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 Replies: 10 / Views: 2,399 |
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Pillar of the Community
United States
539 Posts |
Quote:
I recently had a buyer who paid a very small in-state sales tax to ask for my tax number (which I gave him) and found out the gets many sellers to remit the sales tax back to him on in-state purchases, which indicates to me many sellers are charging sales tax to add to the profit line without ever sending it in to the state. this was a comment on a recent post on another topic but I thought I would see what folks thought about it as a topic of its own. I know I have asked sellers who state they collect sales tax (I'm in California and they are in California) for their tax id. I may have insulted them but it wasn't my purpose to do so. I would also believe that there are those sellers out there that are collecting the tax but not submitting to the state. Any thoughts on this?
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Pillar of the Community
United States
926 Posts |
I don't sell but I have noticed that ebay sellers listed in PA collect sales tax on coins when in fact there is no online sales tax on coins and bullion in PA. |
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Pillar of the Community
United States
1882 Posts |
I saw that comment in the other thread, and didn't understand the leap in logic to conclude that those sellers weren't paying in the sales taxes. Quote:
I know I have asked sellers who state they collect sales tax (I'm in California and they are in California) for their tax id. If you both are in California, it is their responsibility to collect it. It isn't your responsibility to make sure they remit it. |
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Pillar of the Community
United States
4212 Posts |
No, once you pay, it's over on your part. I dont check 7-11 to see they have complied.
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Pillar of the Community
United States
2661 Posts |
If you are required by law to pay in-state sales taxes and you pay them, then it is up to the seller to pass it on to the state. If the caca ever hits the fan you are covered.
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Pillar of the Community
 United States
539 Posts |
steve199 - agree with you 100%. I don't see how I can 'make' them remit them. My point was that if I sell a coin to another Californian I am not required to pay the state sales tax because I'm not a business and I have no tax id (or license). My point was folks say they need to collect tax but if they are not a recognized entity in the state they have no right to collect tax. I just ask for the id # to verify they are a tax collecting entity
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Pillar of the Community
United States
1882 Posts |
Okay, I see where you are coming from. Quote:
because I'm not a business and I have no tax id (or license). But does the state of California consider you a business? |
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Pillar of the Community
United States
2797 Posts |
I broached this in a past thread about a purchase gone sour. The seller attempted to collect sales tax here in Illinois, but coins/bullion are exempt. I informed the seller of this and they eliminated that fee. In subsequent auctions I noticed the seller still stipulated sales tax would be collected from Illinois buyers. I still had the individuals name and address, so I went online and found the state office of revenue. I dropped a dime on the guy. I checked a few weeks ago and there's no mention of Illinois sales tax. I guess he was contacted.  |
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Pillar of the Community
United States
539 Posts |
that is a good question steve. I don't think they do but if someone knows this tidbit, that would be interesting. Logically this would be no different than selling something via craigslist, garage sale or flea market (where you are not a regular). I've chatted with some online dealers who also have a brick business somewhere in California or they have a permanent web presence and they collect taxes.
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Pillar of the Community
 United States
2448 Posts |
Gang, if you're really upset at these people and suspect they don't pay the tax, there's a whistle blower number in each state. However, be forewarned, like the IRS one of the red flags that pops up for audits, according to an old friend, is when a whistle blower IDs a potential evader. I just ignore them, deny the additional tax, or tell them to keep the coin if I don't live in that state.
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Pillar of the Community
United States
539 Posts |
as others have pointed out, I don't really care if they remit back to the state. What I don't want to do is pay tax when they are not required or permitted to collect tax. that is why I ask for the tax id#. I'm not out to save or protect the world - just how much I pay for something....putting my selfish blinders back on...
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Replies: 10 / Views: 2,399 |
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Posted 07/28/2010 3:20 pm
