WAMU 88.5 : Morning Edition

Filed Under:

Cyber Monday Calls Attention To Maryland's Little-Paid 'Use Tax'

Play associated audio

Today is "Cyber Monday," a day in which online retailers try to mirror some of the same deals offered by brick-and-mortar stores on Black Friday. But a seldom-used law in Maryland could mean some area residents are breaking the law everytime they purchase online. The issue involves a rarely enforced tax called a 'use tax.'

The law requires online shoppers who live in Maryland to pay a 6 percent fee to the state on any goods purchased online which are not taxed by the internet merchant. Online buyers are supposed to file and pay the sales tax for the year on Jan. 21, 2013, but 95 percent of residents don't, and many aren't aware of it.

State Comptroller Peter Franchot acknowledges there is a problem with the law between the online consumer's lack of knowledge about the use tax and the state's inability to apply it, Franchot tells Patch. He's not confortable with the statute and for now won't enforce it, Franchot says.

The lost revenue to the state of Maryland from unpaid use tax amounts to about $200 million a year, according to a report from Patch.

NPR

'Hamilton' Nets Record 16 Tony Award Nominations

Lin-Manuel Miranda, the creator and force behind Hamilton, is nominated for three individual awards, including best performance by an actor in a leading role in a musical.
NPR

'Tiny Kitchen' Videos Cook Up Real Food In Doll-Sized Portions

They've fried hard shell tacos, made a gooey pot of queso, even whipped up a batch of rainbow sprinkle-covered doughnuts. All in a dollhouse kitchen roughly 1/12 the normal size.
WAMU 88.5

D.C.'s 17-Year-Old Charitable Trust Bankrupts

The DC Trust has declared bankruptcy leaving over 70 groups that rely on their funding with questions about what went wrong and what happens next.

WAMU 88.5

Local D.C. STEM Careers Are Soaring - But For Whom?

Kojo explores the local state of diversity in STEM with educators who are looking to change it and a journalist who's been tracking it.

Leave a Comment

Help keep the conversation civil. Please refer to our Terms of Use and Code of Conduct before posting your comments.