jonkoppisch

My Feedback: (162)

While doing paperwork for my table at Perry Georgia I noticed this at the bottom of the app.....

"Note! Our show success has been noticed by the Georgia Department of Revenue. Please be advised that the Georgia sales tax code requires a Georgia state sales tax (7%) must be collected by anyone selling anything (new or used) at the show. They claim they will have agents at our next show (2006) to insure compliance. Click here for .pdf tax form or click here for .doc tax form.

Please don't shoot the messenger!! "

I wonder how this will effect the swap meet?

Rv7garage

My Feedback: (10)

"Cause I'm the tax man... yeah__ I'm the tax man..." Beatles

AIRPLANENUTS

My Feedback: (2)

I wondered that myself. It will be a hassle for the vendor. May keep some away.

jonkoppisch

My Feedback: (162)

Looks to be a hassle for anyone selling anything!!!!!

piper_chuck

My Feedback: (12)

I don't know about GA, but I would imagine every state has something in their tax code that exempts individuals from having to collect sales taxes when they're selling off their unwanted stuff.

piper_chuck

My Feedback: (12)

I was curious what NC says about this kind of thing. This appears to be the most appropriate text:

Every person who sells tangible personal property at a flea market, other than his own household personal property, is required to obtain a Merchants Certificate of Registration to engage in and conduct such business. When making sales at the flea market such person shall conspicuously display the license or shall display a receipt from the Department of Revenue showing that he has applied for the license in cases where he has not yet received the license. Every person who sells only his own household personal property at a flea market must certify in writing to the person from whom he leases or rents space that he will sell only his own household personal property and when selling tangible personal property at the flea market must conspicuously display a copy of the written statement.

And:

Occasional sales of household goods on which the sales tax has been paid are exempt from the tax when sold by the owner in his capacity as owner and not in the capacity of a retail merchant. Such sales are deemed to be casual or isolated sales by persons not holding themselves out as engaged in business.

These 2 things make it pretty clear that someone selling off excess stuff from their shop does not need a merchant license and does not have to collect sales taxes.

So, if I were running the swap meet I would be reasearching the laws in GA to see if the revenue dept was just strong arming them.

jonkoppisch

My Feedback: (162)

Sounds good. Hope they can come up with something. I can see everyone trying to collect tax on the things they have for sale (especially after all of the offers/bidding on the items) and then fileing the paperwork with the IRS to send in the $5 that they collected

piper_chuck

My Feedback: (12)

Curiosity got the better of me. This is from GA:

560-12-1-.07 Casual Sale.
(1) Invoking the rule of de minimis and because of the difficulties of administration and
enforcement, no sales or use tax liability will be enforced against either the sellers or the
purchaser in a casual sale transaction as herein defined, except as hereinafter provided.
(2) A "casual sale transaction" is:
(a) A sale in which the tangible personal property involved was not acquired or held by
the seller for use in the operation of his business or for resale; or...

I don't know if they have a statute about flea markets. The GA web site is painful to find informaiton. The tax regulations are broken into one page PDF files. Information that I found on the NC site in less than 5 minutes took 15-20 to extract from GA's site.

If someone reading this knows the organizers of the swap meet, it might be nice to forward it to them. As we all know, sometimes revenuers need to be reminded of the rules under which they are supposed to operate.

ballgunner

My Feedback: (1)

the AZ Tax collector has stated flat out that they would be checking up on items bought in other states and shipped to AZ. that includes Tower, Horizon and any one else in the hobby buxiness.
I've heard it said, and I believe it, that the higher the tax administrators go the more jealous they get of the the smaller cities and towns because they can raise taxes almost without question. The Feds are nearly as jealous of any political entity that can do this without a vote that mey be remembered at election time.
Last night the TV News asked a number of Senators and Congressmen if they would pull the "pork" amendments out of the latest transportation bill. They all ansered "NO". Excuse was that all those bridges to nowhere and Interstate Highways in Hawaii are local needs that must come first. New Orleans get out the mops.

depfife

My Feedback: (14)

For several years now, Alabama has a line on the state income tax form where it asks taxpayers to list the dollar value of all internet/mail order purchases from out of state merchants that were shipped to Alabama and no state sales tax was collected. After we volunteer this information, we are then required to pay sales tax on it.

As for Perry, there are lots of merchants at the swap meet.

DocYates

My Feedback: (102)

This is one of the things that caused a local large and active club to close their annual swap meet. Sometimes the tax man just can't leave well enough alone, but if they really wanted to solve this they could adopt the "The Fair Tax Plan", a great read, pick up a copy at the book store. It would solve a heck of a lot of problems for us.
Tommy

Loopman

My Feedback: (195)

Guys,
I have dealt with the Georgia Department of Revenue many, many times. They themselves do not know how to enforce their own rulings! There is no clear cut definition as to who is a vendor and who is not! I spoke with them concerning this show and they were very, very tert in replying that "EVERYONE" selling at the show must collect tax. You cannot argue with these people and most of the agents have this attitude that they are always right and you are always wrong! I agree that bona-fide merchants should be required to register and collect sales tax. I am not in agreement that the rest of us should do the same. We are engaging in casual sales of items we purchased, and in most cases, paid sales tax on. We are not engaged in this as a going concern and for many of us, this is the ONLY swap meet that we attend. Make no mistake about it, the Georgia Department of Revenue will be looking to make an example of some poor Joe at this swap meet. If anything can be done about this I would recommend contacting the appropriate elected Georgia State Representative to get the DOR to back off but I highly doubt that will happen.

Happy Flying ( but not in Georgia) [:'(]

Loopman

jonkoppisch

My Feedback: (162)

Wow!!! I can see the looks on the people's faces and the buyers walking away even now when you tell them that after the long negotiation on a price you'll have to charge an extra 7% for tax.....

H. Wayne S

My Feedback: (18)

Simple solution- When you buy something, walk out the door to exchange the money. Then it is a personal sale of household goods.

Geistware

My Feedback: (16)

Simpler soluton..... Just post that the tax is included in the purchase price!

BarracudaHockey

My Feedback: (11)

That would be like collecting tax at someone's garage sale, I just can't see it being legal.

Geistware

My Feedback: (16)

Oh... It is legal. The illegal part is the collecting of tax and not giving it to the government.

Sport_Pilot

Individuals do not have to charge sales tax. However the vendors who are a business do. Apparently a lot of business were trying to pass off as individuals, which is illegal.

Sport_Pilot

I suggest calling a few flea market and ask how they handle this?

Loopman

My Feedback: (195)

We're not going to get anywhere with the Georgia Department of Revenue. One of their "Sr.Tax Analyst" replied that since we are partcipating in a show where there are businesses selling the same type of items, we would pose a "competitive disadvantage" to those vendors who are collecting tax, so we have to collect tax as well. I sincerely hope that the show will not be put in future jeopardy because of this. GAMA has done a wonderful job of putting this show on but dealing with the GA Dept. of Revenue may be a handful! I'll be there in March and I'll abide by the rules set forth by the DOR, but I don't have to like it!

Happy Flying!

Loopman [&o]

piper_chuck

My Feedback: (12)

That's hogwash. The mission of Revenue departments is not to make up policy on the fly to ensure fair competition. Their mission is to collect taxes according to the tax laws of their state. This "Sr.Tax Analyst" is out of touch with his role in the grand scheme of things.

Sport_Pilot

I would suggest calling the Gun show people. I understand that they are not taxing non business vendors. But then again I can understand why they wouldn't mess with the gun people.

Geistware

My Feedback: (16)

Like I said, TAX INCLUDED will address that problem.
The only issue then is that you are expected to send in the money and they have no way of knowing if you did that or not.
If a tax guy wants to purchase my stuff, then I will let him!