Letter from cbid?

StogieNinja

Derek | BoM June 2014
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Something new every day.

So I got a letter with “important tax information” on the front. Opened it up, and there was a letter from cbid telling me what I spent last year so I could pay my excise tax.

Anyone else get one of these? Is it just cbid or are others doing this now?
 

Boudie

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welcome to the new reality. Some vendors are too small and will not bother at this time but all the ones I use I have gotten letters and will have to report. Depending on what state you live in
 

CopusolerX

Probably spent over .25m on cigars in my life
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The excise tax limitation; I would just file it away, but no need to report it. It's a purpose to cover their end, they never report your personal information to any tax agency. It's just a reference for folks, majority in the resell, retail business purchasing in third market. For personal consumption an collecting, I would re-frame from it. I hope this helps. Once you do start reporting, you'll have to contentiously.
 

WNYTONY

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Something new every day.

So I got a letter with “important tax information” on the front. Opened it up, and there was a letter from cbid telling me what I spent last year so I could pay my excise tax.

Anyone else get one of these? Is it just cbid or are others doing this now?
In NY we're supposed to pay the sales tax on untaxed internet purchases. Up to this year they had a chart where they gave you a figure based on your income that you could choose to pay as an alternative to keeping track of your purchases. This year that is gone and you have to calculate it so that letter would help in the calculation process.
Most people ignore it and don't pay anything but imo it's only a matter of time before our state starts billing us. Internet purchases and Native American gas / cigs / cigars are all potential sales tax revenue and it's only a matter of time before they start using credit card records to chase it down.
Only my opinion but I'd lay a bet down right now if I was a gambling man. Atlantic started charging sales tax to NY this year, haven't bought anything from Famous or CI but I expect they will too.
The real question Derek is what is a baller like you doing on cBid ???
 
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If I remember correctly it's not all States (yet) but all the big boys will have to collect as it's based on volume of sales.
Sorry, I looked into this a while ago when Ebay started charging some states tax (non-tobacco too btw) but I can't find my references.

I also had noticed this from one cigar site a long time ago. Together with their state and tobacco taxes added my order(s) was not doable. The additional money was huge.

It sounds like a reporting/paying nightmare and I have my doubts if all the money makes it to the right basket.
I'm not sure Cbid can do what they are asking as it is in theory their sales and like Ebay they are likely responsible to parcel out the money for taxes to various states. Dunno.

It definitely wont be long until all state taxes are charged once they all see the money to be had. Ooooh for the old net neutral days.
 

Juice

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If I remember correctly it's not all States (yet) but all the big boys will have to collect as it's based on volume of sales.
Sorry, I looked into this a while ago when Ebay started charging some states tax (non-tobacco too btw) but I can't find my references.

I also had noticed this from one cigar site a long time ago. Together with their state and tobacco taxes added my order(s) was not doable. The additional money was huge.

It sounds like a reporting/paying nightmare and I have my doubts if all the money makes it to the right basket.
I'm not sure Cbid can do what they are asking as it is in theory their sales and like Ebay they are likely responsible to parcel out the money for taxes to various states. Dunno.

It definitely wont be long until all state taxes are charged once they all see the money to be had. Ooooh for the old net neutral days.
Didn’t get one...or it was junk mail and I just toosed it, lmao
 
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I got one of these from a store i bought a guitar from out of state this month. Theres a tool online to calculate and pay it with if your so inclined. I dont know that the state will go all collections on you, but im super high strung about stuff and like to keep everything tidy clean lol.
 

mjones9630

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Must have something to do with the state.. I've been getting charged taxes at checkout for a while now.. just sales though, not the luxury taxes (thankfully)...
 
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I have to believe that cbid has to charge and pay these taxes based on their income and that they are not following the new laws*. Of course the OP could be from an unaffected state.

The recent stuff you're seeing online has to do with an overturned case last year and in something like 20 states the previous "nexus" rule was amended.

The new rule varies slightly from state to state but basically out-of-state *sellers who do more than $100,000 of business in the state or more than 200 transactions annually with state residents to collect sales tax and turn it over to the state.
Ebay is a good example and they have already put it into place and it catches people in the effected states off guard when winning an auction there.

Prior to these changes a business would charge tax to buyers in states where they had a physical presence (nexus).

For businesses outside the threshold they are supposed to follow the "notice and report" tax laws and the consumer is supposed to pay the taxes to the various states. Lol.

It's pretty certain that all states will adopt this sooner rather than later though I would still bet good money that a good deal of collected taxes don't make it to the states.
 
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