State Tax
kuwegg57
Posts: 107 ✭✭✭
I just got a message from message from Heritage:
Effective August 1st, Heritage Auctions is required by state law to charge applicable sales tax on any items delivered to addresses in the following states: Hawaii, Kentucky, Maine, Minnesota, Mississippi, Ohio and Pennsylvania. Exemptions include dealers with valid sales tax numbers who are purchasing for resale and who furnish us with a properly completed resale certificate, for the states listed ab
Hawaii has a 4.5% sales tax so I now have to watch how much I bid.
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I would then re-route it thru my SoCal residence first
Between that and shipping, one would be better off panning for their own gold.
Oh no !!!
Pity the Kentucky collectors. They have the highest sales tax in the nation.
This is nothing new. I’ve been paying sales tax on under the limit foreign coin and all token and political items punches since the get-go. If Heritage had nexus in a state a state like Florida, they have been collecting it all along.
NJ and NY are also on that list, and soon it will include all 45 states that have state and local sales taxes.
Commems and Early Type
To say nothing of the buyers’ fee. For political items, the tax and buyers’ fee adds almost 34% to the hammer price. Then you add $15 to $25 for shipping, and it’s easy to see why the competition looks attractive.
Expect this sales tax trend to cause a further drop in collectible coin sales. If you haven't been selective in your purchases to date it is time to become so now. "Ordinary" collectible coins are likely to be the most negatively affected.
If the majority of the population ever totaled ALL the taxes and fees they pay annually, I do think an economic revolution might form. Cheers, RickO
This year “tax freedom day”, according to the Tax Foundation, is April 19, 2018. That’s day when the average American has earned enough to pay all of the local, state and federal taxes.
The big difference between government and private businesses is that a business, unless it is a public utility monopoly, will cease to exist if it does not work to please its customers. Government because of its police, judicial, regulatory and tax collection powers continues well after it has failed to serve its citizens well. This is a fundamental problem of democracy.
Nice. Seemingly unfair , though.
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I guess all govt budgets will be balanced now that they getting that extra money
Today, Massachusetts is 'adding' a $2 fee per rental car rented, expected to bring in 10 Million dollars per year, where does it end.
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Bad transactions with : nobody to date
@1630Boston Isn't that why it's called Taxachusetts?
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Always remember, the taxes and fee collection will be... if necessary... at the point of a gun!! While most pay (and pay, and pay), the few who take exception, are fast brought into line, either by intimidation or outright arrest. The problem with government (all levels) is their insatiable appetite for money, with - due to voter apathy - no accountability. Cheers, RickO
Just factor it into your bid, duh. Course it puts you at a disadvantage to those who don't have to consider the tax.
This is why it is of the utmost importance that you get a coin/bullion sales tax exemption in your state. I cannot speak for non-numismatic items like political items but for coins there is something you can do. If you are not a member of ICTA you really need to join and support the cause. With the recent Wayfair decision, it is becoming even more important to have these exemptions.
Bullion is one thing. But why is a Pf 69 Cameo Lincoln any more (or less) worthy of exemption than a 1901 Pan Am Expo pinback?
All comments reflect the opinion of the author, evn when irrefutably accurate.
i thought that ohio did not charge sales tax for a coin valued over $1,500? massachusetts does that as well
its not going to end anytime soon.
At the risk of this turning into one of those ugly political threads...I don't mind sales tax as much as income tax or even property taxes. Sales tax, especially on optional purchases like collectibles are avoidable, I can simply choose not to buy.
All comments reflect the opinion of the author, evn when irrefutably accurate.
I posted this because I recently won a bid for a 1916 SLQ from Heritage. Its been a week since they took my money but it still hasn't been shipped out. Thats another story however. If I had bid on that coin after August 1st I would have to dish out $300+ in Hawaii sales tax.
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That list is only going to get longer, until all applicable sales tax states are included. It’s BS and I’m glad I’m almost done with my set.
Sometimes, it’s better to be LUCKY than good. 🍀 🍺👍
My Full Walker Registry Set (1916-1947):
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I'm seeing a potential goldmine in sliced bread that could hold slabs.
FOODSTUFFS !!!
come to think of it i wonder if king malloy got wind of that here in connecticut
No sales tax on coins or bullion here in GA. Lucky me.
it's crackers to slip a rozzer the dropsy in snide
Government.
Paper money eventually returns to its intrinsic value. Zero. Voltaire. Ebay coinbowlllc
When I was a dealer there was no sales tax on U.S. coins in Connecticut. If the law has not changed, and
Heritage charges it to you, you need to contact them.
Anyone know what the sales tax for coins and precious metals are in Florida?
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'm thinking of collecting canned cat food . With the money uncle sam is stealing from me pretty soon that will be dinner.
Anyone know any good recipes ?
...only if the total items purchased come to less than $1500.
Lance.
There is no sales tax at all on U.S. coins. For foreign coins, I think there is none on individual pieces that cost over $500. I think the base rate for the state is 6%, but the countries can add another 0.5 to 1% if they chose, which most of them seem to do.
I am not sure about gold and silver bars.
...GO RAIDERS!
Try https://thecoinologist.com/sales-tax-state-by-state-breakdown/
Note: the Nevada one seemed to have been stated backwards on this site. It should be when the sale price is more than 50% above the face value, sales tax applies. This doesn't seem to apply to precious metals.
Anyone know if it is possible to have items shipped to a post office box in a neighboring state? I thought Heritage usually ships FedEx.
Where does it end? when the goldem goose is finally dead. As long as the drunken sailor can get a drink, he will not be sober!
@batumi..... Excuse me... we Sailors take exception to that.....
Cheers, RickO
I think that Tender Vittles might be your best best bet. “Pet Care Education” rates it as the best semi-moist food, and it is said to have “quality ingredients.”
Of course for those special nights when the budget can accommodate it, Fancy Feast might be just the thing. You coul have a nice candle lit dinner with the wife along with a bottle of Ripple. It used to cast 89 cents a bottle when I was college, but I’m sure that prices have go up since then.
do they go by the shipping address or the billing address? And what if they aren't the same?
All comments reflect the opinion of the author, evn when irrefutably accurate.
Very true. I forget that many of the members are swimming in the deep end of the pool.
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The answer is actually very easy on this one. The Lincoln Cent is legal tender, the other is not. There is has to be a line somewhere as to when the exemption stops and that is it. We have to be very careful that we get what we truly need and not stretch too much. Its like that Vegan billboard with all the animals that says where does pet end and dinner start.
That is an answer, but not terribly compelling unless you are selling the Lincoln Cent for 1 cent. It's the postage stamp issue. There is no tax on postage but there is a tax on collectible stamps. It is easy to tell the difference. The "collectible" stamps sell for more than face value.
The other problem with your "easy" answer is that it would make U.S. coins tax exempt but make non-U.S. coins taxable.
All comments reflect the opinion of the author, evn when irrefutably accurate.
@jmlanzaf A couple of points. When laws like this get written, they are often not very precise linguistically. For example, when Illinois was writing their holding laws for second hand merchandise, we strongly pushed for exempting coins. Well for whatever reason, instead of exempting coins, they exempted coin dealers from the laws. This meant that technically the holding rules on Jewelry don't apply.
Another example is when Illinois first got their coin exemption. We wanted bullion exempted. We ended up getting coins, bullion and paper money exempted. The reason why stamps are not exempted is probably simpler than you think. Who is out there fighting for it? The coin industry has ICTA fighting for the exemptions and has fantastic resources to help people who want to fight for one. Stamps have....
To your last point, non-U.S. coins are still legal tender in their own country. The "legal tender" standard came about because one could argue that at a currency exchange you are "buying" currency and therefore need to pay sales tax. To streamline things and avoid unintended consequences, all legal tender is often exempted.
If it hasn't changed in the last few years, it was no tax on US coins. World coins and bullion were exempt over $500
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NC abolished tax on all coins, currency and bullion recently.
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Insanity