Ugly Hedgehog - Photography Forum
Home Active Topics Newest Pictures Search Login Register
General Chit-Chat (non-photography talk)
New Florida Sales Tax for Out of State Sellers
Page 1 of 3 next> last>>
Apr 25, 2021 10:55:21   #
Miamark Loc: Florida
 
Beginning on July 1, it has been reported that out of State sellers who sell products to Florida customers will be required to collect and remit sales tax to the State of Florida (6 per cent). While there are certain exemptions, they do not seem to apply to popular on-line sellers. Amazon has been charging and collecting sales tax because it has a presence in many jurisdictions but, until July 1, sponsored products may have been exempt. That will change as well so long as the platform has total sales above 100k. I do not know how or whether this will affect sales to other states; it will depend upon the law in that jurisdiction. If you are a Floridian, consider buying your equipment before July 1 or be prepared to face the potential sales tax issue. Perhaps this will have the effect of helping local stores be more competitive but I do not think that the legislative intent was to help local sellers. This, of course, is not limited to photographic equipment: it would apply to any product sold on line from any out of state seller. I AM NOT PROVIDING TAX ADVICE BY THIS POST. PLESE CONSULT YOUR TAX ADVISOR AS TO THE IMPLICATIONS OF THE CHANGE IN THE LAW. I simply want to give colleagues a heads up as to this change in Florida law. Best.

Reply
Apr 25, 2021 11:09:09   #
Longshadow Loc: Audubon, PA, United States
 
Yup. The states are all going after the revenue they have been missing for years and years.
Eventually every seller will be required to submit collected sales tax for the states that have a sales tax.

Reply
Apr 25, 2021 12:11:13   #
JohnSwanda Loc: San Francisco
 
Miamark wrote:
Beginning on July 1, it has been reported that out of State sellers who sell products to Florida customers will be required to collect and remit sales tax to the State of Florida (6 per cent). While there are certain exemptions, they do not seem to apply to popular on-line sellers. Amazon has been charging and collecting sales tax because it has a presence in many jurisdictions but, until July 1, sponsored products may have been exempt. That will change as well so long as the platform has total sales above 100k. I do not know how or whether this will affect sales to other states; it will depend upon the law in that jurisdiction. If you are a Floridian, consider buying your equipment before July 1 or be prepared to face the potential sales tax issue. Perhaps this will have the effect of helping local stores be more competitive but I do not think that the legislative intent was to help local sellers. This, of course, is not limited to photographic equipment: it would apply to any product sold on line from any out of state seller. I AM NOT PROVIDING TAX ADVICE BY THIS POST. PLESE CONSULT YOUR TAX ADVISOR AS TO THE IMPLICATIONS OF THE CHANGE IN THE LAW. I simply want to give colleagues a heads up as to this change in Florida law. Best.
Beginning on July 1, it has been reported that out... (show quote)


If Florida is like most states that have sales tax, buyers from out of state merchants have been required all along to pay a use tax equal to sales tax on their state tax returns. It was hard to enforce, which is why a court decision allowed states to require out of state merchants to collect the sales tax. If you are encouraging people to buy out of state and not pay the use tax, you are advising them to break the law.

Reply
 
 
Apr 25, 2021 12:20:09   #
Miamark Loc: Florida
 
I am not advising anyone to break the law nor would I ever do that. That is not what I was saying. I simply am advising readers of a new Florida law imposed upon sellers.

Reply
Apr 25, 2021 12:26:53   #
Miamark Loc: Florida
 
To be clear, I believe that the previous poster is correct but I am not a tax advisor. I believe that Florida is trying to avoid the issue of imposing the remittance of sales tax on the sellers from us of state under certain conditions. Thank you for the clarification. All I am suggesting is that buyers consult a tax advisor. Assuming that the prior poster is correct then buyers had the obligation to remit sales or use taxes. Thank you for your input.

Reply
Apr 25, 2021 12:27:23   #
Longshadow Loc: Audubon, PA, United States
 
I think PA started collecting sales tax on stuff bought from another state in the Spring of 2018.
They call it a use tax.

Goes with the dingy under the dock tax.....

Reply
Apr 25, 2021 12:30:35   #
Miamark Loc: Florida
 
Sorry. I believe that Florida is trying to avoid the burden of remittance of sales or use tax on buyers by changing the law to place the burden upon sellers. Please consult your tax professional.

Reply
 
 
Apr 25, 2021 12:43:59   #
Longshadow Loc: Audubon, PA, United States
 
The seller is supposed to collect it and remit to the appropriate state.

Reply
Apr 25, 2021 14:41:36   #
wilsondl2 Loc: Lincoln, Nebraska
 
JohnSwanda wrote:
If Florida is like most states that have sales tax, buyers from out of state merchants have been required all along to pay a use tax equal to sales tax on their state tax returns. It was hard to enforce, which is why a court decision allowed states to require out of state merchants to collect the sales tax. If you are encouraging people to buy out of state and not pay the use tax, you are advising them to break the law.


Yup - In Nebraska you pay sales tax on thins bought out o State with your Income tax. Are you honest and pay it or not. - Dave

Reply
Apr 25, 2021 15:32:39   #
Longshadow Loc: Audubon, PA, United States
 
wilsondl2 wrote:
Yup - In Nebraska you pay sales tax on thins bought out o State with your Income tax. Are you honest and pay it or not. - Dave

PA has a flat rate for "internet purchases where sales tax has not been collected".

Best to pay, reduces the chance of an audit.
Very few people can legitimately say "none"....

Reply
Apr 25, 2021 15:38:26   #
boberic Loc: Quiet Corner, Connecticut. Ex long Islander
 
Miamark wrote:
To be clear, I believe that the previous poster is correct but I am not a tax advisor. I believe that Florida is trying to avoid the issue of imposing the remittance of sales tax on the sellers from us of state under certain conditions. Thank you for the clarification. All I am suggesting is that buyers consult a tax advisor. Assuming that the prior poster is correct then buyers had the obligation to remit sales or use taxes. Thank you for your input.


"Having to pay the out of state sales tax and actuall doing it are 2 different things. Most did not which is the reason many states require the vendor to pay. Especially now with "lockdowns" so many purchases are on line and out of states.

Reply
 
 
Apr 25, 2021 16:05:01   #
DaveO Loc: Northeast CT
 
Ct has had an individuals use tax since 1947.

Reply
Apr 25, 2021 16:10:21   #
Longshadow Loc: Audubon, PA, United States
 
DaveO wrote:
Ct has had an individuals use tax since 1947.

Have you always had to pay CT sales tax on out of state purchases?
PA has had a sales tax for as long as I can remember, but it was not collected on out of state purchases until the past few years. PA coined "use" tax to specifically include internet & mail-order purchases.

Reply
Apr 25, 2021 17:20:54   #
DaveO Loc: Northeast CT
 
Longshadow wrote:
Have you always had to pay CT sales tax on out of state purchases?
PA has had a sales tax for as long as I can remember, but it was not collected on out of state purchases until the past few years. PA coined "use" tax to specifically include internet & mail-order purchases.


It has always been a voluntary payment with little or no enforcement.

Reply
Apr 26, 2021 07:41:20   #
jaymatt Loc: Alexandria, Indiana
 
This is pretty common in a lot of states; welcome to the club.

Reply
Page 1 of 3 next> last>>
If you want to reply, then register here. Registration is free and your account is created instantly, so you can post right away.
General Chit-Chat (non-photography talk)
UglyHedgehog.com - Forum
Copyright 2011-2024 Ugly Hedgehog, Inc.