Buying/Selling Coins in California ... Additional Hassle?

C0inCollect0r · May 17, 2014 1:54AM

Hi folks,

I have a friend who is thinking about moving to California - he is a smaller coin dealer and seems to think the taxes/regulations/red tape in California could be a major issue. I told him I'd ask on here for opinions - Can any collectors/dealers here comment on additional hassles/problems (or lack thereof) when it comes to coin transactions in California?

I'm sure he'd sincerely appreciate any insight.

Thanks for your time.

ctf_error_coins · May 17, 2014 1:59AM

No problems here at all in the great state of California.

Very simple, get a resale license, then you buy for resale and collect taxes on what you sell. Not hard to do at all, plus you get the coolest bonus of all, living in California.

mbogoman · May 17, 2014 2:27AM

No taxes on an invoice of $1500 or greater. It used to be $1000, but they upped it several years ago.

ArizonaJack · May 17, 2014 3:08AM

Had something happen at the Ontario show a few years ago that soured me .

Was set up and doing biz as usual then up walks a CA Enforcer of some alphabet agency or another approach my table asking lots of questions. I noticed some in his entourage were customers just an hour or so prior. I felt it was a setup, rather than work with us out of state dealers to get it right, they were attempting to entrap us on some tax evasion garbage.

Evened up with the tax man later thru the mail. No problem but just didnt care for their tactics.......

DennisH · May 17, 2014 3:11AM

There's basically nothing about doing business in California that isn't less of a pain in the --- somewhere else.

MGLICKER · May 17, 2014 3:13AM

<< No problems here at all in the great state of California. >>

Defending oneself against robbers could be an issue in the anti 2nd amendment state.

mbogoman · May 17, 2014 3:15AM

<< Defending oneself against robbers could be an issue in the anti 2nd amendment state. >>

That's a rather blanket statement and is untrue. Just try break into my house and see what you get...

MGLICKER · May 17, 2014 3:24AM

<< 

<< Defending oneself against robbers could be an issue in the anti 2nd amendment state. >>

That's a rather blanket statement and is untrue. Just try break into my house and see what you get...

>>

Glad to hear that your home is secure. Most states respect some form of the castle doctrine.

Coin dealers need protection in the store, at shows and when travelling. For those reasons, places like Arizona. Texas and Florida may provide a coin seller better opportunity to protect themselves.

3keepSECRETif2rDEAD · May 17, 2014 3:29AM

<< 

<< No problems here at all in the great state of California. >>

Defending oneself against robbers could be an issue in the anti 2nd amendment state. >>

Castle Law in Cali

CC fight in CA

Erik

MGLICKER · May 17, 2014 3:38AM

<< 

<< 

<< No problems here at all in the great state of California. >>

Defending oneself against robbers could be an issue in the anti 2nd amendment state. >>

Castle Law in Cali

CC fight in CA

Erik >>

This part from your first link is disturbing.

“Over a hundred years ago, the California Supreme Court said, ‘no duty to retreat if you’re in your home,’” says UC Hastings Law Professor Rory Little. “‘We’re going to leave open whether there’s such a duty if you’re outside of the home.’ That little leaving-open has never been firmly answered by the California Supreme Court.

Cougar1978 · May 17, 2014 4:10AM

Living in Cali is really expensive compared to somewhere like Houston. In Texas, sales tax on coins and bullion under 1000 has been repealed.

I can't see someone living in Cali and being a Coin Dealer unless they really have big money. There is a lot of really tough competition in the coin business and its really tough to make a living with it unless you have good sources for "buying it right." People do not need coins like they need lodging, food, travel, or entertainment.

In terms of going to shows out there I have enjoyed it and not had any hassles. However, the expense of air fare, hotel, rental car, etc is a fixed cost hole that can be challenging to get out of. Not to mention the expensive table fees and competition from entrenched locals. Allocating these costs based on activity (buy vs sell) might soften the blow but not by much. I usually do Cali shows when there is synergy with another hobby coming into play.

19Lyds · May 17, 2014 4:27AM

<< 

<< No problems here at all in the great state of California. >>

Defending oneself against robbers could be an issue in the anti 2nd amendment state. >>

This coin shop owner didn't have any problems.

19Lyds · May 17, 2014 4:32AM

<< Living in Cali is really expensive compared to somewhere like Houston. In Texas, sales tax on coins and bullion under 1000 has been repealed.

I can't see someone living in Cali and being a Coin Dealer unless they really have big money. There is a lot of really tough competition in the coin business and its really tough to make a living with it unless you have good sources for "buying it right." People do not need coins like they need lodging, food, travel, or entertainment.

In terms of going to shows out there I have enjoyed it and not had any hassles. However, the expense of air fare, hotel, rental car, etc is a fixed cost hole that can be challenging to get out of. Not to mention the expensive table fees and competition from entrenched locals. Allocating these costs based on activity (buy vs sell) might soften the blow but not by much. I usually do Cali shows when there is synergy with another hobby coming into play. >>

I feel exactly the same way about coin shows in Baltimore, Illinois, and Florida.

MGLICKER · May 17, 2014 4:33AM

<< 

<< 

<< No problems here at all in the great state of California. >>

Defending oneself against robbers could be an issue in the anti 2nd amendment state. >>

This coin shop owner didn't have any problems. >>

<< Deputies arrived to find the Latino victim lying in the parking lot. >>

Why is he the "victim" typical left wing press coverage.

<< Curran added it was unclear if the shop owner will face any charges. The case will be forwarded to the district attorney's office for review. >>

What is not clear? Typical Californa injustice system.

JCMhouston · May 17, 2014 5:11AM

High income tax, 9.3% over about $38k per year which can go up to 13.3%, 7.5% sales tax, I believe almost $.70 per gallon gas tax, besides all the political issues that would be enough to scare me off.

Buying/Selling Coins in California ... Additional Hassle?

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