LGS Transfer Sales tax question

[zippy23]

If I buy a rifle for $1000.00 from a shop in oregon, they send it here to an LGS in indy, i pay the $1000 to the shop, they ship it, i go pick it up, the LGS runs the background check then transfers the gun to me, but do i pay the indiana sales tax to the LGS here in indy?

 

[dave29]

Negative

 

[zippy23]

who's got the lowest transfer fees in the indy area? Tims shooting academy is like $50. no way

 

[Cameramonkey]

Dave is correct. You are paying for the service of running the paperwork, not the gun.

 

[zippy23]

awesome thank you.

 

[Vigilant]

I've had a couple shops try charging sales tax on price of gun. One refused to transfer without the sales tax, so I told him to ship it back! The other I told that it was a gift from my friend the out of state dealer, and I paid nothing. 7% of nothing is nothing!

 

[patience0830]

The state has a category for "use tax" on your tax form every year where you are supposed to volunteer the amount you spent out of state that you did not pay sales tax on so you can figure out what 7% of that total is and write the state a check for it. Like your hypothetical $1000 rifle. Thankfully they have not started checking credit card statements and eBay and Amazon records to start vigorously enforcing this.

 

[Cameramonkey]

who's got the lowest transfer fees in the indy area? Tims shooting academy is like $50. no way

US Defense solutions. Greenwood. county line road and SR37. Great guys. And its either $15 or $25 I cant recall.

 

[deo62]

Guess I'm not too savvy on this, but how could a store justify charging sales tax on a product they didn't sell?(referring to Vigilants post)

 

[Cameramonkey]

Guess I'm not too savvy on this, but how could a store justify charging sales tax on a product they didn't sell?(referring to Vigilants post)

Trying to be proactive and collect what you are supposed to claim on your taxes? I'd venture to guess the shops that were insisting on collecting it are actually commiting fraud and plan on keeping the $$. After all, its not their sale. How would they report collecting tax on an order that they didnt collect the payment on?

 

[Vigilant]

Trying to be proactive and collect what you are supposed to claim on your taxes? I'd venture to guess the shops that were insisting on collecting it are actually commiting fraud and plan on keeping the $$. After all, its not their sale. How would they report collecting tax on an order that they didnt collect the payment on?

Just wanting to pocket the cash is what I think. In order to "pay the tax" to the state, they would also have to claim the sale, and therefor pay income tax on the sale as well.

 

[j4jenk]

I've had transfers from out of state shipped to several different LGSs in the Anderson area, and not one of them has charged me tax on the transaction.

 

[rhino400]

US Defense solutions. Greenwood. county line road and SR37. Great guys. And its either $15 or $25 I cant recall.

USDS is $15 cash $20 credit. I won't go anywhere else for my transfers.

 

[nra4ever]

You don't pay tax only the paperwork few. Most reasonable places charge $20 to $25. Anything more than that and you are being ripped off. Look on gunbroker for shops in your area that do transfers and what they charge. The prices for the transfers are on gun broker.

 

[loony1]

US Defense solutions. Greenwood. county line road and SR37. Great guys. And its either $15 or $25 I cant recall.

$15 cash and thanks CM

 

[Huntinfool]

See above post and CM's post. USDS is good to go, for doing transfers. And they get my money

 

[DoggyDaddy]

Another vote for USDS for transfers. And they do it online, so it seems much quicker than calling it in over the phone.

 

[Stang51d]

I have an awsm neighbor that has an ffl. No transfer fees across the field from my house

 

[Tactically Fat]

If a dealer is asking for sales tax on the cost of the transferred item, they're either A) wholly ignorant or B) preying upon the ignorant in order to steal money.

If a dealer is asking for sales tax, report them to the Indiana Dept. of Revenue - as they're illegally levying a tax.

That said - Other states do things differently.

And all-in-all, if it was the law of the land for gun shops to collect sales tax on items purchased out of state, I would be OK with it.