Tax on raffle win?

[manini]

If you win a gun in a raffle, how does the FFL determine what to charge for tax when you DROS the gun?

[sffred]

Prolly MSRP?

[leman77]

Just tell them how much you paid for the raffle ticket and have him tax the value of that?

[Dark Hunt]

The same way that the IRS does for income tax.

[Markinsac]

Depends on several things:

- Did the organization who had the raffle already pay the sales tax? If so, you shouldn't have to do more.
- If it was a certificate of a value, then you're going to pay anything, including tax, on anything above.
- If they agreed on a value, and are paying that amount, then you would pay sales tax on that amount.

['ol shooter]

My wife won a S&W 442 Power Port in an NRA drawing some years back, and the tax on the invoice was based on the MSRP. Lucky for her, the sales tax and DROS fees were all covered.

[edgerly779]

Tax should be paid by purchaser. You should pay tax on raffle ticket price. Did you purchase the firearm?

[traveler1952]

I won an AR15 a few years ago, only paid the $35 dros fees.

[condor]

It depends on how the transfer is handled. If the gun is coming out of a dealers inventory, and DROS is required, it will be taxed based on the MSRP, or a bill of sale.
This also applies if the gun is shipped to a CaFFL1 dealer from out of state. It must come with a bill of sale and meet CFLC requirements, and taxes are collected...
If the gun was donated by a private party, and already registered in their name, it can be PPT'd, and since it's considered a person to person sale no tax applies... yet!!

[Bakerloo]

I won a Weatherby Orion over under shotgun in April. I only paid the $35 dros fee. I guess I owe the state about $80. Maybe I'll drive on up to Sacramento and pay them. Or maybe I'll just buy $80 worth of ammo.