Taxed 37 times the cost of an item on Gunbroker

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Ohen Cepel

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Yes, this is an extreme case, I know.

Won a set of grips for a penny on GB. Shipping was $6. Tax and their new fee ended up being 37 cents, so 37 times the cost of the item in taxes/fee.

I did not think tax applied to shipping charges. Is that new or just how GB does it?

Also, when did used items get tax put onto them? Not sure, but was there always tax on used stuff?
 
Also, when did used items get tax put onto them? Not sure, but was there always tax on used stuff?

Have paid tax on used vehicles my whole life. Buy a used gun from the LGS and you pay sales tax. Sell a used car to your friend and at least in my state, by law, they pay sales tax on it. That's why they ask you to lie on the bill of sale.
 
Whether or not sales tax applies on shipping charges depends on the specific state.

Sales tax generally applies to used items unless the state has an occasional sale exemption that the seller would qualify for. Most states allow 1 or 2 occasional sales per year for something like garage sales or the average person selling a random gun or 2 throughout the year.
 
Think we bought same thing but no tax (yet) in OR. I have been watching GB sales and seem they are down for this reason plus increased cost of shipping. Good example of the current assault on the economy
 
I was charged sales tax on a Midway order. The governments are catching wise to internet shopping.

The local commercial range started charging tax on lane rental, classes, and competition. I grumbled that sales tax was not supposed to apply to services. Turned out the county had imposed an "entertainment tax" equal to the merchandise sales tax.
 
I buy and sell occasionally on eBay. They started collecting taxes a while back.

The local town here collects .02 tax over the state .06 on fast food.

But there is no tax on food from the store in KY.
 
Shouldn't be tax on shipping. Is the vendor just pocketing the money. Albeit only a few cents but still.

Yeah ks tax stinks. 9% is average now and that includes food. Vehicle and real estate is highest of any surrounding state.
 
I buy and sell occasionally on eBay. They started collecting taxes a while back.

The local town here collects .02 tax over the state .06 on fast food.

But there is no tax on food from the store in KY.
I understand Ebay will 1099 you at a certain point. Tracking at its best and you pay for it.
 
Yesterday I paid tax on a transfer. I wasn’t happy about it but 6% over the $25 transfer fee is still far better than the flat $35 from other LGS in the area that are less pleasant to deal with.
 
Sell a used car to your friend and at least in my state, by law, they pay sales tax on it.
You pay sales tax on a used car in Arizona only if it has never been sold in Arizona (new or used) previously. This is why rental car agencies in AZ market a lot of their California registered cars in AZ. They advertize an excellent low price and you get nailed for 8.5% to 11% sales tax, depending on the municipality you are in. If the car had been registered initially in AZ, then no sales tax would apply as the State recognizes the tax as having been previously paid.
 
Sell a used car to your friend and at least in my state, by law, they pay sales tax on it.

Yeah my state 86ed that a while ago. We have standard presumption value now. So it don't matter if you bought it for one dollar. You pay what they think it's worth.



I would guess GB has a minimum charge.

?????
 
Have paid tax on used vehicles my whole life. Buy a used gun from the LGS and you pay sales tax. Sell a used car to your friend and at least in my state, by law, they pay sales tax on it. That's why they ask you to lie on the bill of sale.

Bought and sold many used boats here in Fl. Boats (vessel) are registered with the State. Outboard engines are not. Most big outboards are worth more than the boat. If on a trailer gotta pay tax on that also.
So when selling we made the bill of sale for the boat only so tax on that.

$10K for the boat $20K for the engine(s)!!:what:
 
My state has both a value and a presumed value taxable for cars. So, if you buy a car for $500 and it's worth $1500, they tax you for $1500. Unless, you know a person at the DMV, and I do. I bought a used car for $500 from the lady at the dmv, and only had to pay tax on that, even though it was worth $2000.

I ain't ever got a 1099 from eBay, but I don't sell much. A few times a year, couple hundred dollars maybe.
 
You pay sales tax on a used car in Arizona only if it has never been sold in Arizona (new or used) previously. This is why rental car agencies in AZ market a lot of their California registered cars in AZ. They advertize an excellent low price and you get nailed for 8.5% to 11% sales tax, depending on the municipality you are in. If the car had been registered initially in AZ, then no sales tax would apply as the State recognizes the tax as having been previously paid.

Whether buying a gun, a car, or grips the tax amount is irrelevant for the seller. They don't keep the money. A smart seller would sell items where tax isn't due and try to highlight it. They might be selling CA cars in AZ, but it's not so they can charge customers more money in sales tax. Sellers gain nothing by charging the tax and it doesn't have any effect on the price they list cars at.
 
Whether buying a gun, a car, or grips the tax amount is irrelevant for the seller. They don't keep the money. A smart seller would sell items where tax isn't due and try to highlight it. They might be selling CA cars in AZ, but it's not so they can charge customers more money in sales tax. Sellers gain nothing by charging the tax and it doesn't have any effect on the price they list cars at.
You are correct, of course, but what the unbsuspecting buyer maybe lurred into is the expectation of buying a 1 or 2 year old car for 2 or 3 thousand dollars less from the rental car seller's lot than the neighboring Ford (or other) dealer for the same vehicle. In actuality, the unknowing buyer would be paying more money out-of-pocket for the out-of-state registered rental car than the other dealer's in-state registered vehicle.
I had just such an experience of my own. I had made a deal on a specific Toyota Carolla rental vehicle (AZ registered) sale for a specific price. When we went to accept delivery, the bottom line was $1,300 greater than the price of the car we had selected. When asked, the reply was, "That car was already sold and this one has fewer miles and is the exact same make, model and color and price." Yes and no. Car #1 had been AZ registered, car #2 had been CA registered.

Big difference in the bottom line and even more so if you were financing all or part of the vehicle.
 
My state (WV) has no tax on firearms or ammunition but GB charges it anyway. Even after multiple people have sent them a copy of the law.
 
Yesterday I paid tax on a transfer. I wasn’t happy about it but 6% over the $25 transfer fee is still far better than the flat $35 from other LGS in the area that are less pleasant to deal with.
I once had a dealer charge me tax on the full amount of the used gun he received for me, plus the transfer fee. When I complained, he said he had to log it in as if he bought it, then sold it to me. I asked him how much he paid for it, he just smiled.

This was in NY where anything is possible, so it might have been legit.
 
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