Gunbroker starts collecting state sale tax

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HankC

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Received in email today! Apply to individual sellers as well!:(

Starting on January 1, 2021, GunBroker.com will collect and remit sales tax on behalf of all sellers for sales in which the item is sold into the following states:

  • Georgia – GA
  • Iowa – IA
  • Indiana – IN
  • Kentucky – KY
  • Maine – ME
  • Nebraska – NE
  • New Jersey – NJ
  • Nevada – NV
What if I am an individual and not a company or business?

The Marketplace Facilitator Laws require GunBroker.com to collect and remit sales tax on all sales by its sellers into GunBroker.com MPF States, regardless of whether the seller is an individual, a company or a business, and regardless of the seller’s location or its total sales into that state. The only exception to this is for tax-exempt sellers (see below under “What if my account is a charity or tax-exempt?”) or tax-exempt buyers.

https://support.gunbroker.com/hc/en...&utm_content=New+Update+on+Internet+Sales+Tax
 
If they do it anything like how eBay does it, the whole process will be transparent to the seller.

My listings on eBay are the same as they were, and my prices are the same. During the checkout process, eBay adds the appropriate sales tax. Then they keep the sales tax from what is remitted to me. eBay then pays the state the sales tax they collected. Again, I see none of this as a seller. What I get is the same on the sales in states where this law doesn't apply or where it does apply. I have nothing to file, nothing to keep track of.

Now, to my buyers, they have to pay sales tax. This is due to the tax laws in the state in which they live. This isn't something that eBay profits from - their revenues neither go up or down. All the sales tax revenue goes to the state in which the buyer lives.
 
In my state (WA) when I buy from an out of state seller or out of state auction house, the gun is shipped to my local FFL, who then collects my state's sales tax based on the seller's invoice. I don't see why someone like Gunbroker.com would get involved with that.
 
This also happened the last time I purchased from Natchez as well. In the future I will find out if this happens on a firearms purchase as my local FFL always requires I pay local sales tax. Don't ever want to pay double.
 
A 900 pound gorilla will always find a way to feed itself - taxes are the bottomless pit of a self-fulfilling prophecy - the government is a mafia with the power of the law - it is a thief. The reversal of this madness can start from this forum - Viva La Revolution - if God be for us, who can be against us!
 
Most or maybe all out of state purchases shipped to a Rhode Island address are taxable. Seems to me there was some thing about a court case that allowed any state to collect sales tax on any item normally taxed in said state. Amazon does and most online retailers of any size will or are suppose to.

That’s not to say all states do, this one does.
 
I don’t think it’s because they want to have to deal with more paperwork. It’s from electing people that write “marketplace facilitator” laws so they can still collect money while their local businesses tank.
 
I don’t think it’s because they want to have to deal with more paperwork. It’s from electing people that write “marketplace facilitator” laws so they can still collect money while their local businesses tank.

...it may also be pressure from regular brick and mortar stores, that have seen multiple sales lost because of the extra $50+ dollars they are required by law to add to the OTD price of a $1000 purchase, that in the past, online sellers were not required to do. We were all suppose to report those out of state sales and pay the taxes ourselves. I know I did........;)
 
Technically, one is required to remit the equivalent of your state's sales tax (called a "use tax") on out of state purchases. Prior to the explosion of internet sales, most states didn't bother with the catalog companies as the amount involved was minuscule compared to the paperwork involved. Amazon et al changed all that.
 
This is due to a lawsuit by South Dakota and two other states over sales from Wayfair in South Dakota. Expect the states to become more aggressive at collecting internet sales tax as the lock down continues to suppress sales tax revenue from local businesses.
 
Ca Has has this in place for a while. :(

If the seller doesn't collect the tax when I buy a gun or ammo (Both of which need to be shipped to a FFL here) then the FFL charges me and remits the tax to the State when I pay for the transfer.

Yeah, it stinks, but I pay tax when I buy locally so I guess it's fair to the local businesses who lose a ton of business to internet sales every year. Hey, at least I can still buy guns over the internet here. :) I have no idea how much longer this may be allowed, tho. :thumbdown:

Stay safe.
 
They started that here awhile back. I'ts actually been that way for a long time but never enforced for online sales. I just go local now if it's available and priced fair cause by the time you add the tax and shipping I might as well support the locals...
 
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