Estimated Taxes

princessnow
2 weeks ago

For quite some time I have noticed that the estimated taxes on orders are incorrect. In Illinois the tax rate is 10.25; many of the estimated taxes on my purchases exceed 10.25. In the explanation about the estimated tax it is stated that the correct tax is added when the sale is computed; in many cases this has not happened. I have spent thousands of dollars with HSN where the tax totals were incorrect. My question is what happens to the overages? Is HSN overpaying their corporate sales taxes? I have overpaid my sales taxes to HSN.

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- PWOMAN
- 2 weeks ago
We pay taxes on S&H😔
- hsn_kymberlie
- Moderator
- 2 weeks ago
Hi @princessnow. I understand your concern about the tax amounts you’re seeing. The estimated tax shown at checkout is just that – an estimate. The final tax is calculated once the order is processed, based on your state’s rules.

In Illinois, while the base sales tax rate may be 10.25%, certain items and charges, like shipping and handling, can also be taxable depending on state regulations. This can make the total tax appear higher than expected.

Please rest assured that HSN does not keep any of the tax collected. All sales or use tax charged on your order is required by law and is fully remitted to your state’s tax authority.
Tax laws can be complex and vary by location, so if you ever have specific concerns about how tax is calculated, you may also contact your local tax authority for more detailed information.
- ennui
  
  2 weeks ago
  
  Excellent response, Kymberlie. Thanks