HSC Sales Tax?

[hakuna]

Hiya FFLs,

I'm pretty sure we don't charge tax on an HSC $15, but on the $10 fee we do charge tax right? I thought I read on this somewhere but a forum search turned up nada.

Thanks,
Gary

[halifax]

Geeze, I hope not. I never have.

[tenpercentfirearms]

An HSC is not tangible personal property. It is a certificate similar to a license.

However, this gives you a good chance to learn to e-mail the BOE and ask them about it and then share your answer with the rest of us.

[hakuna]

Thanks, I emailed them and I'll let you know. You might want to add the reply to the "Sales Tax" sticky if it's informative.

Thanks again,
Gary

[kemasa]

I didn't think so, but I called to check and they said no. It is not in writing, so it does not really count though :-).

[hakuna]

I got an email saying my request for info is being sent to a specialist (read:lawyer) and they'll get back to me. I hope we aren't all sorry I asked....

Gary

[acespawnshop]

Just checked with my CPA, she says that since the HSC is a required service you are not selling something to them nor creating something for the customer. The $10 is NOT something you would collect sales tax on.

[hakuna]

That makes sense. I think what makes it a bit confusing is that it seems like we "buy" the certificates as if they are resale items in books of 10 for $150....

Gary

[Stoney Creek Arms]

Do we charge tax on the shipping amount on an out of state shipment?

[halifax]

Do we charge tax on the shipping amount on an out of state shipment?

Yes, any cost to get the firearm to your business including CC surcharges

[Stoney Creek Arms]

Thank you that's what I needed to know. This tax stuff sure is confusing.