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[BannedinBritain]

It should be on the customer and if they get audited at the end of the year for not paying taxes, then its on them not you.

Agreed...but FFL's have a permit that can be revoked and BOE will take punitive action if they feel we're avoiding the tax knowingly. So they can audit one business...or all the customers of that business. It's a lot cheaper to just focus on the FFL.

And yes...BOE is actively enforcing this through audits of the prior three years, and assessing a penalty along with any back taxes owed...depending on the number of transactions...the cost to a business can be upwards of $50,000-$75,000. Not too many business can just instantly come up with that kind of cash.

[tonelar]

Ok, here's something I did not know; So, any transfer through an ffl has to have sales tax paid on the price of the firearm(s) being transfered?

I thought it was only warranted on purchases from the ffl (ie firearms they ordered for me as well as those already in their inventory).

[TCB Firearms]

Ok, here's something I did not know; So, any transfer through an ffl has to have sales tax paid on the price of the firearm(s) being transfered?

I thought it was only warranted on purchases from the ffl (ie firearms they ordered for me as well as those already in their inventory).

Not in AZ...yet. Curious if this is the rule in CA? A transfer is a "service" and services are not subject to sales tax in AZ...yet

[HK4113]

To me playing "tax man."

Where are these "customers" going? Who doesn't charge tax for certain transfers anymore?

Plenty of FFL's around so cal don't charge tax if you know them well enough. I'm not going to rat them out though.

[bombadillo]

Ok, here's something I did not know; So, any transfer through an ffl has to have sales tax paid on the price of the firearm(s) being transfered?

I thought it was only warranted on purchases from the ffl (ie firearms they ordered for me as well as those already in their inventory).

Just so I'm getting this right, is it tax on the DROS/Transfer fee, or tax on the purchase of the weapon. For example, if I buy a rifle from an online source, are they saying that the FFL has to collect tax on the firearm purchase price or are they just taxing the fee that the dealer is charging. That would be a huge difference in price. If its taxing the dealer fee, whatever that may be I have no problem with it. If its something that I am buying out of state, I think its B.S. that they are trying to enforce the FFL's to attempt to collect tax on something that wasn't purchased in california.

[HK4113]

Just so I'm getting this right, is it tax on the DROS/Transfer fee, or tax on the purchase of the weapon. For example, if I buy a rifle from an online source, are they saying that the FFL has to collect tax on the firearm purchase price or are they just taxing the fee that the dealer is charging. That would be a huge difference in price. If its taxing the dealer fee, whatever that may be I have no problem with it. If its something that I am buying out of state, I think its B.S. that they are trying to enforce the FFL's to attempt to collect tax on something that wasn't purchased in california.

If you buy a rifle online from another state, and transfer it to an ffl in California, the ffl is suppose to charge you tax to collect for California.

[LoneWolf1]

Just so I'm getting this right, is it tax on the DROS/Transfer fee, or tax on the purchase of the weapon. For example, if I buy a rifle from an online source, are they saying that the FFL has to collect tax on the firearm purchase price or are they just taxing the fee that the dealer is charging. That would be a huge difference in price. If its taxing the dealer fee, whatever that may be I have no problem with it. If its something that I am buying out of state, I think its B.S. that they are trying to enforce the FFL's to attempt to collect tax on something that wasn't purchased in california.

Bolded part would be correct. The BOE is using the FFL's to collect sales/use tax on out of state purchases.

[Tripper]

hmm, i think my out of state purchase of that firearm was maybe 1 dollar, dollar fifty.
gift..
i dunno, is that right?
thats why lots of businesses quit doing business in CA, the taxman stuff usually

[HK4113]

hmm, i think my out of state purchase of that firearm was maybe 1 dollar, dollar fifty.
gift..
i dunno, is that right?
thats why lots of businesses quit doing business in CA, the taxman stuff usually

unfortunately, the invoice is usually shipped with the gun straight to the ffl.

[bombadillo]

Wow, unbelievable. Thats equivalent to buying something online and taxing you for it. I'll continue to stick it to the man any way I can in this awful state until I can get the hell out of here. Same kind of thing happening with Amazon.com and other places online. If they would get people off of freakin wel-fare and do drug testing for all the free money given out, stop giving homeless people checks, local level we give dogs $80 per month per dog for a homeless man, and the countless abuse of government employees with vehicles, wasted time, hours, and other things we may get our head out of our asses and not worry about $40 bucks from a rifle. Such an unbelievable bunch of crap my head is spinning. I'm so done with this state and waiting for the next 3 weeks to find out if I am able to get my transfer in to Idaho.


Edit, and this is also me spending my hard earned money AFTER getting taxed 35% of my wages to begin with. So them asking another 8.25% is just over the top. I feel like I should get to keep more than half of what I earn and California is making it harder and harder so they can have dirt bags sucking the Cali Tit.

[kemasa]

For more info, check out the following link, which is part of the FFL FAQ:

http://www.calguns.net/calgunforum/showthread.php?t=366781

[bombadillo]

Interesting. So online auctions such as gunbroker sales tax should be collected, but somewhere like thegunsource.com who is a business front and the transaction is officially being done out of state should NOT be taxed. Thats coming from an FFL fighting against having to collect tax on the deal.

EDIT: I read that wrong and didn't fully read to the bottom. I understand now that they are trying to get you guys to collect tax on ALL transfers from out of state. Either way, such B.S.

Again I'm really not trying to be a jerk to the FFL's as I feel for you and I know you're trying to do your best not to get into trouble with the BOE, DOJ, etc. but this state is getting ridiculous on the tax laws and they want to tax me on EVERYTHING just so some scumbag can get a wel-fare check. I'm just trying to retain as much money as I can for my family and I.

[bombadillo]

Oh, to add fuel to the fire, I was at a local shop yesterday and there was a consignment gun on the counter. Older Smith 19 .357 for $550. Great gun, good price. The store wanted to charge tax on the item that was CONSIGNMENT (Should be a PPT) $25 DROS, $10 store fee (unknown why on that one) $15 lock fee, (wouldn't accept me having a safe) So they're trying to rake it in saying its tax for the state even though it is a private party transfer. His explanation was that they were buying the gun from the guy and then they'd have to charge tax. If that were true I would understand, but the transaction would be done as a PPT, not a sale of a used gun. I was so pissed I just walked out.

[kemasa]

Sales tax is to be collected unless it is a private sale, an occasional sale and not coming from a business (which should be documented), an exception to this is if the FFL finds the buyer and/or negotiates the price, even for a PPT, in which case sales tax is to be collected on the firearm, as well as the FFL's fee.

This is an OLD requirement, nothing new, just that due to money issues the BOE seems to be more interested in getting the money.

[dctex99]

I won't tell you what kind of business I am in

I get that John, I didn't mean to lump everyone together ...by and large the vast majority of them play by the rules. What I meant was the only ones I hear of any more that don't collect the tax are those types of FFL's...I imagine it's a very small percentage...and getting smaller as BOE makes it's rounds.

But I sell things at the Largest Venue in the state of California and they DO NOT REQUIRE MY RESALE LICENSE; HENCE NO TAX IS COLLECTED BY OVE A HUNDRED DEALERS...and I sell at 5 small venues that require my tax number and the 15 other dealers!!! It is just not fair, but I am not going to rock the boat; I spend a lot money GOING to the LARGEST place; so a lot of money is spread around.....but the BOE is NOT nearly as organized as you think, nor do they catch any of these small mom and pops who claim 10% of the sales tax they collect....so I can't blame gun people who basically have a Minimum of a $200 purchase and on up in the thousands; so A LOT of tax involved!!