Mike Hartfield, CPA
www.linkedin.com/pub/mike-hartfield/15/306/961
Ha! One tribe actually legally adopted Gambinos to make them tribal elders. Another Atlantic City dude whose name is off limits simply built casinos outside the legal boundaries of small reservations and then leased them to the tribes with insanely inflated overhead, then finally ripped off the investors themselves by a serial bankruptcy stunt, which doesn't mean he didn't bag a lot of money himself first. That happened to a few of the Indians I grew up with; the others
were already up and running with their own mega-casino. But back to taxes which actually end up in the state coffer... Amazon has a huge shipment center in Calif and therefore is expected to collect Calif sales taxes. That still hardly levels the playing field, cause they got a huge state income tax break to set up here in the first plade, so still amount to a monopolistic Godzilla destroying local businesses right and left, just with one hand legally in a boxing glove now.
For those of you that would either:
• Want to see how tax people look at this [including that it's an "Accountant's Full Employment Act :-) ], or
• Are looking for something to read when you are trying to go to sleep :-) ,
here's a discussion in a Tax Forum that I read, but do not post into:
https://www.taxprotalk.com/forums/vi...hp?f=8&t=12514
Mike Hartfield, CPA
www.linkedin.com/pub/mike-hartfield/15/306/961
The Amazon CA Distribution Center would have happened after Amazon & CA reached some kind of deal.
Mike Hartfield, CPA
www.linkedin.com/pub/mike-hartfield/15/306/961
CA lost either way. Amazon got a huge tax break. More orchards got leveled and a number of so-so jobs were acquired in an admittedly difficult area to find
work, out in the Valley. But probably more overall jobs get lost with the demise of many private businesses, and hence their former employees often end
up paying considerably less personal tax. Yeah, I have an opinion, having successfully competed with Amazon from a one-location store - actually three city
blocks of property in a very expensive city, and with absolutely none of the freebie perks and routine cheating of workers the big box chains get away with. We were paid well and had full benefits, including traditional pensions. I visit them from time to time now that I'm retired. But generational and personnel changes, experience-wise, are always risky for family-owned businesses, even relatively large ones. It's a bare-knuckles world out there, but always has been
in terms of competition. Only the smart and adaptable survive.
Thanks Mike for your response. But you seem to have described sellers that were in CA. The question is how does California go after a seller who's located in let's say New Jersey who does not have any people working in California or any address of business there? No Nexus. The companies that will fall under the new SCOTUS judgment currently do not file sales taxes there. They only ship their products there? How will California 1. Find those out of state companies that are selling in their state 2. Audit their books since they are not located in CA 3. Subpoena them?
Another question is 4. will California issue Sales Tax Certificates to everyone out of state who requests one? That's a very involved procedure multiplied by 50 states. In any case, why would a seller get a certificate until he makes a sales in CA above the limit (not yet established in CA)? I assume CA like other state will have to do what SD did and formulate reasonable requirements with sales limit, quantity of sales etc as well as how to issue Certificates to out of state sellers.
But could you answer my question 1,2 3, 4?
Flickr Home Page: https://www.flickr.com/photos/alanklein2000/albums
Received this "Important Notice" from B&H this morning:
As you may know, based on a June 2018 U.S. Supreme Court ruling, California is now requiring out of state sellers to collect sales tax. As a result, B&H will begin to collect sales tax on shipments to California on April 1st. All reputable retailers are complying with the new laws and collecting sales tax.
That translates to a 10% price increase on stuff effective 1 April.
Thomas
That helps even the playing field between Freestyle and B&H. Not having to pay sales tax for out-of-state purchases was a weird little bonus we had.
"Landscapes exist in the material world yet soar in the realms of the spirit..." Tsung Ping, 5th Century China
Here in IL we have been paying B&H sales tax for a while, but not the full local amount.
Tin Can
Many dealers in CA, and other states, run special sales days where the dealer pays the tax, not the consumer. So now that mail order dealers will start collecting sales tax on out of state shipments where they do not have a physical presence will these tax free days end?
Bookmarks