B&H Photo releases detailed statement disputing allegations it defrauded New York out of millions in sales tax
(Digital Photography Review)

Update: (November 20, 2019): We have added more details regarding the entity Mr. Gerstel claims is an `anonymous` accuser and have added more context on the taxation and rebate process. We have also changed the headline to specify B&H is disputing the claims, not refuting. B&H Photo spokesperson Jeff Gerstel has released a statement rejecting the New York Attorney General´s lawsuit that claims that B&H allegedly failed to report and pay for additional sales tax when customers received discounts on certain purchases. In an email sent to DPReview, Gerstel says `the [New York] Attorney General is trying to create a new tax on discounts [and] wants consumers to pay sales tax for what they actually pay plus an additional tax on discounts they receive.´ Gerstel adds ´this makes no sense and there is no law that requires consumers to pay this tax on discounts.´ Gerstel goes on to say that `these claims are without merit´ and claims `the entire consumer electronics retail industry takes the identical approach to what we do´ - an assertion Gerstel later backs up in his email using pricing examples from other electronic retailers. Gerstel adds: `B&H has done nothing wrong and it is outrageous that the Attorney General is attacking a New York company that employs thousands of New Yorkers while leaving the national online and retail behemoths unchallenged. The Attorney General wants to charge New Yorkers a tax on money they never spent. It´s wrong and we won´t be bullied. We will fight these allegations aggressively. B&H is not a big box store or a faceless chain; we are a New York institution, having operated here for nearly 50 years with a stellar reputation. The New York State Department of Taxation and Finance has done countless audits and never once - not a single time - mentioned any issue with this widespread retail industry practice.´ To highlight how much additional sales tax consumers could pay on items, Gerstel provide ...