Cyber Monday Shoppers Should Remember Sales Tax

December 2, 2013
By

Shoppers taking advantage of online and catalog sales this holiday season are reminded to check if Indiana sales tax was collected with their purchase.

Many online and catalog companies fail to collect Indiana sales tax on Hoosier purchases. In Indiana, consumers making these purchases are expected to pay a “use tax” if no sales tax is collected.

“Use tax is essentially a seven percent tax on any purchases where the regular Indiana sales tax was not collected. If you make a purchase and the online or catalog retailer does not collect Indiana’s seven percent sales tax, you are required by law to pay that same seven percent as a use tax,” noted Indiana Department of Revenue spokesman Bob Dittmer.

“When preparing your 2013 individual tax return at the end of the year, simply total those purchases, take seven percent, and that’s your use tax. This does, of course, require you to either keep records of your online or catalog purchases or to rely upon your retailer to maintain a list for you (and many online retailers do that).”

Last year, 28,853 taxpayers in Indiana reported use tax on their individual tax return, amounting to more than $1.9 million. Each year, more than 3.1 million individual income-tax returns are filed in Indiana.

Indiana has required Hoosiers to pay use tax on their Indiana income tax return since 1969.

For more information about Indiana’s use tax, log on to Indiana Department of Revenue website.

Listen Live

Upcoming Events

Mar
6
Thu
all-day Hamburg Knights of St John’s Will Be Offering Two Scholarships This Year
Hamburg Knights of St John’s Wil…
Mar 6 – May 1 all-day
Anyone furthering their education after high school or currently enrolled in advanced learning courses may apply. For an application call Dan Nobbe @ 812-934-3979. Application [...]
Mar
10
Mon
all-day Registration Deadline For The 10th Annual BHS Battle of the Bands @ Batesville Middle School Gym
Registration Deadline For The 10… @ Batesville Middle School Gym
Mar 10 – Apr 19 all-day
Fundraiser event sponsored by Batesville Music Boosters. The Battle will feature teen bands from throughout a four county area, playing a variety of music, competing [...]
Mar
24
Mon
all-day Batesville Knight’s Of St. John Mission Fund Raiser
Batesville Knight’s Of St. John …
Mar 24 – May 23 all-day
The Batesville Knight’s Of St. John Commandery #243 Mission Team will be selling FIVE OAKS LAWN AND GARDEN GIFT CERTIFICATES through May 23rd. They Are [...]

View Calendar