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View Full Version : Sales TAX when buying gun out of state?????


mikeinla
12-12-2008, 8:39 AM
I went to Gun World in Burbank and asked them about bringing in a gun out of state and doing a transfer and they told me i would have to pay SALE TAX even though I bought the gun out of state. Is this right?????

They charge $100, $35 DROS, and SALES TAX

emc002
12-12-2008, 8:43 AM
Some FFLs do, some don't. Find a different FFL.

PIRATE14
12-12-2008, 8:56 AM
I went to Gun World in Burbank and asked them about bringing in a gun out of state and doing a transfer and they told me i would have to pay SALE TAX even though I bought the gun out of state. Is this right?????

They charge $100, $35 DROS, and SALES TAX


Nothin new here...........:cool:

tenpercentfirearms
12-12-2008, 9:08 AM
Yes that is correct. The BOE considers the CA FFL the retailer even though they never saw a dime of that money. Some people believe the BOE is stretching the law and that they actually don't have the authority to collect the tax and it is solely your use tax responsibility.

Our gun shop has chosen not to take a risk on being liable for the sales tax nor having to spend our money to fight it should we ever get audited, so we collect the sales tax and we remit it to the BOE as we are required to per their instructions. I am not sure why some customers get upset about this when they are required to pay the use tax at the end of the year anyway and we have done it for them. It is what it is.

Here are some threads to reference to.

http://www.calguns.net/calgunforum/showthread.php?t=133435&highlight=ca+boe+retail+tax
http://www.calguns.net/calgunforum/showthread.php?t=118369&highlight=ca+boe+retail+tax
http://www.calguns.net/calgunforum/showthread.php?t=74622&highlight=ca+boe+retail+tax
http://www.calguns.net/calgunforum/showthread.php?t=93971&highlight=ca+boe+retail+tax
http://www.calguns.net/calgunforum/showthread.php?t=72346&highlight=ca+boe+retail+tax
http://www.calguns.net/calgunforum/showthread.php?t=61114&highlight=ca+boe+retail+tax
http://www.calguns.net/calgunforum/showthread.php?t=51391&highlight=ca+boe+retail+tax
http://www.calguns.net/calgunforum/showthread.php?t=34694&highlight=ca+boe+retail+tax


We should just make a transfer sales tax sticky.

hawk1
12-12-2008, 9:26 AM
Whats the difference, you still have to pay it on your tax return if you don't pay the FFL.
You can also submit it with this state form as well.

http://www.boe.ca.gov/pdf/pub79b.pdf

nick
12-12-2008, 9:33 AM
Just a small correction. It's use tax, not sales tax. And their transfer fee is too high, there're many FFLs with lower fees. I pay $65 including DROS for the first long gun, $20 for subsequent ones on the same DROS.

tenpercentfirearms
12-12-2008, 9:47 AM
Just a small correction. It's use tax, not sales tax. And their transfer fee is too high, there're many FFLs with lower fees. I pay $65 including DROS for the first long gun, $20 for subsequent ones on the same DROS.

No, that is not correct. If the dealer collects it, it is sales tax. If you pay the sales tax on the item then you do not have to pay use tax. If you don't pay the dealer sales tax, then you are liable for the use tax.

That is the problem with this issue, everyone thinks they are a tax expert but no one really knows.

ddimick
12-12-2008, 9:58 AM
Technically you are required to report and pay use tax (which is the same rate as sales tax) on any out-of-state purchases. In practice most people either don't or care about use tax. The government enforces it where they can, such as out-of-state car purchases.

hawk1
12-12-2008, 10:14 AM
Technically you are required to report and pay use tax (which is the same rate as sales tax) on any out-of-state purchases. In practice most people either don't or care about use tax. The government enforces it where they can, such as out-of-state car purchases and compliant FFL's.

Fixed that for you.

Barbarossa
12-12-2008, 10:31 AM
my understanding:

When I bought lowers from 10% I paid Tax. My FFL also tried to tax me, but the receipt (which must ship with the tool) already showed CA tax. So I was only showed once.

If you buy out of state you haven't paid the state of Ca any tax yet, so the FFL charges you tax.

thinkinblue613
12-13-2008, 1:34 AM
Gun worlds weapons are too marked up IMHO. Depends on some guns but the majority of their guns are way too marked up. I'd go to a Hunting Store and get a better deal elsewhere.