Bad Taxman Bad Taxman Bad Taxman.....

[davitk]

I know this has been covered before, but has anyone ever REALLY been busted for buying out of state and not paying sales tax?

 

[daTeacha]

Yes!!

 

[daTeacha]

Those exclamation points are not for emphasis. The system needs at least 5 characters to accept a message.

 

[davitk]

I know for a fact that my state gov't spends my money wisely so am very eager to send in a check for 1,100.00

 

[rpoage]

Reciprocity
From Wikipedia, the free encyclopedia
a principle that favours, benefits, or penalties that are granted by one state to the citizens or legal entities of another, should be returned in kind.

Trust me it's REAL , Never mess with the state sales tax peolple, they can make the IRS look like a bunch of girl scouts.

 

[DavesTractor]

I know this has been covered before, but has anyone ever REALLY been busted for buying out of state and not paying sales tax?

Yes, it happens. The bigger question is "do I want to knowingly evade a tax that I owe?" Don't get me wrong, I pay way too much in taxes and I wish I could pay a lot less, but flat out not reporting something like a $15K tractor purchase just doesn't cut it.

 

[2manyrocks]

I saw a dealer go through a sales tax audit focused on out of state sales. There a lot of questions to verify that the equipment was in fact delivered out of state. It got nasty beyond talk about civil fraud penalties to the point of concern about criminal prosecution. They are still in business, and I'm not sure how it got resolved.

On the taxpayer side, I couldn't say if the state would pursue a single individual purchaser of one tractor, but it would be more than most people want to experience if it happened.

 

[shaley]

Dave, there are some administrative loop holes. Quite honestly, a friend bought a tractor from a dealer in N.C. The dealer delivered it for free (just at 60mi). The dealer is not required to collect tax for a out of state sale to VA. but the user is required to pay the tax on the honor system for in situ equipment. My friend used the tractor to clean up around his home and split some wood and then took it to his farm in central NC. When he called VA tax office they stated "No tax was due to VA b/c the equipment was keep in NC" I don't know whether he was able to pay it to NC or not. Is your state a "use" tax or a "sales" only?

 

[Z-Michigan]

Most states have use tax, and most states are hard up for revenue and unpleasant about alleged tax evaders. Make up your own mind beyond that. A much better route is to figure out how you qualify for any legitimate exemption - many states have an ag exemption, assuming you are farming something (owning horses for personal use doesn't count in my state).

 

[podagrower]

My wife and I have purchased many items from out of state and never worried about sales (in our state, use) tax. The state decided they wanted their cut on our hot tub purchase, however. They were very pleasent, sent us a letter and asked for their percentage. The letter said they checked manifests for trucks coming in out of state. If you are transporting your new tractor, or a small carrier is transporting, you probably will get away with it. But, I would have a backup plan to pay the tax, should they come knocking with their hands out.