Avoiding Tax on New Tractor??

[AndyMA]

Online sales are currently tax exempt by federal statue unless the business you are buying from has a physical presence in the state you are shipping into. I've set up several internet stores and am pretty familiar with these regulations. Many Bricks & Mortar retailers and tax agencies are trying to get this code changed.

In New England several states have recrepical arrangements to collect each others sales tax. My dealer in Conn has been audited by the Mass tax folks.

Andy

 

[AndyMA]

Online sales are currently tax exempt by federal statue unless the business you are buying from has a physical presence in the state you are shipping into. I've set up several internet stores and am pretty familiar with these regulations. Many Bricks & Mortar retailers and tax agencies are trying to get this code changed.

In New England several states have recrepical arrangements to collect each others sales tax. My dealer in Conn has been audited by the Mass tax folks.

Andy

 

[dieselsmoke1]

I own a farm who's crop production land is rented out. I have used my tractor many times on this farm for maintenance and improvements. However today I find out that my tax exemption is being challenged by the revenooers because it is not used in "active production".

I need another beer.

 

[dieselsmoke1]

I own a farm who's crop production land is rented out. I have used my tractor many times on this farm for maintenance and improvements. However today I find out that my tax exemption is being challenged by the revenooers because it is not used in "active production".

I need another beer.

 

[DavesTractor]

California's laws are crystal clear. If you go to a neighboring state and buy a tractor, you do not owe the neighboring state's tax (in most cases), but you do owe California Use Tax. They are getting aggressive about this. I don't know that they care so much about the tax missed on a pair of shoes, but the amount of tractors and heavy equipment sold over state lines each year runs into the big dollars.

Many good points articulated in the posts above. Smart group we have here...

 

[DavesTractor]

California's laws are crystal clear. If you go to a neighboring state and buy a tractor, you do not owe the neighboring state's tax (in most cases), but you do owe California Use Tax. They are getting aggressive about this. I don't know that they care so much about the tax missed on a pair of shoes, but the amount of tractors and heavy equipment sold over state lines each year runs into the big dollars.

Many good points articulated in the posts above. Smart group we have here...

 

[MOPAULY]

Good timing for this thread. I can go to Delaware from PA and save $1000 in tax by buying a tractor there....however based on this thread I'm thinking that's not such a hot idea. So in essence I'd have to find a dealer with a $1000 better deal + some for the gas in towing. Sounds like less hassle to just pay the tax.

 

[MOPAULY]

Good timing for this thread. I can go to Delaware from PA and save $1000 in tax by buying a tractor there....however based on this thread I'm thinking that's not such a hot idea. So in essence I'd have to find a dealer with a $1000 better deal + some for the gas in towing. Sounds like less hassle to just pay the tax.

 

[Curtis861]

Alot of people posted great replies to my question. Thank you, all. But even after reading 27 messages I still don't know if I can go out of state to purchase a tax free tractor! I suppose I need to either pay the tax or do more research.

 

[Curtis861]

Alot of people posted great replies to my question. Thank you, all. But even after reading 27 messages I still don't know if I can go out of state to purchase a tax free tractor! I suppose I need to either pay the tax or do more research.