A proposed class action lawsuit alleges craft supply retailer Michaels has overcharged Missouri consumers for sales tax on purchases delivered from out of state.
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According to the 10-page lawsuit, Missouri’s use tax is 4.225 percent for products bought remotely—that is, through a website, catalog, or telephone—and shipped to Missouri addresses from out-of-state facilities. However, the suit claims that Michaels has “illegally and erroneously” charged Missouri consumers taxes for such purchases at a rate much higher than the applicable 4.225 percent.
As the case tells it, the plaintiff bought 21 T-shirts from Michaels.com in early January of this year to be delivered to her Missouri address from an out-of-state location. While state law stipulates that the use tax rate for this remote purchase is 4.225 percent, Michaels purportedly overcharged the plaintiff a rate of 8.603 percent, the complaint alleges.
Michaels has been “unjustly enriched” by its alleged overcollection of tax in violation of the Missouri Merchandising Practices Act, the filing claims.
The lawsuit looks to represent anyone who purchased a product from Michaels for personal use through a remote sales channel, including Michaels.com, that was delivered from an out-of-state facility to a Missouri address.
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