Calguns.net  

Home My iTrader Join the NRA Donate to CGSSA Sponsors CGN Google Search
CA Semiauto Ban(AW)ID Flowchart CA Handgun Ban ID Flowchart CA Shotgun Ban ID Flowchart
Go Back   Calguns.net > SPECIALTY FORUMS > FFL's Forum
Register FAQ Members List Calendar Mark Forums Read

FFL's Forum For open discussion between FFLs and polite questions for FFLs.

Reply
 
Thread Tools Display Modes
  #201  
Old 05-22-2013, 1:02 PM
headwaters headwaters is offline
Member
 
Join Date: May 2006
Location: Butte County
Posts: 351
iTrader: 28 / 100%
Default

Thanks for the quick response. And yes, it did occur to me (much too late) that purchase of the receiver would have made this all much cheaper and simpler.

I'm getting a little too old to be consoled by the notion of "live and learn" and "I'll know better next time". Then again....
Reply With Quote
  #202  
Old 05-29-2013, 8:22 PM
robojet's Avatar
robojet robojet is offline
Member
 
Join Date: May 2012
Posts: 258
iTrader: 14 / 100%
Default

My apologies if this is already addressed. I've read through, and frankly I find the topic confusing. I'm just curious and would like to understand how the rules apply to this situation...

I was visiting family out-of-state (let's say AZ for example). I went to a store that had a handgun I wanted. I purchased the handgun at the store in AZ, where they charged me sales tax. They shipped the handgun to a CA FFL. The CA FFL charged me sales tax. I explained that I already paid sales tax, but the CA FFL said they were required to pay the sales tax. This is so wrong, but so are so many of the rules we deal with here. Can someone point out how this is required?

Quick Edit/Addition: I have the receipt that show that I paid the sales tax in AZ.

Last edited by robojet; 05-29-2013 at 8:28 PM..
Reply With Quote
  #203  
Old 05-29-2013, 8:33 PM
greybeard greybeard is offline
Senior Member
 
Join Date: Nov 2008
Location: PA
Posts: 1,087
iTrader: 15 / 100%
Default

Not a FFl, but I am sure the tax authority here in CA does not care about AZ sales tax.
__________________
John

The internet is like a 12 step group. Take what you need and leave the rest.
Reply With Quote
  #204  
Old 05-29-2013, 8:38 PM
robojet's Avatar
robojet robojet is offline
Member
 
Join Date: May 2012
Posts: 258
iTrader: 14 / 100%
Default

I think I found the answer in an earlier post... this stuff just makes me sad.

Quote:
Last week while visiting relatives in Maine I purchased $200 in stereo equipment for use with my system at home in Sacramento, California. When I purchased the equipment I was charged five percent Maine sales tax. Do I owe California use tax on this purchase?

Yes, however, Revenue and Taxation Code section 6406 allows you to take a credit for sales or use tax paid to another state. Therefore, a portion of the California use tax you owe on the purchase is offset by the sales tax you paid to the retailer in Maine. Since the sales and use tax rate in Sacramento is 8.75%, use tax of $17.50 would be due on your purchase. However, after deducting the $10 in Maine sales tax you paid when you purchased the equipment, you would only owe $7.50 in California use tax on the purchase.

Note: For each purchase you can only take a credit for sales tax paid to another state up to the amount of California use tax you owe on that purchase. If you paid an amount in excess of the California use tax due on a purchase you cannot use this additional tax paid to offset the tax due on another transaction. Using the example above, if the tax rate in Maine were 10% and you paid $20 in Maine sales tax, you could not apply the $2.50 in additional tax you paid to offset California use tax you may owe on another purchase.
Reply With Quote
  #205  
Old 05-30-2013, 4:26 AM
halifax's Avatar
halifax halifax is offline
Veteran Member
 
Join Date: Oct 2005
Location: Mendocino County
Posts: 4,439
iTrader: 11 / 100%
Default

Quote:
Originally Posted by robojet View Post
My apologies if this is already addressed. I've read through, and frankly I find the topic confusing. I'm just curious and would like to understand how the rules apply to this situation...

I was visiting family out-of-state (let's say AZ for example). I went to a store that had a handgun I wanted. I purchased the handgun at the store in AZ, where they charged me sales tax. They shipped the handgun to a CA FFL. The CA FFL charged me sales tax. I explained that I already paid sales tax, but the CA FFL said they were required to pay the sales tax. This is so wrong, but so are so many of the rules we deal with here. Can someone point out how this is required?

Quick Edit/Addition: I have the receipt that show that I paid the sales tax in AZ.
Quote:
Originally Posted by robojet View Post
I think I found the answer in an earlier post... this stuff just makes me sad.

Quote:
Last week while visiting relatives in Maine I purchased $200 in stereo equipment for use with my system at home in Sacramento, California. When I purchased the equipment I was charged five percent Maine sales tax. Do I owe California use tax on this purchase?

Yes, however, Revenue and Taxation Code section 6406 allows you to take a credit for sales or use tax paid to another state. Therefore, a portion of the California use tax you owe on the purchase is offset by the sales tax you paid to the retailer in Maine. Since the sales and use tax rate in Sacramento is 8.75%, use tax of $17.50 would be due on your purchase. However, after deducting the $10 in Maine sales tax you paid when you purchased the equipment, you would only owe $7.50 in California use tax on the purchase.

Note: For each purchase you can only take a credit for sales tax paid to another state up to the amount of California use tax you owe on that purchase. If you paid an amount in excess of the California use tax due on a purchase you cannot use this additional tax paid to offset the tax due on another transaction. Using the example above, if the tax rate in Maine were 10% and you paid $20 in Maine sales tax, you could not apply the $2.50 in additional tax you paid to offset California use tax you may owe on another purchase.
Two problems here: First, the AZ retailer should not have collected AZ sales tax because you weren't taking possession of the firearm in AZ, they shipped it to CA. Second, the BOE is going to hold the CA dealer (not you!) responsible for the full measure of sales tax due. Don't expect the CA dealer to deduct the AZ tax paid in error for you. You will need to work that out on your own when filing your 540 or by asking AZ for a refund.

This is a BOE response for a similar situation where a customer purchased a firearm in NV and paid NV sales tax:

Quote:
In the situation described in your inquiry, the purchaser is purchasing a firearm from an out-of-state retailer. The out-of-state retailer is transferring the firearm to your location for the purpose of processing the necessary paperwork. Since the transfer of the firearm to the customer is taking place in California, the Nevada tax is not applicable. The location where the property (firearm) is passed to the purchaser determines where the tax is due, not the location where the money changes hands. I assume the Nevada retailer is not engaged in business in this state. Accordingly, you would be liable for the sales tax on the firearm transferred to the purchaser in this state. The purchaser should contact the Nevada retailer for a refund of the Nevada tax paid in error.
__________________
Jim


Reply With Quote
  #206  
Old 05-30-2013, 9:50 AM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

As said, the AZ dealer should not have collected sales tax as you were just paying for the firearm, not actually buying it as it has to be transferred through a FFL. It is the same as if you ordered it over the Internet. Sometimes it is best to walk out the door and call them and order the firearm.

I had a customer who went into a gun shop out of state and it took a bit, but finally I convinced the place to not charge the sales tax. It is easier to deal with this before paying though.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #207  
Old 07-22-2013, 2:53 AM
GentleMinh GentleMinh is offline
Junior Member
 
Join Date: Jan 2013
Location: San Jose, California
Posts: 87
iTrader: 13 / 100%
Default

Hey fellow Calgunners. I had a question about cali sale tax. since im about to receive a pistol from an out of state dealer. My question is would i be taxed for the labor? Invoice is 1799.99 for parts kits, 999.99 for labor, 45.00 for S/H/I ? Would i be taxed for the labor of 999.99 and shipping handling and insurence of 45.00? thanks in advance
Reply With Quote
  #208  
Old 07-22-2013, 3:38 AM
halifax's Avatar
halifax halifax is offline
Veteran Member
 
Join Date: Oct 2005
Location: Mendocino County
Posts: 4,439
iTrader: 11 / 100%
Default

All costs associated with the firearm are taxable including a CC fee if you also paid that. The DROS is the only non-taxable item.
__________________
Jim


Reply With Quote
  #209  
Old 07-22-2013, 10:36 AM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

Quote:
Originally Posted by GentleMinh View Post
Hey fellow Calgunners. I had a question about cali sale tax. since im about to receive a pistol from an out of state dealer. My question is would i be taxed for the labor? Invoice is 1799.99 for parts kits, 999.99 for labor, 45.00 for S/H/I ? Would i be taxed for the labor of 999.99 and shipping handling and insurence of 45.00? thanks in advance
Sales tax would be based on the total that you paid, including shipping.

FYI, you might be better off (in the future) to have the firearm transferred, then send it to have the work done on it as the firearm could be sent directly back to you and would not be subject to sales tax.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #210  
Old 10-28-2013, 12:45 PM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

I would rather have sales tax than income tax. The problem is that you really need to do it one way, otherwise people will find ways around it. If there was a Federal sales tax instead of income tax, then all the illegal businesses would be taxed.

There is also the problem of how you would get there from here since you money was already taxed. I also don't think that people realize how they get taxed again and again. The dollar that you earn is taxed, then the remainder is taxed on sales tax, as well as property tax, etc.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #211  
Old 11-09-2013, 1:39 PM
bufflee01 bufflee01 is offline
Senior Member
 
Join Date: Jun 2013
Location: SF Peninsula
Posts: 585
iTrader: 32 / 100%
Default

Ok, here is my scenario...I apologize if this has already been addressed:

I found & purchased a long gun from a private party seller in CA and he sends the gun to my local FFL also in CA. FFL states that this transaction is not consider a FTF transaction and that he needs to collect CA sales tax on the price I paid for the gun. IS THIS TRUE?

Thanks in advance for your comments!
Reply With Quote
  #212  
Old 11-09-2013, 1:46 PM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

It is not considered a FTF transaction, but that does not matter. As long as it is being purchased from a private party in CA and is an occasional sale, not from a business and the FFL did not get involved in finding the buyer/seller or involved in the price, it is not subject to sales tax.

The CA BOE changed their view regarding purchases from out of state private parties in late 2011. The basis for this was that Federal law required it to go through a FFL. In this case, that does not apply since it is CA law.

Read page 2, paragraph 3 of this:

http://www.calguns.net/calgunforum/a...8&d=1340749533

This mainly is about C&R firearm from out of state, but it does talk about your issue. As well, it shows that the transfer can be exempt from sales tax even when it is from out of state (under limited conditons).
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #213  
Old 11-09-2013, 3:40 PM
bufflee01 bufflee01 is offline
Senior Member
 
Join Date: Jun 2013
Location: SF Peninsula
Posts: 585
iTrader: 32 / 100%
Default

Thanks, kemasa for the lightning response!
Reply With Quote
  #214  
Old 12-12-2013, 4:49 PM
Matt0matic Matt0matic is offline
Junior Member
 
Join Date: Jul 2012
Posts: 83
iTrader: 7 / 89%
Default

On an out of state firearm purchase, does a FFL need to collect tax on the items purchased along with the firearm? IE collect tax on magazines, holster, ammunition, etc. that were not shipped with the firearm to the FFL?

Last edited by Matt0matic; 12-13-2013 at 9:19 AM..
Reply With Quote
  #215  
Old 12-13-2013, 8:06 AM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

If the items go through the FFL, then sales tax should be collected.

If there is only one invoice and the items were shipped separately, then you have a bit of a problem proving that the items did not go through the FFL and the FFL might collect sales tax to protect themselves.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #216  
Old 12-13-2013, 9:18 AM
Matt0matic Matt0matic is offline
Junior Member
 
Join Date: Jul 2012
Posts: 83
iTrader: 7 / 89%
Default

Buds did send an itemmized invoice with only the firearm listed but the FFL insisted it was only a packing slip with prices and demanded the complete invoice.

Well now I'm wiser - do two orders separating the firearms from nonfirearms when ordering out of state.
Reply With Quote
  #217  
Old 12-13-2013, 9:38 AM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

BTW, you owe the sales tax regardless of who collects it, although most people don't pay it.

Yes, it is best to do it completely separately so that there are no issues.

If the complete invoice shows that the other items were shipped to you directly, then that would be proof that the FFL is not responsible for collecting the sales tax on those items.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #218  
Old 01-21-2014, 9:15 PM
dpr dpr is offline
Member
 
Join Date: Apr 2010
Location: Nor Cal Foothills
Posts: 372
iTrader: 0 / 0%
Default

If an out of state friend purchases a rifle on line as a gift to me and has it shipped to a CA FFL for transfer does the the FFL need to collect sales tax?
Reply With Quote
  #219  
Old 01-22-2014, 11:31 AM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

Quote:
Originally Posted by dpr View Post
If an out of state friend purchases a rifle on line as a gift to me and has it shipped to a CA FFL for transfer does the the FFL need to collect sales tax?
As long as it is a gift and it is documented that it is a gift (such as a letter), it would not be subject to sales tax.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #220  
Old 03-22-2014, 12:51 PM
generalpetres's Avatar
generalpetres generalpetres is offline
Senior Member
 
Join Date: Sep 2009
Location: Diamond Bar, Ca
Posts: 803
iTrader: 6 / 100%
Default

If I Purchased a handgun from someone online out of state And they use an ffl to ship the firearm. Does my ffl have to collect sales tax on the price of the handgun? need to know cause I'm on my way to stay dros on my handgun
__________________
NRA Member
Reply With Quote
  #221  
Old 03-22-2014, 4:16 PM
halifax's Avatar
halifax halifax is offline
Veteran Member
 
Join Date: Oct 2005
Location: Mendocino County
Posts: 4,439
iTrader: 11 / 100%
Default

Quote:
Originally Posted by generalpetres View Post
If I Purchased a handgun from someone online out of state And they use an ffl to ship the firearm. Does my ffl have to collect sales tax on the price of the handgun? need to know cause I'm on my way to stay dros on my handgun
Yes
__________________
Jim


Reply With Quote
  #222  
Old 04-01-2014, 8:26 AM
Gowking's Avatar
Gowking Gowking is offline
Veteran Member
 
Join Date: Mar 2008
Location: Riverbank/Modesto area
Posts: 3,427
iTrader: 188 / 100%
Default

Quote:
Originally Posted by tenpercentfirearms View Post
CA FFLs should collect sales tax on the sale of any tangible personal property sold or delivered in the State of California.

http://www.boe.ca.gov/sutax/faqpurch.htm

FFLs should not be collecting SALES TAX on transfers of occasional or private party sales.


So if a person buys a gun from a private party on Gun Broker, then no SALES TAX should be collected. However, online auctions won from a retailer, SALES TAX must be paid.
Revisiting this thread after reading something to the contrary of the above statement I have in bold italics. Shouldn't this be edited since it is in the first post?
Reply With Quote
  #223  
Old 04-01-2014, 8:41 AM
Sticka's Avatar
Sticka Sticka is offline
Member
 
Join Date: Jun 2012
Location: Fresno
Posts: 288
iTrader: 6 / 100%
Default

I was at a LGS the other day and the owner of the store told me that if I did a PPT that he would have to charge me sales tax.
I asked how he would know how much I paid for the gun?
His response was that it would be "market value" if I did not tell him the price.

Doesn't sound right to me.
__________________
.


Reply With Quote
  #224  
Old 04-01-2014, 10:27 AM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

Quote:
Originally Posted by MadRiverArms View Post
Revisiting this thread after reading something to the contrary of the above statement I have in bold italics. Shouldn't this be edited since it is in the first post?
No, since the view of the CA BOE is different and states that a FFL needs to collect the sales tax from firearms from out of state private parties.

What is SHOULD be is very different from what is actually is.

Quote:
Originally Posted by Sticka View Post
I was at a LGS the other day and the owner of the store told me that if I did a PPT that he would have to charge me sales tax.
I asked how he would know how much I paid for the gun?
His response was that it would be "market value" if I did not tell him the price.

Doesn't sound right to me.
It isn't right. Sales tax is not collected on PPTs unless the FFL gets involved with the selling price of the firearm and/or finding the buyer/seller, or if it is not an occasional sale for the seller. You can check with the CA BOE on that. I have a letter from the CA BOE in regards to sales tax from private seller out of state in which a C&R handgun is being sold to a CA buyer who has a C&R FFL. As long as it is occasional, not from a business, the FFL is not required to collect sales tax. This is a more extreme example of a private sale.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #225  
Old 04-01-2014, 2:31 PM
Gowking's Avatar
Gowking Gowking is offline
Veteran Member
 
Join Date: Mar 2008
Location: Riverbank/Modesto area
Posts: 3,427
iTrader: 188 / 100%
Default

Quote:
Originally Posted by kemasa View Post
No, since the view of the CA BOE is different and states that a FFL needs to collect the sales tax from firearms from out of state private parties.

What is SHOULD be is very different from what is actually is.
Maybe you didn't understand my question. In the first post of this sticky tenpercentfirearms wrote:

"So if a person buys a gun from a private party on Gun Broker, then no SALES TAX should be collected."

which is contrary to what you have stated is the position of the BOE.

My point is if the BOE says the tax should be collected on firearms transfers received from out of state private parties then the first post of this sticky should be edited to reflect that. The first post of a sticky it is inherently the most important post in the thread and should only reflect correct information.
Reply With Quote
  #226  
Old 04-01-2014, 2:34 PM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

Yeah, it should, but things change over time, so you need to read the whole thread.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #227  
Old 04-01-2014, 2:35 PM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

Also read the second post :-).
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #228  
Old 04-06-2014, 5:54 AM
BerettaFan's Avatar
BerettaFan BerettaFan is offline
Member
 
Join Date: Jan 2014
Location: Bay Area, California
Posts: 163
iTrader: 4 / 100%
Default

interesting ....
__________________
Reply With Quote
  #229  
Old 04-14-2014, 1:54 PM
CifaldiPrecision's Avatar
CifaldiPrecision CifaldiPrecision is offline
Vendor/Retailer
 
Join Date: Aug 2012
Location: Southern CA, IE
Posts: 1,456
iTrader: 3 / 100%
Default

Looked through the thread and didnt see what to do in this situation.

Customer walked into a store in Washington and bought a firearm. Firearm is being sent to me for transfer to purchaser legally. In essence no different than an online purchase. However Washington store charged him sales tax. Does this effect or not effect our collecting of ca sales tax?
__________________
Brett Cifaldi
Specializing in 1911s
Cifaldi Precision
Reply With Quote
  #230  
Old 04-14-2014, 3:09 PM
EBR Works's Avatar
EBR Works EBR Works is offline
Vendor/Retailer
 
Join Date: Dec 2007
Location: Prescott, AZ
Posts: 9,556
iTrader: 110 / 100%
Default

Quote:
Originally Posted by IronWorksTactical View Post
Looked through the thread and didnt see what to do in this situation.

Customer walked into a store in Washington and bought a firearm. Firearm is being sent to me for transfer to purchaser legally. In essence no different than an online purchase. However Washington store charged him sales tax. Does this effect or not effect our collecting of ca sales tax?
The WA store should not collect tax on a shipped transfer. CA tax is due only.
__________________


Check out our e-commerce site here:

www.ebrworks.com

Serving you from Prescott, AZ
Reply With Quote
  #231  
Old 04-14-2014, 3:31 PM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

You still need to collect CA sales tax. The WA store should not have charged him sales tax. It is really a business to business transfer, just like if he happened to call the place and paid for it over the phone.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #232  
Old 04-14-2014, 5:09 PM
CifaldiPrecision's Avatar
CifaldiPrecision CifaldiPrecision is offline
Vendor/Retailer
 
Join Date: Aug 2012
Location: Southern CA, IE
Posts: 1,456
iTrader: 3 / 100%
Default When CA FFLs should collect SALES TAX from consumers.

That is exactly how I understood it too. I just wanted confirmation. I emailed them already.

Thank you,
Brett C.
IronworksTactical.com - owner
__________________
Brett Cifaldi
Specializing in 1911s
Cifaldi Precision
Reply With Quote
  #233  
Old 04-15-2014, 1:02 PM
CifaldiPrecision's Avatar
CifaldiPrecision CifaldiPrecision is offline
Vendor/Retailer
 
Join Date: Aug 2012
Location: Southern CA, IE
Posts: 1,456
iTrader: 3 / 100%
Default

So a little follow up. Got a phone call from them today trying to say because he walked in to pay its a wa purchase and not to worry because the receipt says he paid wa state tax already he won't be required to pay ca state tax. I told them that want correct and explained it's the same as if he paid over the phone. It's still be delivered to him in ca through an FFL.


Brett C.
IronworksTactical.com - owner
__________________
Brett Cifaldi
Specializing in 1911s
Cifaldi Precision
Reply With Quote
  #234  
Old 04-15-2014, 3:23 PM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

It is not a WA sale as it was not given to him. It can take a bit to get them to understand. I went through that with a customer who stopped by shop in another state. They did end up understanding in the end.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #235  
Old 04-17-2014, 6:34 PM
CifaldiPrecision's Avatar
CifaldiPrecision CifaldiPrecision is offline
Vendor/Retailer
 
Join Date: Aug 2012
Location: Southern CA, IE
Posts: 1,456
iTrader: 3 / 100%
Default

Quote:
Originally Posted by kemasa View Post
It is not a WA sale as it was not given to him. It can take a bit to get them to understand. I went through that with a customer who stopped by shop in another state. They did end up understanding in the end.

Bass pro stepped in and told the customer they would do it as it's a grey area and no ca tax would need to be collected. Uh sure that's on them. I still think this should be treated as kemasa explained.


Sent from my iPhone using Tapatalk
__________________
Brett Cifaldi
Specializing in 1911s
Cifaldi Precision
Reply With Quote
  #236  
Old 04-18-2014, 11:56 AM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

Quote:
Originally Posted by IronWorksTactical View Post
Bass pro stepped in and told the customer they would do it as it's a grey area and no ca tax would need to be collected. Uh sure that's on them. I still think this should be treated as kemasa explained.
That is funny as it is not a gray area. The CA BOE says that the CA FFL has to collect sales tax on a firearm if it is coming from out of state and the business does not collect CA sales tax.

The buyer did not take possession when out of state as the firearm can not be transferred to them.

Yeah, an employee can say that they will do it because things won't come down on the employee, but on the business owner.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #237  
Old 04-18-2014, 1:47 PM
CifaldiPrecision's Avatar
CifaldiPrecision CifaldiPrecision is offline
Vendor/Retailer
 
Join Date: Aug 2012
Location: Southern CA, IE
Posts: 1,456
iTrader: 3 / 100%
Default

I agree. I wrote the boe also and will post up what they say once it comes back.


Brett C.
IronworksTactical.com - owner
__________________
Brett Cifaldi
Specializing in 1911s
Cifaldi Precision
Reply With Quote
  #238  
Old 04-18-2014, 8:50 PM
mkasda mkasda is offline
Member
 
Join Date: Jul 2010
Posts: 250
iTrader: 8 / 100%
Default

Confirming sales tax is collected on price of firearm, shipping to FFL (from out of CA), and FFL transfer fee. The only thing BOE changed guidance on was eliminating the sales tax on $25 DROS fee.
Reply With Quote
  #239  
Old 04-19-2014, 11:51 AM
kemasa's Avatar
kemasa kemasa is offline
I need a LIFE!!
 
Join Date: Jun 2005
Location: Ventura County, CA
Posts: 10,262
iTrader: 6 / 100%
Default

Yes, for an out of state transfer.

For in-state, the selling FFL is responsible for collecting the sales tax on the transfer dealer's FFL fee, as well as on everything else.
__________________
Kemasa.
FFL Transfer/Special Order Dealer since 1993.
Net-FFL list maintainer.

Never try to teach a pig to sing. You waste your time and you annoy the pig. - Robert A. Heinlein
Reply With Quote
  #240  
Old 04-24-2014, 9:32 AM
CifaldiPrecision's Avatar
CifaldiPrecision CifaldiPrecision is offline
Vendor/Retailer
 
Join Date: Aug 2012
Location: Southern CA, IE
Posts: 1,456
iTrader: 3 / 100%
Default

Ok one more that I may have missed here. A firearm that is used and being transferred in state. For instance seller is in nor cal. They ship an FFL the gun directly so purchaser in so cal can do transfer through them. This is technically a person to person transfer so no tax but does it change since the FFL has go run it as a normal sale through the DROS system? I would think that wouldn't change anything because the FFL wasn't involved in negotiating the price, finding the buyer/seller etc.


Brett C.
IronworksTactical.com - owner
__________________
Brett Cifaldi
Specializing in 1911s
Cifaldi Precision
Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump



All times are GMT -8. The time now is 8:28 PM.




Powered by vBulletin® Version 3.8.9
Copyright ©2000 - 2019, vBulletin Solutions, Inc.
Proudly hosted by GeoVario the Premier 2A host.
Calguns.net, the 'Calguns' name and all associated variants and logos are ® Trademark and © Copyright 2002-2018, Calguns.net an Incorporated Company All Rights Reserved.
Calguns.net and The Calguns Foundation have no affiliation and are in no way related to each other.
All opinions, statements and remarks made by Calguns.net on this web site and elsewhere are solely attributable to Calguns.net.