The stories never stop with these converter boxes. This one is stranger than all the rest and reveals a big problem.
I got a call this week from a man who got a check from Best Buy to cover a mistake in how the store calculated his sales tax on the converter box. Missouri is one of several states that calculates sales tax differently. In Missouri, sales tax is calculated after a coupon is redeemed. However, Best Buy mistakenly charged sales tax on the full retail price. It realized the probelm and sent a check to consumers.
This mistake got me thinking about what other stores may be inadvertently calculating sales tax wrong. After all, how often do you redeem coupons at electronics stores? Perhaps this was bigger.
We found Circuit City calculating tax correctly. However, Radio Shack is not. And get this...Best Buy is still calculating tax wrong! I was shocked, considering they know there is a problem. You would think they would be getting it right by now, but it was still wrong Thursday night.
Calls to Best Buy have not been returned all week.
Radio Shack apologizes for the error. It didn't realize it was making the mistake until I called them. It's swinging into action, changing it's computer systems, and offering refunds. You need to go to the Radio Shack with your receipt -- and they will give you a refund on the spot.
Here's how it breaks out.
If the price of the converter box is $59.99 and you have a $40 government coupon -- here's how it works.
$59.99 - 40 dollar coupon = 19.99
19.99 x 7% = 1.39 sales tax
19.99 + 1.39 = 21.38 cost to consumer
This whole sales tax issue really only amounts to about $3 -- but in today's economy three dollars is three dolalrs.
So, watch those receipts and arm yourself with information so you don't get cheated at the cashier.
If you live in Kansas, sales tax is charged on the full retail price.
To reccap, Missouri only charges on the price after a coupon.
Link to Missouri law:
http://www.sos.mo.gov/adrules/csr/current/12csr/12c10-103.pdf
To see Radio Shack's receipt, Best Buy's letter, refund check, and receipts from Thursday showing they are still calculating tax wrong go to the text of the story on our Call for Action page or just click on this link.
http://www.nbcactionnews.com/content/cfa/story.aspx?content_id=6285cfa3-bda3-4782-83cb-89f57746aac8
Post your thoughts about this mess....