax in the first place. I guess it just plain never occurred to me to look up my account history and compute an exact value instead.
That's what I do. Being the overly honest person that I am, I go through and total up all my Amazon purchases for the year. They should really have a way to compute the total automatically. It always takes me a while to do it by hand. But at least that way, you're paying the right amount.