When I buy virtual items online that do not need to be shipped, sales tax is often calculated by the merchant automatically based on my credit card billing address. My billing address is in California, but I travel a lot, so this can be annoying - I am usually paying a tax rate higher than the sales tax in the state where the purchase occurred, which is what sales tax is normally based on.
The simplest solution seems to be to register a credit card with a billing address in, say, Delaware or New Hampshire where sales tax is not charged so that I will not be charged tax at time of purchase, and can declare it at the end of the year. Is there an easy and cheap way to do this? With online billing, I don't even need to physically visit a PO box to pick up the bills, I just need an address.
To clarify, I am looking for a legal way to reduce the amount of money I pay as sales tax. Currently, I can go out and buy a coffee and pay 6% tax on that sale, then go back to my hotel room and buy an ebook or a movie that gets charged at nearly 10%. It's possible that my premise is flawed, but to a layman like myself, this felt wrong - it seems like I should be paying the tax based on the place of purchase/use - and the simplest solution that came to mind was to simplify things by calculating ALL tax when filing my annual return. I'd also prefer doing that to having to paying the higher rate up front and filing for refunds afterwards.