Post # 1
Hi Bees, so I want to order a bolero that goes with my wedding dress from this NYC wedding salon. I was informed that I wouldn’t get charged sales tax if I paid in cash. Is this legal? And is it safer to just pay by credit card? This salon is pretty well established but a part of me is a little worried about being scammed, even though I’d ask for a receipt. It would take 4 months to get the bolero so it’s not like I can pay and walk out with it on the same day. I appreciate any input!
Post # 2
If it’s from a well-known boutique, they’ll issue you a receipt and you will definitely receive your purchase. No worries there! If you don’t like it and want an exchange/refund, they might give you a harder time because you paid in cash. If you need to contest the purchase with your credit card company, it might be difficult 4 months after the fact so I don’t think that’s an advantage.
Is it legal? It can be but it probably isn’t. If you can try on the bolero in the right colour and size but don’t want to buy the sample, I would go for it. If there’s a high likelihood you’ll need to return it, I’d do credit card.
Post # 3
Jewelieee: not legal, but common in all sorts of businesses. Anytime, a business is cash only or offers a discount for paying all cash, I assume they are trying to skip declaring the income and being taxed. But, of course they can pass it off as not avoiding credit card fees/hassle. I’m actually surprised that a well established business is being so blatant about it. That’s kind of dumb on their part.
Post # 4
Jewelieee: I faced this with my BM dresses – I opted to cover the tax for the girls and put it on my credit card instead of risking paying cash. I was nervous as well.
Post # 5
It’s not legal, but it’s extremely common, at least in NYC. I know my dad often offers to pay cash in exchange for no sales tax on large-ticket items. I think he did with the food for my engagement party. Companies that use credit cards pay a fee to the credit card company and don’t get any money from sales tax, so by getting cash they avoid the CC fee and make more money.<br />
Post # 6
TGold: Oh hmm do they still pay the sales tax for you, if they’re saving on credit card fees?
Post # 7
Jewelieee: I’m not sure what you mean. Like, do they pay tax to the city/state? I’m not sure. I think it depends on if they’re being honest about declaring their income. I really doubt they’re going to pay the sales tax. My comment was mostly meant to convey that it’s unlikely this is a scam, as it’s a very common practice in NYC.<br />
Post # 8
Not legal. Not ethical. I wouldn’t risk something you are ordering to that. Why would they honor a receipt if they’re not going to follow the law? That would be my concern.
Post # 9
It’s not legal at all and if the store goes out of business or gets your item wrong, you’ve got no protection. id pay with card and I’d probably report to the state that they were offering to skim the sales tax for a cash sale.