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WDKX.com » Blog » Walmart Allegedly Overtaxing On 2-For-1 Coupon Purchases
Jul 26th 2013 6:42 am
Walmart Allegedly Overtaxing On 2-For-1 Coupon Purchases

A Pennsylvania man has filed a class-action lawsuit against Walmart alleging the retailer overtaxed him by 21 cents for items purchased with a coupon, Consumerist reports.

According to a lawsuit filed in Allegheny County, Pa., Brian Farneth purchased two cans of $2.97 shaving cream at a Walmart with a "buy one, get one free" coupon in June. The cashier, Farneth says, correctly deducted the price of one can of shaving cream from the total, but failed to deduct the associated tax, causing him to lose out on 21 cents.

Farneth alleges that he could be one of many customers at Walmart's 8,500 stores across the world that the retailer may be overcharging for coupon purchases.

"Walmart's current systems, with respect to the collection and remittance of sales tax, are in compliance with Pennsylvania's tax laws," Walmart Spokesperson Dan Fogleman wrote in an email to The Huffington Post. "We have previously sought an opinion from the state which confirmed this."

Tax codes vary from state to state, but Farneth claims that Walmart is specifically in violation of Section 33.2(b)(2) of Pennsylvania's code. The section establishes that items purchased with discounts including �buy one, get one free� will have a "new purchase price" and be taxed as such. The lawsuit also points out that the retailer would benefit financially from overcharging, as the retailer is entitled to a 1 percent discount on taxes it pays to the state.

Source:Huffington Post