Baltimore Coin Show Alert! HB 206 - The Repeal of the Sales and Use Tax Exemption for Coins and Bul
CoinRaritiesOnline
Posts: 3,662 ✭✭✭✭
Hi All:
I just received this email from the Whitman folks. They run the fantastic Baltimore show -- shows which rank among the best shows in the country for both collectors & dealers.
I don't live in Maryland, but I do care deeply about these shows.
Here is what they are asking people who love these shows as much as I do to do over the next day or so:
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We have retained The Rasmussen Group to advocate our best interests regarding HB 206 - Sales and Use Tax Exemption for Precious Metal Bullion and Coins – Repeal under consideration by the Maryland General Assembly. This committee is scheduled to have a hearing at 1 pm, Wednesday, February 23. Here is how you can help us get this legislation defeated:
We encourage your efforts to generate as many contacts as possible to the Legislative Membership of the House Ways & Means Committee expressing opposition to HB 206.
Legislative contacts can be made either by email or telephone or both, whichever is most convenient. Click here for a chart that contains all of the appropriate contact information, including the Legislators’ email addresses, as well as their legislative office phones.
Should you contact the Legislator by phone, expect to speak to a staff member only. Telephone calls should be brief and should contain a statement in opposition to HB 206. Emails should be brief, as well, and no longer than a paragraph in length. Identify yourself as a Maryland dealer, a dealer in general, a participating coin collector from Maryland, or a visiting participating coin collector from another state. Express opposition to HB 206 - Sales and Use Tax Exemption for Precious Metal Bullion and Coins – Repeal.
Several suggested talking points are as follows:
The sales tax exemption has been critically important to the success of the three major shows conducted at the Convention Center in Baltimore each year over the past 20 years.
The repeal of the sales tax exemption would result in significant loss of economic benefit to both Maryland and Baltimore, since the three shows would likely be moved to a friendlier state with no sales tax.
Not only would Maryland lose the sales tax on sales under $1,000, but the City of Baltimore would also lose significant revenue from the loss of the hotel tax on thousands of hotel-room nights per year as well as the retail and restaurant spending in Baltimore generated by the show participants.
Respectfully request that the Ways & Means Committee vote an Unfavorable Report on HB 206.
We cannot stress enough the urgency of making these contacts within the next 24 hours. Please contact me should you have any questions. Thank you in advance for your help.
Best regards,
David Crenshaw
General Manager
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Here is the link to those House Committee members:
Link to Maryland House Committee Members with Email addresses
It is easy to do, and will only take a few minutes. if you don't have time to email all of the members, just pick one.
I just received this email from the Whitman folks. They run the fantastic Baltimore show -- shows which rank among the best shows in the country for both collectors & dealers.
I don't live in Maryland, but I do care deeply about these shows.
Here is what they are asking people who love these shows as much as I do to do over the next day or so:
-----------
We have retained The Rasmussen Group to advocate our best interests regarding HB 206 - Sales and Use Tax Exemption for Precious Metal Bullion and Coins – Repeal under consideration by the Maryland General Assembly. This committee is scheduled to have a hearing at 1 pm, Wednesday, February 23. Here is how you can help us get this legislation defeated:
We encourage your efforts to generate as many contacts as possible to the Legislative Membership of the House Ways & Means Committee expressing opposition to HB 206.
Legislative contacts can be made either by email or telephone or both, whichever is most convenient. Click here for a chart that contains all of the appropriate contact information, including the Legislators’ email addresses, as well as their legislative office phones.
Should you contact the Legislator by phone, expect to speak to a staff member only. Telephone calls should be brief and should contain a statement in opposition to HB 206. Emails should be brief, as well, and no longer than a paragraph in length. Identify yourself as a Maryland dealer, a dealer in general, a participating coin collector from Maryland, or a visiting participating coin collector from another state. Express opposition to HB 206 - Sales and Use Tax Exemption for Precious Metal Bullion and Coins – Repeal.
Several suggested talking points are as follows:
The sales tax exemption has been critically important to the success of the three major shows conducted at the Convention Center in Baltimore each year over the past 20 years.
The repeal of the sales tax exemption would result in significant loss of economic benefit to both Maryland and Baltimore, since the three shows would likely be moved to a friendlier state with no sales tax.
Not only would Maryland lose the sales tax on sales under $1,000, but the City of Baltimore would also lose significant revenue from the loss of the hotel tax on thousands of hotel-room nights per year as well as the retail and restaurant spending in Baltimore generated by the show participants.
Respectfully request that the Ways & Means Committee vote an Unfavorable Report on HB 206.
We cannot stress enough the urgency of making these contacts within the next 24 hours. Please contact me should you have any questions. Thank you in advance for your help.
Best regards,
David Crenshaw
General Manager
---
Here is the link to those House Committee members:
Link to Maryland House Committee Members with Email addresses
It is easy to do, and will only take a few minutes. if you don't have time to email all of the members, just pick one.
0
Comments
If you bid or consign to those auctions, or benefit from the new purchases of dealers & collectors who attend, you are affected by this.
Coin Rarities Online
TD
An authorized PCGS dealer, and a contributor to the Red Book.
It has value to all buyers and sellers of numismatic material. If you are not fortunate enough to attend, then perhaps your representatives do attend the events there.
It is actually a benefit to having as many numismatic sales exempt from sales tax in all the states.
I firmly believe in numismatics as the world's greatest hobby, but recognize that this is a luxury and without collectors, we can all spend/melt our collections/inventories.
eBaystore
kathy.afzali@house.state.md.us, kumar.barve@house.state.md.us, joseph.boteler@house.state.md.us, talmadge.branch@house.state.md.us, jon.cardin@house.state.md.us, mark.fisher@house.state.md.us, bill.frick@house.state.md.us, ron.george@house.state.md.us, glen.glass@house.state.md.us, sheila.hixson@house.state.md.us, carolyn.howard@house.state.md.us, jolene.ivey@house.state.md.us, anne.kaiser@house.state.md.us, eric.luedtke@house.state.md.us, aruna.miller@house.state.md. us, leroy.myers@house.state.md.us, samuel.rosenberg@house.state.md.us, justin.ross@house.state.md.us, andrew.serafini@house.state.md.us, melvin.stukes@house.state.md.us, michael.summers@house.state.md.us, frank.turner@house.state.md.us, jay.walker@house.state.md.us
Here is the text of my message - I'm sure it could be improved upon but feel free to borrow it if you are pressed for time:
I am a serious coin collector / investor from Pennsylvania. As such, I travel to Baltimore 2 to 3 times each year to attend shows - spending an average of 7 nights per year in Maryland for this purpose and frequently spending substantial sums of money or selling substantial numbers of coins or both. The repeal of the sales tax exemption for precious metal bullion and coins would cause me to reduce or eliminate these trips and conduct my business elsewhere.
Please defeat HB 206 and retain the Sales and Use Tax Exemption for Precious Metal Bullion and Coins.
Respectfully,
This is a big help. People from WV, OH, and MD can save alot by buying at the show.
This is a hugh benefit to both dealers and collectors.
MD lawmakes should look closly and see the benefits to changing this law.
I changed all of the emails in your list above from commas to semicolons to make it easy for PC users.
Here is the list so people can cut & paste it:
hy.afzali@house.state.md.us; kumar.barve@house.state.md.us; joseph.boteler@house.state.md.us; talmadge.branch@house.state.md.us; jon.cardin@house.state.md.us; mark.fisher@house.state.md.us; ron.george@house.state.md.us; glen.glass@house.state.md.us; sheila.hixson@house.state.md.us; carolyn.howard@house.state.md.us; jolene.ivey@house.state.md.us; anne.kaiser@house.state.md.us; eric.luedtke@house.state.md.us; aruna.miller@house.state.md.us; leroy.myers@house.state.md.us; samuel.rosenberg@house.state.md.us; justin.ross@house.state.md.us; andrew.serafini@house.state.md.us; melvin.stukes@house.state.md.us; michael.summers@house.state.md.us; frank.turner@house.state.md.us; jay.walker@house.state.md.us; bill.frick@house.state.md.us
Here is the text of my email, in case it helps others write theirs:
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Dear Honorable House Committee member:
I am a coin dealer who, along with others at our company, currently attend 3 to 4 coin conventions each year in Baltimore. I respectfully request that the Ways & Means Committee vote an Unfavorable Report on HB 206.
The repeal of the sales tax exemption would result in significant loss of economic benefit to both Maryland and Baltimore, since the three shows would likely be moved to a friendlier state with no sales tax. Not only would Maryland lose the sales tax on sales under $1,000, but the City of Baltimore would also lose significant revenue from the loss of the hotel tax on thousands of hotel-room nights per year as well as the retail and restaurant spending in Baltimore generated by the show participants.
Sincerely,
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Coin Rarities Online
<< <i>This is a toughy and likely the tip of the iceberg. As states confront their financial reality, they will pull out the stops to garner $$$. Gonna need some intense lobbying. >>
Agree. Some states will cut spending while others will raise taxes. A few will do both. Coin collectors are an easy target because they won't riot in the streets like the teachers unions are doing.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
<< <i>
<< <i>This is a toughy and likely the tip of the iceberg. As states confront their financial reality, they will pull out the stops to garner $$$. Gonna need some intense lobbying. >>
Agree. Some states will cut spending while others will raise taxes. A few will do both. Coin collectors are an easy target because they won't riot in the streets like the teachers unions are doing. >>
...Perhaps because a sales tax exemption on luxury items is completely different than an attack on basic worker (aka human) rights.
Ed. S.
(EJS)
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<< <i>
<< <i>This is a toughy and likely the tip of the iceberg. As states confront their financial reality, they will pull out the stops to garner $$$. Gonna need some intense lobbying. >>
Agree. Some states will cut spending while others will raise taxes. A few will do both. Coin collectors are an easy target because they won't riot in the streets like the teachers unions are doing. >>
...Perhaps because a sales tax exemption on luxury items is completely different than an attack on basic worker (aka human) rights. >>
Huh? Union workers only comprise 9% of all workers in the US. All they're trying to do in Wisconsin is to bring the union workers in line with the remaining 91% of workers.
<< <i>
<< <i>
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<< <i>This is a toughy and likely the tip of the iceberg. As states confront their financial reality, they will pull out the stops to garner $$$. Gonna need some intense lobbying. >>
Agree. Some states will cut spending while others will raise taxes. A few will do both. Coin collectors are an easy target because they won't riot in the streets like the teachers unions are doing. >>
...Perhaps because a sales tax exemption on luxury items is completely different than an attack on basic worker (aka human) rights. >>
Huh? Union workers only comprise 9% of all workers in the US. All they're trying to do in Wisconsin is to bring the union workers in line with the remaining 91% of workers. >>
Since we're going off topic (and I apologize for continuing to do so), I'll make this my last post on Wisconsin. The solution, when between two groups, one group has the ability to exercise their human rights, and one does not, is not to take away the rights from the one group, but rather to also give them to the group that does not and should have them. The problem is not that 9% of workers have some ability to bargain collectively; the problem is that 91% of workers do not.
And thus ends my speech on Wisconsin in these forums.
Ed. S.
(EJS)
===============================================
Good afternoon,
I’m writing to express my opposition to HB 206 – Sales and Use Tax Exemption for Precious Metal Bullion and Coins – Repeal.
Repealing this sales-tax exemption would be harmful for the city of Baltimore (host of several coin shows annually), the state of Maryland, and the businesspeople and citizens who currently enjoy going to Baltimore to buy and sell collectible coins and bullion.
I respectfully request that you vote an Unfavorable Report on HB 206.
Sincerely,
-- Dennis Tucker
========
Dennis Tucker, Publisher
Whitman Publishing, LLC
3101 Clairmont Road, Suite G
Atlanta GA 30329
Phone: 404-235-5348
Fax: 678-891-4599
dennis.tucker@whitmanbooks.com
Read The Whitman Review online at www.WhitmanReview.com
To the Honorable Member of the Maryland General Assembly House Ways and Means Committee:
I am a coin dealer from Pennsylvania, and I have a table at the three coin shows held at the Baltimore Convention Center every year. I am very much opposed to HB 206 - Sales and Use Tax Exemption for Precious Metal Bullion and Coins – Repeal. The reasons I am opposed to it are (1) that the sales tax exemption has been critically important to the success of the three major shows conducted at the Convention Center in Baltimore each year over the past 20 years, (2) the repeal of the sales tax exemption would result in significant loss of economic benefit to both Maryland and Baltimore, since the three shows would likely be moved to a friendlier state with no sales tax, and (3) not only would Maryland lose the sales tax on sales under $1,000, but the City of Baltimore would also lose significant revenue from the loss of the hotel tax on thousands of hotel-room nights per year as well as the retail and restaurant spending in Baltimore generated by the show participants, and (4) Pennsylvania used to have this tax but removed it, and new coin shows have moved into the state, generating significant spending by show participants for hotels, restaurants and meals.
Therefore, I respectfully request that the Ways & Means Committee vote an Unfavorable Report on HB 206.
Thank you for considering my view on this matter.
An authorized PCGS dealer, and a contributor to the Red Book.
<< <i>I run the PAN show, which is held 2 times a year, and here in PA there is NO sales tax on coin or bullionin PA.
This is a big help. People from WV, OH, and MD can save alot by buying at the show.
This is a hugh benefit to both dealers and collectors.
MD lawmakes should look closly and see the benefits to changing this law. >>
Pat, MD already has an exemption for sales over $1,000. The purpose of this bad bill is to repeal the exemption, so that every sale would be taxed to its full amount.
An authorized PCGS dealer, and a contributor to the Red Book.
To the Honorable members of the Maryland General Assembly:
My name is ****** ******* and I am a collector of rare coins and investor in Bullion from New Jersey. I have recently become aware that the State of Maryland is considering repealing the sales tax exemption for collectible/rare coins and bullion.
I implore you to reconsider this decision as the potential economic impact on the State of Maryland could be substantial. I travel to Baltimore three times per year for major, national-level coin shows held at the Baltimore Convention Center. I am not alone, thousands of collectors and dealers come to these shows from all over the country, and one of the largest auctioneers of rare coins holds substantial and very popular auctions at the show as well.
The Baltimore shows attract high profile dealers and collectors from all across the country giving this show a national draw. Since we're generally from outside Maryland, we stay in hotels, eat at restaurants and provide substantial revenue for both Baltimore and the State of Maryland. On average, when I attend a show in Baltimore, I spend an average of $600 on lodging, meals, drinks and entertainment. Now consider that I am one of but thousands who do so, on top of that local security firms are employed, the Baltimore Convention Center reaps substantial revenue from hosting the event.
It has already been made clear to us that the organizer of the show, Whitman, will move these shows outside of Maryland, quite likely to Philadelphia, Pennsylvania where there is no sales tax on coins and bullion, should House Bill 206 pass to law.
I implore you to consider the effects that passing this bill will cause, it would be a shame if Baltimore were to lose these shows, those of us who travel to Baltimore for the Whitman shows always have a great time, it would be a shame for this to end.
I thank you in advance for your consideration.
*** *******
****** New Jersey.
Tim, I oppose HB206 and realize that there are quite a number of large coin shows in this state. The hearing is scheduled in my committee tomorrow and I plan to voice my opposition to this bill. I appreciate your writing and stating some important points.
Regards,
Kathy Afzali
Delegate Kathy Afzali
Maryland District 4A
Suite 319 - Lowe's Building
6 Bladen Street
Annapolis, MD 21401
410-841-3288
If I lived in MD she would automatically get my vote.
Coin Rarities Online
Let's hope this doesn't get passed, it would be a shame to lose the Baltimore shows.
<< <i>I also got a reply from Ms. Afzali as well as from Aruna Miller which was rather less positive.
Let's hope this doesn't get passed, it would be a shame to lose the Baltimore shows. >>
I wouldn't worry too much about that. Baltimore has been a coin show town because it's good for a coin show town, and the tax structure is way down on the reasons why. I'm sure Whitman is not so petty that a small change in the tax law that instead of just the many collectors spending less than $1,000/dealer needing to pay tax to the many collectors spending less than $1,000/dealer plus the few sometimes spending over $1,000/dealer would cause them to abandon ship.
Ed. S.
(EJS)
If the buyers are located in Maryland, they're legally required to pick up the "use tax" re the non-taxed purchase of tangible personal property from an out of state source. Said out of state dealers are not required to collect such tax unless they have a standard State of Maryland sales tax permit.
In state Maryland dealers have nowhere to go with this, other than charge the tax.
"Seu cabra da peste,
"Sou Mangueira......."
<< <i>
I wouldn't worry too much about that. Baltimore has been a coin show town because it's good for a coin show town, and the tax structure is way down on the reasons why. I'm sure Whitman is not so petty that a small change in the tax law that instead of just the many collectors spending less than $1,000/dealer needing to pay tax to the many collectors spending less than $1,000/dealer plus the few sometimes spending over $1,000/dealer would cause them to abandon ship. >>
Aegis-
You are usually the epitome of reason. Is anyone else struggling like I am to parse this?
FISCAL AND POLICY NOTE
Comment page
I borrowed your text, CRO.
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I wouldn't worry too much about that. Baltimore has been a coin show town because it's good for a coin show town, and the tax structure is way down on the reasons why. I'm sure Whitman is not so petty that a small change in the tax law that instead of just the many collectors spending less than $1,000/dealer needing to pay tax to the many collectors spending less than $1,000/dealer plus the few sometimes spending over $1,000/dealer would cause them to abandon ship. >>
Aegis-
You are usually the epitome of reason. Is anyone else struggling like I am to parse this? >>
His post sounds quite reasonable to me. I agree that it's unlikely the show would be moved, just by virtue of a repeal of the sales tax exemption. He didn't say he is in favor of the repeal, only that it wouldn't be the death of the show.
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I wouldn't worry too much about that. Baltimore has been a coin show town because it's good for a coin show town, and the tax structure is way down on the reasons why. I'm sure Whitman is not so petty that a small change in the tax law that instead of just the many collectors spending less than $1,000/dealer needing to pay tax to the many collectors spending less than $1,000/dealer plus the few sometimes spending over $1,000/dealer would cause them to abandon ship. >>
Aegis-
You are usually the epitome of reason. Is anyone else struggling like I am to parse this? >>
His post sounds quite reasonable to me. I agree that it's unlikely the show would be moved, just by virtue of a repeal of the sales tax exemption. He didn't say he is in favor of the repeal, only that it wouldn't be the death of the show. >>
Does anyone remember the Nashville show Whitman held in 2009? So many tax issues, such a high tax rate that applied to every sales dollar, resulted in a lot of complaints from dealers. Result = no Whitman Nashville show in 2010.
An authorized PCGS dealer, and a contributor to the Red Book.
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I wouldn't worry too much about that. Baltimore has been a coin show town because it's good for a coin show town, and the tax structure is way down on the reasons why. I'm sure Whitman is not so petty that a small change in the tax law that instead of just the many collectors spending less than $1,000/dealer needing to pay tax to the many collectors spending less than $1,000/dealer plus the few sometimes spending over $1,000/dealer would cause them to abandon ship. >>
Aegis-
You are usually the epitome of reason. Is anyone else struggling like I am to parse this? >>
His post sounds quite reasonable to me. I agree that it's unlikely the show would be moved, just by virtue of a repeal of the sales tax exemption. He didn't say he is in favor of the repeal, only that it wouldn't be the death of the show. >>
Does anyone remember the Nashville show Whitman held in 2009? So many tax issues, such a high tax rate that applied to every sales dollar, resulted in a lot of complaints from dealers. Result = no Whitman Nashville show in 2010. >>
But it wasn't a well established show, like Baltimore, was it?
<< <i>Does anyone remember the Nashville show Whitman held in 2009? So many tax issues, such a high tax rate that applied to every sales dollar, resulted in a lot of complaints from dealers. Result = no Whitman Nashville show in 2010. >>
But it wasn't a well established show, like Baltimore, was it? >>
You are correct, that was the first time it was held in Nashville. It had been in Atlanta the prior year.
An authorized PCGS dealer, and a contributor to the Red Book.
If I buy coins or bullion at the Baltimore Show do I pay a tax? (and how much)
If I am a dealer from out of state do I collect tax?
If I consign to the auction do I pay a tax or does the buyer pay on top of his final cost?
Like to express concerns to the repeal, as most will here, but would like to know how it affects all the above .
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I wouldn't worry too much about that. Baltimore has been a coin show town because it's good for a coin show town, and the tax structure is way down on the reasons why. I'm sure Whitman is not so petty that a small change in the tax law that instead of just the many collectors spending less than $1,000/dealer needing to pay tax to the many collectors spending less than $1,000/dealer plus the few sometimes spending over $1,000/dealer would cause them to abandon ship. >>
Aegis-
You are usually the epitome of reason. Is anyone else struggling like I am to parse this? >>
His post sounds quite reasonable to me. I agree that it's unlikely the show would be moved, just by virtue of a repeal of the sales tax exemption. He didn't say he is in favor of the repeal, only that it wouldn't be the death of the show. >>
Maybe you should review what happened in Ohio under similar circumstances.
"Everything is on its way to somewhere. Everything." - George Malley, Phenomenon
http://www.americanlegacycoins.com
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I wouldn't worry too much about that. Baltimore has been a coin show town because it's good for a coin show town, and the tax structure is way down on the reasons why. I'm sure Whitman is not so petty that a small change in the tax law that instead of just the many collectors spending less than $1,000/dealer needing to pay tax to the many collectors spending less than $1,000/dealer plus the few sometimes spending over $1,000/dealer would cause them to abandon ship. >>
Aegis-
You are usually the epitome of reason. Is anyone else struggling like I am to parse this? >>
I can write long-winded run-on sentences.
We are talking about sales only above $1,000. (Admittedly, a deal level I've gone above just once). Those below $1,000 are already applicable to sales tax, and that would not change; just those above $1,000. And I think in the grand scheme of things, that's not a coin show location deal-breaker.
And to keep me from having multiple posts in a row...
Mark F: Actually, I am in partial favor of repeal. I think coin sales above $1,000 should be taxed at the same rate as those below.[1] I also, however, think that bullion sales, sold within a reasonable markup of bullion values, should not be taxed. This includes levels both above and below $1,000. I realize my view may not be too popular here. I think coin sales should be considered the same to sales of any other collectible items.
truecollector: Technically, at the Baltimore shows sales tax is applicable on sales below $1,000. (I'm not sure about issues between MD and out-of-state dealers). I've been going to the assorted large Baltimore shows on-and-off since 1987. All my purchases there have been below $1,000 per dealer per show, often much less. I can count on one finger the number of times sales tax has been explicitly added to the purchase price (books purchased from the ANS). There have also been one or two times dealers have tried to play the "check price is higher than cash price, because of tax reporting" dodge (I won't mention who). Which means that the vast majority of purchases sales tax has either been implicitly added in the purchase price and reported later, or just not reported. I'd like to think it's mainly the first, and only rarely the second.
*****
[1] I have, in the past (and present), been suspicious of sales taxes in general; they are, of course, regressive by their nature. But I've been coming around to the view that it is best to governments to have a selection of low but broad-based taxes, as different revenue sources react differently in different economic times. And so some sales tax may be in some sense necessary; I'm just not enough of an expert to say one way or another, nor is it really a big issue with me so long as rates are relatively low.
Ed. S.
(EJS)
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I wouldn't worry too much about that. Baltimore has been a coin show town because it's good for a coin show town, and the tax structure is way down on the reasons why. I'm sure Whitman is not so petty that a small change in the tax law that instead of just the many collectors spending less than $1,000/dealer needing to pay tax to the many collectors spending less than $1,000/dealer plus the few sometimes spending over $1,000/dealer would cause them to abandon ship. >>
Aegis-
You are usually the epitome of reason. Is anyone else struggling like I am to parse this? >>
His post sounds quite reasonable to me. I agree that it's unlikely the show would be moved, just by virtue of a repeal of the sales tax exemption. He didn't say he is in favor of the repeal, only that it wouldn't be the death of the show. >>
Maybe you should review what happened in Ohio under similar circumstances. >>
What large Ohio show was anywhere near as successful over a long period of time, as Baltimore, and is now extinct, due to a repeal of a sales tax exemption?
The Penny Lady®
CG1: "What large Ohio show was anywhere near as successful over a long period of time, as Baltimore, and is now extinct, due to a repeal of a sales tax exemption?"
How does the size or degree of success or length of service of any show anywhere have any relevance at all other than the end result? The fact of the matter here is that the Maryland Legislature is targeting a certain perceived revenue source by their proposal, which may or may not have the same effect as it did in other general but similar circumstances. The precedent has been set. If you don't see it that way, apparently it may be because it doesn't or won't affect you in any way.
On a different level, I find it peculiar that the coin grading services are not expected to collect sales tax on the services that they provide in states (i.e. major shows) other than those in which they have an established physical address. Why would the sale of a coin/banknote/bullion ingot be any different than the sale of a service?
"Everything is on its way to somewhere. Everything." - George Malley, Phenomenon
http://www.americanlegacycoins.com
<< <i>CD:"Maybe you should review what happened in Ohio under similar circumstances."
CG1: "What large Ohio show was anywhere near as successful over a long period of time, as Baltimore, and is now extinct, due to a repeal of a sales tax exemption?"
How does the size or degree of success or length of service of any show anywhere have any relevance at all other than the end result? The fact of the matter here is that the Maryland Legislature is targeting a certain perceived revenue source by their proposal, which may or may not have the same effect as it did in other general but similar circumstances. The precedent has been set. If you don't see it that way, apparently it may be because it doesn't or won't affect you in any way.
On a different level, I find it peculiar that the coin grading services are not expected to collect sales tax on the services that they provide in states (i.e. major shows) other than those in which they have an established physical address. Why would the sale of a coin/banknote/bullion ingot be any different than the sale of a service? >>
The strength of the show is very relevant. A new and/or typically slow/weak show likely wouldn't be able to withstand whatever hit would result from a repeal of sales tax exemptions, the way a strong show could.
And in many instances services are treated differently than sales, for purposes of (sales) taxes.
<< <i>Why do democrats hate numismatics!?! >>
Why are you making such a partisan comment? Coin and bullion exemptions have been passed and repealed in states controlled by both parties.
Pennsylvania Gov. Edward Rendell, a Democrat, last year signed an extension of coin and bullion exemption after ICTA and dealers explained
that such taxes result in a net loss for states.
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<< <i>This is a toughy and likely the tip of the iceberg. As states confront their financial reality, they will pull out the stops to garner $$$. Gonna need some intense lobbying. >>
Agree. Some states will cut spending while others will raise taxes. A few will do both. Coin collectors are an easy target because they won't riot in the streets like the teachers unions are doing. >>
The teachers are rioting? Or are you just being dishonest again?
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<< <i>This is a toughy and likely the tip of the iceberg. As states confront their financial reality, they will pull out the stops to garner $$$. Gonna need some intense lobbying. >>
Agree. Some states will cut spending while others will raise taxes. A few will do both. Coin collectors are an easy target because they won't riot in the streets like the teachers unions are doing. >>
The teachers are rioting? Or are you just being dishonest again? >>
No, Frank. It's called hyperbole---a figure of speech in which exaggeration is used for emphasis to make a point. But I'm sure you already knew this.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
The thing that states have to realize is that sometimes raising taxes results in less revenue, not more. If you drive business from your state by making it expensive to do business there, you will be worse off. But that's hard message to sell to those who do not understand economic concepts like the elasticity of demand.
<< <i>Does anyone remember the Nashville show Whitman held in 2009? So many tax issues, such a high tax rate that applied to every sales dollar, resulted in a lot of complaints from dealers. Result = no Whitman Nashville show in 2010. >>
I could never understand why Whitman tried to start a show in Tennessee. That state has some the highest and most unfriendly coin related sales laws in The United States. Until Tennessee modifies their tax laws at least to the extent when there is an exemption for sales of $1,000 or more, there is really no hope of holding a major show there
<< <i>Unfortunately I could not get any of the email lists to work on my computer.
The thing that states have to realize is that sometimes raising taxes results in less revenue, not more. If you drive business from your state by making it expensive to do business there, you will be worse off. But that's hard message to sell to those who do not understand economic concepts like the elasticity of demand. >>
Florida is a perfect example of that fact.
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870