FFL Transfer question.

[BUCDOUT57]

Was wondering if anyone knows whether or not an ffl dealer is supposed to charge sales tax on a rifle shipped in from out of state. My FFL dealer does and another forum member stated his does not. So I'm assing it is totally up to the seller correct?? If this is the case I was wondering of anyone has personally dealt with someone in the south bay or los Angeles are who does not charge sales tax from out of state transfers?I am located in Hawthorne zip code 90250. Thanks in advance for any help.

[CSACANNONEER]

It really does not matter who collect the tax as long as it gets paid. See here:

http://www.calguns.net/calgunforum/showthread.php?t=279869

[tenpercentfirearms]

It really does not matter who collect the tax as long as it gets paid. See here:

http://www.calguns.net/calgunforum/s...d.php?t=279869

This is incorrect. It does matter who pays it if you hold a retail sales permit in the State of California. The CA BOE states the FFL dealer that receives an out of state firearm that was involved in a retail sale as the retailer, unless the out of state retailer collects the CA sales tax. As a result, that makes the CA dealer the retailer and they are liable for the sales tax.

The good news is once the CA dealer collects the sales tax, you are no longer liable for Use Tax on the purchase come income tax season.

What CSACANNONEER is getting at is if you are following the law, you should be paying either sales tax to the FFL or use tax to the state. However, a dealer that does not collect sales tax, is liable for those sales and will have to pay the due sales tax and any penalties if they get audited. The excuse, "Well I told the guy to pay Use Tax" will not fly otherwise I would do that on all of my retail sales.

[kemasa]

It also depends on whether the firearm came from a business or from a private party, which is also an occasional sale and that they don't have a business, which would be tax exempt. This needs to be documented.

Many FFLs don't know the law with regard to sales tax. It is quite clear, if you read the BOE info, at least in this respect. In many other respect it is unclear.