Is There A State Tax You Are Not Paying?

By: Andrew Limberg
Photo Credit: Thinkstock

Photo Credit: Thinkstock

John Shumway John Shumway
John Shumway joined NewsRadio 1020 KDKA in 2004 as co-host of The KDKA...
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PITTSBURGH (NewsRadio 1020 KDKA) — A lot of people are doing their shopping online these days.

Are there state taxes you aren’t paying for online sales? Pa. Secretary of Revenue Dan Meuser joined KDKA’s John Shumway to explain the law.

John asked Secretary Meuser if you buy something online and they don’t charge you state sales tax, are you supposed to mail a check to Harrisburg?

Meuser says it is a state tax law.

“The consumer, the taxpayer, is by law required if the company that they are purchasing from online does not collect the tax… it is their obligation to do so,” said Meuser.

He admits, “It’s not all that common that people do comply.”

He says they have stepped up their efforts to collect the tax by putting a reminder on a Pa. tax form. Meuser says the compliance to the tax is increasing due to this, but understands it’s “a very difficult law for people to understand and again to comply with.”

Meuser says last year they began enforcing a law “that states that if you have physical presence within the Commonwealth as a business, you must be collecting remitting sales tax.”

He adds they have had an increase in $65 million to the general fund that wasn’t being collected in the past.

Secretary Meuser says they gave companies “a grace period,” so they wouldn’t be “hurt operationally.”

No one is going to come to your door and collect the state sales tax you don’t pay, but Meuser reminds people, “It is a law.”

Listen to the KDKA Morning News with Larry Richert and John Shumway every weekday from 5 a.m. to 9 a.m. on NewsRadio 1020 KDKA.

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