11% excise tax

[Steve G]

Not at all...California is a captive market...there are no LEGAL alternatives.

Not sure is serious? LOL

[OCEquestrian]

Not at all...California is a captive market...there are no LEGAL alternatives.

[TrappedinCalifornia]

Here's the discussion thread on AB 28. Be sure to read Librarian's post #29 with the quote from CRPA.
-P

This was the thread - Thirty-day DROS - I was actually thinking of as it directly addresses the question...

Sorry if smarter people already answered this. I haven't seen anything definitive yet. With that, I've been told by 4 LGS that yes you can avoid the tax as long as everything is paid for before July 1, regardless of dros and delivery date. Others, notably Turners, say that they need to be delivered by the 1st. Who is right, and is this just a money grab from the shops? I don't know, but knowing the shops, I don't think its a money grab. In my very un-lawyerly reading of this "law", I believe the LGS's.

But as always, do your own research.

[Preston-CLB]

I don't believe anyone can provide a definitive answer. If they can, it won't be a simple one.

There's a thread where it's been talked about, but I'm not finding it at the moment. The 'conclusion' (as such) which was broached is that it may depend on the shop and how they report their earnings.

In short, there may not be a 'right' and 'wrong' answer so much as an 'it depends' version, not so much based on the law itself, but based on how the shop does its accounting.

Here's the discussion thread on AB 28. Be sure to read Librarian's post #29 with the quote from CRPA.
-P

[Enthused]

FWIW all I can tell is they (stores) are advertising you must DROS by 6/19 or 6/20 and have pick up before the end of the month to avoid the 11% - could be real could be a sales pitch IDK

It has worked on me. I've purchased 3 firearms and thousands of rounds of ammo in the last 3 months. If this upcoming 11% tax didn't exist, I probably only would have purchased a few boxes of ammo instead. I know thousands of Californians across the state have been doing the same thing.

Congrats Gavin and the rest of the morons in Sacramento!

[DuckDawg22]

This little tidbit was in today's WBT Guns email. "Place your order ASAP to ensure delivery to your FFL in time to DROS. Each FFL has a different policy."
Screenshot 2024-05-31 at 8.17.30?PM.png

[Zenderfall]

[TrappedinCalifornia]

Sorry if smarter people already answered this. I haven't seen anything definitive yet. With that, I've been told by 4 LGS that yes you can avoid the tax as long as everything is paid for before July 1, regardless of dros and delivery date. Others, notably Turners, say that they need to be delivered by the 1st. Who is right, and is this just a money grab from the shops? I don't know, but knowing the shops, I don't think its a money grab. In my very un-lawyerly reading of this "law", I believe the LGS's.

But as always, do your own research.

I don't believe anyone can provide a definitive answer. If they can, it won't be a simple one.

There's a thread where it's been talked about, but I'm not finding it at the moment. The 'conclusion' (as such) which was broached is that it may depend on the shop and how they report their earnings.

In short, there may not be a 'right' and 'wrong' answer so much as an 'it depends' version, not so much based on the law itself, but based on how the shop does its accounting.

[kenl]

Sorry if smarter people already answered this. I haven't seen anything definitive yet. With that, I've been told by 4 LGS that yes you can avoid the tax as long as everything is paid for before July 1, regardless of dros and delivery date. Others, notably Turners, say that they need to be delivered by the 1st. Who is right, and is this just a money grab from the shops? I don't know, but knowing the shops, I don't think its a money grab. In my very un-lawyerly reading of this "law", I believe the LGS's.

But as always, do your own research.

[DuckDawg22]

FWIW all I can tell is they (stores) are advertising you must DROS by 6/19 or 6/20 and have pick up before the end of the month to avoid the 11% - could be real could be a sales pitch IDK

I've always paid in full prior to running the DROS, but now that I think about it, my LGS gave me the option to pay on pickup. If the transaction closes prior to July 1 I don't see how they can charge you the tax after the fact. Gotta be a sales tactic

[harbormaster]

FWIW all I can tell is they (stores) are advertising you must DROS by 6/19 or 6/20 and have pick up before the end of the month to avoid the 11% - could be real could be a sales pitch IDK

[NikePenguin]

[Raptor3000]

It will be great if it's repealed

[MajorSideburns]

Have similar taxes been tried in other states before? I vaguely recall reading about something similar in Washington or Oregon a few years back which was defeated in court as unconstitutional. Am I misremembering or do we have a chance at getting this law repealed with lawsuits?

[Silence Dogood]

So PPT is not taxed at 11%? A private party selling a firearm would not fall under the definitions of "licensed firearms dealers, firearms manufacturers, and ammunition vendors" would they?

That is correct. "No" to both of your questions. Buyer pays the seller directly. Let's say the agreed upon PPT price is $500. Buyer is giving that money to the seller directly and the FFL is collecting just the DROS fee and $10 to do the transfer, at least every time I have done it. That means there is nothing of value being sold from the FFL's inventory which would lead me to speculate no 11% excise tax. Even if I am wrong about that, 11% of $47.50 is <$6.