BOGO coupon brings down Walmart

There could be a Walmart gift card worth up to $100 in your future. The retail giant has agreed to settle a long-running class-action lawsuit, providing gift cards as compensation for certain customers who were charged too much sales tax when using coupons.

If you qualify, the window to claim your share of the settlement is now open. But don’t count your cash just yet.

The settlement pertains to shoppers who used a coupon when purchasing a taxable item at any Walmart store in the state of Pennsylvania, from June 8, 2007 through April 15, 2015. Pennsylvania is one of five U.S. states (Connecticut, Massachusetts, Missouri and Texas being the others) where sales tax is levied on your out-of-pocket total after all coupons are applied, instead of to your pre-coupon total.

That’s not what happened to Verona, Pennsylvania resident Brian Farneth back in 2013. He used a “buy one get one free” coupon for Gillette shaving gel at a Pittsburgh Walmart, when purchasing two items priced at $2.97 apiece. But he noticed he was charged sales tax on the full value of the items, $5.94, instead of on his post-coupon total of $2.97.

So he sued. And the dispute has dragged on ever since. The case was certified as a class action earlier this year, so potential class members were notified of their eligibility. But the case appeared headed for trial, until Walmart agreed to settle the dispute, without admitting any wrongdoing. Read the rest of the article from Coupons in the News here.

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