Misc eShop Sales Tax?

[Seraph]

Did they get rid of the eShop adding in sales tax? I seem to remember people complaining about this issue and possibly recall it being there in the past (it's been awhile). I haven't actually purchased anything from the eShop yet, but I don't seem to get sales tax in what I believe is the payment confirmation page. I also didn't have any sales tax added in on the Wii U eShop titles I did purchase.

I'm mainly asking to decide which version of Animal Crossing I will get. And yes, I am in a state with sales tax and my current zip code is the one being used for the eShop accounts.

 

[avran89]

I don't recall either but you should have used a zip code in a state with no internet sales tax.

 

[3bbb7]

There is sales tax, bought ac:nl at midnight release.

 

[aalokishere]

Which state has a tax free zip code?

 

[Sicklyboy]

Which state has a tax free zip code?

Delaware, USA

 

[trumpet-205]

Simple solution to avoid sales tax is to buy NIntendo points card in a retail store and load it to your 3DS account. Use ZIP code such as Alaska to avoid sales tax.

 

[Pedeadstrian]

I googled "tax-free zip code" and the first results are about the eShop, including a GBAtemp thread, lol. http://gbatemp.net/threads/usa-zip-code-in-non-sales-tax-area.296173/

It can be considered tax evasion, though. I have no idea if Nintendo or the IRS will find out/care, but keep that in mind.

Simple solution to avoid sales tax is to buy NIntendo points card in a retail store and load it to your 3DS account. Use ZIP code such as Alaska to avoid sales tax.

If your city/state has sales tax, you'll still be taxed when purchasing the points card, just not when you use the points, so you'll get taxed either way.

 

[nukeboy95]

http://gbatemp.net/threads/question-about-avoiding-tax-on-3ds-eshop-titles.345305/

do you even search?

 

[Sicklyboy]

If your city/state has sales tax, you'll still be taxed when purchasing the points card, just not when you use the points, so you'll get taxed either way.

No, you will not. The cards are not taxed.*

At least they're not in all states.

Take this from a guy that works an electronics department at a big box store and sells this shit all day long.

The eShop, however, charges tax according to state sales tax.

Take this from a guy who has bought games on the eShop and lives in NJ, home of Seaside Heights and 7% sales tax.

* = this is because the cards are not prepaid, but POSA (point of sale activated). POSA items (no value until activated at register) typically are not taxed; the only thing I can think of at the moment that are is airtime for no contract phone providers. eShop, GPlay, iTunes, Steam, <various online games such as Runescape, Toontown, LoL, etc>, restaurant cards, are not taxed because you are charged sales tax when you use them, provided you're giving your correct zip code. Phone minutes, however, are never "charged", you just add them to your phone. WoW cards as well are taxed if I remember correctly, both the POSA and Prepaid ones (about a year ago they switched from Prepaid to POSA because the Prepaid ones kept getting stolen, since they don't need to be activated). WoW is never "charged", you again just enter the code, so you don't get taxed.

 

[Pedeadstrian]

No, you will not. The cards are not taxed.

At least they're not in all states.

Take this from a guy that works an electronics department at a big box store and sells this shit all day long.

The eShop, however, charges tax according to state sales tax.

Take this from a guy who has bought games on the eShop and lives in NJ, home of Seaside Heights and 7% sales tax.

Well, I'm just repeating what other people have said. They're either misinformed, or it happened in other states.

http://gbatemp.net/threads/question-about-avoiding-tax-on-3ds-eshop-titles.345305/

do you even search?

Search isn't working. At least for me.

 

[qweesy777]

yeah the sales tax issue is BS i was 10 cents short.... because of this nonsense

 

[trumpet-205]

If your city/state has sales tax, you'll still be taxed when purchasing the points card, just not when you use the points, so you'll get taxed either way.

Actually Nintendo points card is treated the same way as a gift card would. It will NOT be taxed at the time of purchase.

For example I can buy a $25 JCPenney gift card and it will not be taxed at the time of purchase. Now if I use it at a California store I would be taxed under CA sales tax; Alaska under AK sales tax, etc.

Nintendo points card is no different. Simply buy it at a retail store like Best Buy, and load it on to your 3DS. When asked simply use a tax-free ZIP code and you got yourself tax-free purchase.

Technically speaking when a seller did not collect sales tax it is buyer's responsibility to report such purchase under "use tax" in annual state tax filing. You then would be charged under the same rate as your retail sales tax. Problem is most people won't do it, hence why many states started to force sellers like Amazon to collect sales tax immediately.

So technically you are supposed to be an honest citizen and report it even when Nintendo did not collect it, but who does it anyway?

 

[FireValk01]

sure you can buy the card at no tax cost. but its when you USE the card... but that is a great idea about using the tax free state.. i cant beleive i didnt think of it! haha

 

[SuzieJoeBob]

yeah the sales tax issue is BS i was 10 cents short.... because of this nonsense

I feel your pain. The $20 cards, when using a taxed zip-code, actually diminishes the amount you can use. If I am paying sales-tax when buying the eShop card at a store, why am I being charged again??? Extortion on so many levels.....

 

[The Real Jdbye]

I'm not sure but if there's any tax over here, it must be built in to the price. The prices are higher than US, but there is no tax specified anywhere (though it's most certainly in the price)

 

[Monty Kensicle]

That's weird, when I bought my Nintendo Points card I didn't pay sales tax, (In Virginia sales tax is 5.3%) Nor did I pay sales tax buying from the e-Shop.

 

[Rockhoundhigh]

Honestly, if this is the case they should just forget about $5 increments and offer $22 eShop cards or something like that so at least then after all the trouble you went through just to buy a game you don't have to walk away with nothing just because you were short some spare change. Stuff like this actually makes me wonder why the points system used by Nintendo and Microsoft was always so hated anyways. At least that was guaranteed to be tax free.