- Skims Body, Inc. settled with New Jersey for $200,000 over allegations of improperly collecting sales tax on tax-exempt clothing from 2019 to 2024.
- The company agreed to improve its systems to prevent future improper tax collection and to promptly process consumer refund requests for the next four years.
- Skims resolved the case without admitting wrongdoing.
- The case highlights the risks and consequences for companies that over-collect sales tax, including penalties and reputational harm.
Source: njoag.gov
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "United States"
- Consequences of Charging Sales Tax on Exempt Items: Legal Risks, Penalties, and Refund Obligations
- Record-Breaking 2025 U.S. Sales Tax Changes: Key Numbers and Trends for Businesses
- Kentucky Confirms Sales Tax Applies to AI-Enabled Software Classified as Prewritten Computer Software
- Ohio Expands Sales Tax to All Delivery Network Charges Under House Bill 315
- Missouri Court Halts City Tax Collection for Skipping Required Assessment and Notice Procedures
