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Posted: 6/18/2003 1:31:36 PM EDT
I was in a gun store recently discussing the possibility of having them do a transfer for me and the subject of having to pay NYS sales tax on top of the transfer fee came up and I told him I have NEVER paid sales tax on a gun purchased out of state and he claimed that it has always been the law. He claims that NYS laws require tax to be paid on all firearm sales even those transferred in from out of state just like cars and art. I need to get some more opinions on this matter before I buy any more guns out of state. What do you guys know about this?????????

THANKS
Link Posted: 6/18/2003 1:52:40 PM EDT
It's not true in the least. If you had your mother ship you up a gun from Fla, does that also require a sales tax payment? What ever cash the local FFL collects from you is what he can and should collect sales tax on, nothing else. On the other hand, just like any other out of state mail order, or for that matter out of state in person purchase of goods, you the buyer must remit full sales tax to NY State or the difference from the out of state tax to NY's. This is laughable, like someone is *actually* gonna do it.. :)
Link Posted: 6/18/2003 2:36:42 PM EDT
Guys, here is the definitive word on the matter.

You must pay sales tax on the cost of the transfer, the fee itself. It is a taxable service.

You need not pay sales tax from an out of state dealer. If they have a physical presence in the state, what is legally known as a "nexus," they are then required to collect tax because they are an agent of the state of NY for sales tax purposes. If there is no physical presence in the state, and hence no nexus, you are not required to pay SALES tax. You are however required to pay what is known as "compensating use tax" which is payable at the rate equal to the sales tax rate in the jurisdiction where the firearm was shipped to. If that jurisdiction's sales tax rate is lower than your home jurisdiction's sales tax rate, you must pay at the higher rate.

This applies to all sales. If you go out of state to buy tax free clothes in say NJ, you must still pay the use tax by law. If you live in County A and they charge 8%, but you are visiting your sister in County B which charges 6%, you must send the state a check for 2% to make up for the difference. When you buy a car, regardless of where you buy it in the state, they assess tax at the rate of your home jurisdiction.

Now as part of the 2003 State Budget, there is a requirement that next year's state tax forms include a line to declare the total of your untaxed purchases and then pay tax on them. BTW, the law says you must pay any use tax due within 20 days or it is subject to interest and penalties. This new requirement of placing the declaration on the state tax forms will likely cancel out the 20 day requirement, but it will still be owed.

BTW, I wouldn't be so quick to declare that you aren't going to pay the taxes you owe - you never know when a state tax official might read those words. Most of us wouldn't act on them, but some might. Did I just say "us?" Why yes I did...
Link Posted: 6/18/2003 3:39:53 PM EDT
What gun shop was this? I need to avoid that place
Link Posted: 6/18/2003 5:23:05 PM EDT
I have always paid taxes on the transfer fee, never on the value of the gun. What store is this?
Link Posted: 6/19/2003 5:44:14 AM EDT

Originally Posted By bear3351:
I have always paid taxes on the transfer fee, never on the value of the gun. What store is this?


Mark at hunter sports chrged you tax on teh transfer? I always got charged $25 cash total and walked out. Same goes for LRB arms
Link Posted: 6/19/2003 6:07:33 AM EDT
[Last Edit: 6/19/2003 6:09:04 AM EDT by N_Viejo]

Originally Posted By HiramRanger:
This new requirement of placing the declaration on the state tax forms will likely cancel out the 20 day requirement, but it will still be owed.

BTW, I wouldn't be so quick to declare that you aren't going to pay the taxes you owe - you never know when a state tax official might read those words. Most of us wouldn't act on them, but some might. Did I just say "us?" Why yes I did...



The way New York State is scrambling around chasing pennies it wouldn't surprise me if, in a few years, they started auditing our credit card records looking for those out-of-state purchases. Wouldn't that be a trip!

By the way, Pennsylvania has NO SALES TAX on food, clothing, or shoes. They also don't have 5 cent can deposits, which I think are just another tax under the guise of "saving the earth."

-Nick Viejo.

Edit to add: I've done 2 NYS out of state transfers so far, and neither dealer collected sales tax on the gun. One of them did charge me tax on the transfer service. But I did send a sales tax check to NYS within 20 days to comply with the law. Everybody should pay their fair share!
Link Posted: 6/19/2003 6:38:41 AM EDT

Originally Posted By N_Viejo:
...But I did send a sales tax check to NYS within 20 days to comply with the law. Everybody should pay their fair share!





Link Posted: 6/19/2003 6:58:20 AM EDT

Originally Posted By N_Viejo:
But I did send a sales tax check to NYS within 20 days to comply with the law. Everybody should pay their fair share!


Link Posted: 6/19/2003 10:27:58 AM EDT
I have the receipts to prove it, it has always been like that, then again I don't wink at the guy.
Link Posted: 6/19/2003 12:37:50 PM EDT

Originally Posted By bear3351:
I have the receipts to prove it, it has always been like that, then again I don't wink at the guy.


Maybe you should!
Link Posted: 6/19/2003 6:54:01 PM EDT
there are certain times its taxable. Some places like CDNN or SOG still invoice it to the FFL even though u paid for the gun, which forces the FFL to charge sales tax
Link Posted: 6/19/2003 6:55:29 PM EDT

Originally Posted By Hoplite:

Originally Posted By bear3351:
I have the receipts to prove it, it has always been like that, then again I don't wink at the guy.


Maybe you should!



Mark charges sales tax on the transfer.
Hoppy must be tossin his salad
Link Posted: 6/21/2003 7:31:26 PM EDT
Ohhh, this topic gets my blood boiling, hold on I have to take my blood pressure meds.......

Alrighty then!

When the 2001 LEGP came up, of coarse I had to have one. So a co-worker recommended I do the transfer at a gunshop in Bohemia, not mentioning any names(it's on southside Sunrise Hwy.). So I said fine, the day I pick it up we would go to Calverton range and blast away.

So the day comes, the FFL calls me and says it's in. I go in to pick up the rifle. Now the rifle is already payed for, from Illinois. I know his transferr fee is $30.00. I look over the great looking rifle and said great, thats $30.00 right? He said "plus tax", I said oh ya (thinking tax on the transferr fee). So it should be $32.55.

He says that'll be $70.55!!!!

**************WHAT*************­*

ME: "how is $40.55 tax on $30.00" ?

HIM: "It's not, I have to charge NYS sales tax on the purchase price of the rifle"

ME: "It's already paid for in the state of Illinois"

HIM: "SO"

ME: "SO, this is BULLSH*T, I've NEVER paid sales tax at the register on an out of state purchase for a gun. Thats up to me to pay the government NOT you"

YADDA YADDA YADDA..............

I told him to go shit in his hat and I (we) would NEVER step foot in his scamming store again!

So I take a ride to two other shops in the area, to see if they did the same. Both guys tell me they CANNOT collect sales tax on out of state gun transferred in, UNLESS they are buying the gun and then selling it to me. The only sales tax is on the transferr fee!

OHHHHH, my drawers are in a bunch again!!!


Link Posted: 6/21/2003 7:37:34 PM EDT
The other dealers are correct, UNLESS they paid for the rifle and are reselling it to you, the dealer is not REQUIRED to collect sales tax. They may CHOOSE to collect the sales tax, which obviates your need to submit the use tax as required by law. We all remit the use tax now don't we?
Link Posted: 6/21/2003 7:58:13 PM EDT



When the 2001 LEGP came up, of coarse I had to have one. So a co-worker recommended I do the transfer at a gunshop in Bohemia, not mentioning any names(it's on southside Sunrise Hwy.). So I said fine, the day I pick it up we would go to Calverton range and blast away.

So the day comes, the FFL calls me and says it's in. I go in to pick up the rifle. Now the rifle is already payed for, from Illinois. I know his transferr fee is $30.00. I look over the great looking rifle and said great, thats $30.00 right? He said "plus tax", I said oh ya (thinking tax on the transferr fee). So it should be $32.55.

He says that'll be $70.55!!!!

**************WHAT*************­*

ME: "how is $40.55 tax on $30.00" ?

HIM: "It's not, I have to charge NYS sales tax on the purchase price of the rifle"

ME: "It's already paid for in the state of Illinois"

HIM: "SO"

ME: "SO, this is BULLSH*T, I've NEVER paid sales tax at the register on an out of state purchase for a gun. Thats up to me to pay the government NOT you"

So I take a ride to two other shops in the area, to see if they did the same. Both guys tell me they CANNOT collect sales tax on out of state gun transferred in, UNLESS they are buying the gun and then selling it to me. The only sales tax is on the transferr fee!



"Brian Anderson,Guns & Ammo: sunrise highway near locust ave"
Link Posted: 6/22/2003 6:32:56 AM EDT

Originally Posted By ClaytonBigsby:



When the 2001 LEGP came up, of coarse I had to have one. So a co-worker recommended I do the transfer at a gunshop in Bohemia, not mentioning any names(it's on southside Sunrise Hwy.). So I said fine, the day I pick it up we would go to Calverton range and blast away.

So the day comes, the FFL calls me and says it's in. I go in to pick up the rifle. Now the rifle is already payed for, from Illinois. I know his transferr fee is $30.00. I look over the great looking rifle and said great, thats $30.00 right? He said "plus tax", I said oh ya (thinking tax on the transferr fee). So it should be $32.55.

He says that'll be $70.55!!!!

**************WHAT*************­*

ME: "how is $40.55 tax on $30.00" ?

HIM: "It's not, I have to charge NYS sales tax on the purchase price of the rifle"

ME: "It's already paid for in the state of Illinois"

HIM: "SO"

ME: "SO, this is BULLSH*T, I've NEVER paid sales tax at the register on an out of state purchase for a gun. Thats up to me to pay the government NOT you"

So I take a ride to two other shops in the area, to see if they did the same. Both guys tell me they CANNOT collect sales tax on out of state gun transferred in, UNLESS they are buying the gun and then selling it to me. The only sales tax is on the transferr fee!



"Brian Anderson,Guns & Ammo: sunrise highway near locust ave"




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