Home U.S. Coin Forum
Options

TAX ON THESE COINS?

CoinflipCoinflip Posts: 850 ✭✭✭
I never get charged tax on coins ... Thought this was very interesting

Over the internet and shipping to a TAX free state? This Seller is trying to charge me TAX on items? What is this?
HERE
SMILEFORSOMECHANGE LLC
RAD#306

Comments

  • Options
    TopographicOceansTopographicOceans Posts: 6,535 ✭✭✭✭
    What tax?

    There is no mention of any tax in the listing.

    The seller is based in California, which charges sales tax on invoices under $1500.
  • Options
    CoinflipCoinflip Posts: 850 ✭✭✭
    There is a Tax on checkout
    SMILEFORSOMECHANGE LLC
    RAD#306

  • Options
    AUandAGAUandAG Posts: 25,038 ✭✭✭✭✭
    If you are not in CA then contact them via messages to send you an invoice without the tax.



    bobimage
    Registry: CC lowballs (boblindstrom), bobinvegas1989@yahoo.com
  • Options
    CoinflipCoinflip Posts: 850 ✭✭✭
    Not a simple ebay deal at all. This guy wanted a direct paypal sale. And charges everyone TaX on checkout regardless of where you are located
    SMILEFORSOMECHANGE LLC
    RAD#306

  • Options
    jwittenjwitten Posts: 5,366 ✭✭✭✭✭
    Report him to ebay. I had one seller do the same to me.. he actually showed on checkout that he literally charged sales tax to every state. I reported him, and ebay shut him down.
  • Options
    TopographicOceansTopographicOceans Posts: 6,535 ✭✭✭✭
    Originally posted by: Coinflip
    Not a simple ebay deal at all. This guy wanted a direct paypal sale. And charges everyone TaX on checkout regardless of where you are located

    Unless he has a physical presence in states other than California that is illegal.

    If you are doing an off eBay transaction, he can charge you whatever he wants and you have no buyer protection.

  • Options
    lkeigwinlkeigwin Posts: 16,895 ✭✭✭✭✭
    He's a thief or he's confused. If you figure it's the latter tell him to contact the CA Board of Equalization. They'll straighten him out.

    Lance.
  • Options
    TommyTypeTommyType Posts: 4,586 ✭✭✭✭✭
    Originally posted by: lkeigwin

    He's a thief or he's confused. If you figure it's the latter tell him to contact the CA Board of Equalization. They'll straighten him out.

    Lance.




    Assuming he's actually submitting the tax to the CA Board of Equalization, (possibly an invalid assumption), I'm not sure they would be all that helpful in stopping him!



    Hard to say WHO the proper authority would be in such a situation....
    Easily distracted Type Collector
  • Options
    jesbrokenjesbroken Posts: 11,240 ✭✭✭✭✭
    If seller is truly trying to bilk you out of money via false tax fee:

    1) ASSUMING you just have to have that coin, a simple message to the seller explaining that you wish to buy his coin but not pay taxes when undeserved or illegal. I cannot imagine the seller refusing to do business over a scam.

    2) Don't buy the coin and do not utilize this seller for your needs.

    Jim


    When a man who is honestly mistaken hears the truth, he will either quit being mistaken or cease to be honest....Abraham Lincoln

    Patriotism is supporting your country all the time, and your government when it deserves it.....Mark Twain
  • Options
    ShortgapbobShortgapbob Posts: 2,332 ✭✭✭
    Not sure the sellers motives here, but PayPal doesn't always understand the tax rules on coins.

    For example, Maryland has a tax-free rule for any coins over $1,000. However, PayPal always charges tax on anyone who places an eBay order in Maryland for a coin over $1,000.

    We have to manually go back and refund the tax portion.
    "It is the mark of an educated mind to be able to entertain a thought without accepting it." -- Aristotle

    For a large selection of U.S. Coins & Currency, visit The Reeded Edge's online webstore at the link below.

    The Reeded Edge
  • Options
    rickoricko Posts: 98,724 ✭✭✭✭✭
    Just another method ebay sellers use to increase profits.... Cheers, RickO
  • Options
    bigjpstbigjpst Posts: 3,233 ✭✭✭✭✭
    I added it to my shopping cart and saw no mention of tax. Like posted above, unless he has a presence or nexus in another state, he should only be charging tax to buyers from CA. If you lived in a state that taxed coins, you would then most likely be responsible for reporting the "use" tax for the out of state purchase. Of course most people don't know this, and even those that do are pretty good about forgetting at tax time. Thus the reason states are pushing to tax all internet sales.
  • Options
    bestdaybestday Posts: 4,272 ✭✭✭✭
    Originally posted by: Coinflip
    Not a simple ebay deal at all. This guy wanted a direct paypal sale. And charges everyone TaX on checkout regardless of where you are located



    Ebay Seller pocketing money when tax not applicable I have Run into this sometimes .. seller hoping buyers don't notice
  • Options
    coindeucecoindeuce Posts: 13,515 ✭✭✭✭✭
    If you're foolish enough to pay over 6X what the coin is worth retail, you would deserve getting clipped for sales tax also.

    Who gives a flying rats patootie about the label in that holder ?

    The coin is misrepresented in the listing as a rare sample slab anyway.

    Do you buy snake oil too ?

    "Everything is on its way to somewhere. Everything." - George Malley, Phenomenon
    http://www.american-legacy-coins.com

  • Options
    PTVETTERPTVETTER Posts: 6,125 ✭✭✭✭✭
    Don't you all just love e bay!
    Pat Vetter,Mercury Dime registry set,1938 Proof set registry,Pat & BJ Coins:724-325-7211


  • Options
    YQQYQQ Posts: 3,458 ✭✭✭✭✭
    Ok fellows,
    did anyone see the sign on the checkout: Last One!

    I am in Canada. when I look at this coin, the following comes up:
    shipping via the terrible GS. is 21.25
    Import charges of 138.56!!!!
    then I go the next step and suddenly these Import charges are down to 56.56.
    it does not show any other taxes...
    Collectors coins come into Canada usually free.
    so, who gets the Import charges? is it a make work project by Feebay and the outfit they hired to make not required import papers?
    and of course, the final % goes on top, plus Paypal....
    Today is the first day of the rest of my life
  • Options
    ElcontadorElcontador Posts: 7,740 ✭✭✭✭✭
    No. If you are domiciled in State A, and do over a certain amount of gross sales in State B, State B may require you to get a sales tax permit, after which, you are required to charge sales tax on tangible personal property sold to end users in State B, if the amount of such sale makes the transaction subject to sales tax in State B.



    Example. Before Heritage took over the Superior Stamp and Coin location in Beverly Hills, even though they were domiciled in Texas - and did not have a physical presence in California - because of the volume of sales they made in California, the California Board of Equalization required them to get a CA sales tax permit.

    At the time, coin sales in California were taxed if they were under a gross amount of $1,000, and Heritage was required to charge CA sales tax on such sales under the $1,000 amount.
    "Vou invadir o Nordeste,
    "Seu cabra da peste,
    "Sou Mangueira......."
  • Options
    YQQYQQ Posts: 3,458 ✭✭✭✭✭
    Elcontador,
    what about if the items were shipped to out side California or out of the country?
    Today is the first day of the rest of my life
  • Options
    ElcontadorElcontador Posts: 7,740 ✭✭✭✭✭
    Originally posted by: YQQ

    Elcontador,

    what about if the items were shipped to out side California or out of the country?




    See comment re Heritage re coins shipped out of state. However, if the entity did not have a physical presence or have enough retail sales in another state, it would not be required to have a permit in said state, in which case, there would be no applicable sales tax.



    No state sales tax is applicable on items shipped out of the country, but duties / customs fees may be charged by the authorities in the country which receives the goods.



    Note - Some merchants do not like reporting out of state non taxable sales, because if they report too many of them, this greatly increases the possibility of a sales tax audit, which typically covers three years and is a major nuisance.



    I'm willing to bet many dealers at coin shows check the number of days they can be in a particular state and not be required to have a sales tax permit, make sure they are in said state for less than that number of days, and don't report these sales to the state in which they are domiciled as non-taxable sales on their sales tax returns for this reason, but report them for income tax purposes as to not under-report their sales for income tax purposes.
    "Vou invadir o Nordeste,
    "Seu cabra da peste,
    "Sou Mangueira......."
  • Options
    johnny9434johnny9434 Posts: 33,310 ✭✭✭✭✭
    i understand that if theres a tax on a coin and it ships out of state then they do not charge a tax ( unless that state has a tax as well )?
  • Options
    bigjpstbigjpst Posts: 3,233 ✭✭✭✭✭
    Originally posted by: Elcontador

    Originally posted by: YQQ

    Elcontador,

    what about if the items were shipped to out side California or out of the country?








    I'm willing to bet many dealers at coin shows check the number of days they can be in a particular state and not be required to have a sales tax permit, make sure they are in said state for less than that number of days, and don't report these sales to the state in which they are domiciled as non-taxable sales on their sales tax returns for this reason, but report them for income tax purposes as to not under-report their sales for income tax purposes.




    This is one of the many reasons why the ANA doesn't do it's shows very often in CA. California requires businesses who do more than 15 days of business within CA to collect CA sales tax.
  • Options
    TwoSides2aCoinTwoSides2aCoin Posts: 45,119 ✭✭✭✭✭
    Cancel the transaction and head for the hills. Not Beverly Hills.
  • Options
    bigjpstbigjpst Posts: 3,233 ✭✭✭✭✭
    Originally posted by: johnny9434

    i understand that if theres a tax on a coin and it ships out of state then they do not charge a tax ( unless that state has a tax as well )?


    Not quite. If I sell a coin to someone in Nevada, I have to charge tax and if I sell a coin to someone in CA, I also have to charge tax because I do a substantial amount of business in CA.



    Now if I sell a coin to another state that charges sales tax on coins, I do not collect the tax. Instead, in many states, the buyer is required to report the purchase to the state on a "Use" tax return, which is often part of the state income tax return. The buyer would then pay the tax to the state at their rate. (Happens all the time I'm sure)image

  • Options
    lkeigwinlkeigwin Posts: 16,895 ✭✭✭✭✭
    Originally posted by: bigjpst

    Originally posted by: Elcontador

    Originally posted by: YQQ

    Elcontador,

    what about if the items were shipped to out side California or out of the country?








    I'm willing to bet many dealers at coin shows check the number of days they can be in a particular state and not be required to have a sales tax permit, make sure they are in said state for less than that number of days, and don't report these sales to the state in which they are domiciled as non-taxable sales on their sales tax returns for this reason, but report them for income tax purposes as to not under-report their sales for income tax purposes.




    This is one of the many reasons why the ANA doesn't do it's shows very often in CA. California requires businesses who do more than 15 days of business within CA to collect CA sales tax.




    I wasn't aware of this until a dealer-friend told me about it at FUN. He keeps careful records and restricts his time at shows in CA.

    Lance.

Leave a Comment

BoldItalicStrikethroughOrdered listUnordered list
Emoji
Image
Align leftAlign centerAlign rightToggle HTML viewToggle full pageToggle lights
Drop image/file