Market "Fairness" Act passes cloture

[IndyGunworks]

No you should buy your car online, and not give a penny to the local dealership so you can save on sales tax.

 

[hornadylnl]

No you should buy your car online, and not give a penny to the local dealership so you can save on sales tax.

I probably would if I could. But you know the BMV will make you pay the tax when you plate. The state will be getting roughly $1200 in sales tax, more yet in title fees, and plates. That's not enough.

It's about time business owners look into the mirror and find out why they're losing business. How many threads are here about crappy service from gun shops alone? It's Bud's fault they're failing.

 

[Leo]

I do not see the difference. It has been the law in the state of Indiana since I started paying taxes in 1974, probably well before that. Indiana law requires you to declare and pay a "use tax" on out of state, mail order purchases. If you do not think they care, wait until you are audited, they do care. The only people who this bill will hurt is the people who have been breaking the sales tax laws. Since I have always paid them, the built in sales tax on internet purchases will relieve me from keeping records of my purchases and from writing the state a check at the end of the year. I do not anticipate any additional expense in my budget.

 

[Leo]

I do not know Bud's business profile, but I assume Bud's is big enough to buy factory direct, and negotiate their prices according to the order. Your local gun shop does not have this advantage. The local gun shop does most of his buying through distributors who have already marked it up a high percentage. Then if the local guy steps on it $25 or 30 bucks, the gun is now at full list. When a distributor sells to the general public, even at the same price he sells to a shop, he is still getting the lions share of the profit margin. If Bud's (or zanders, donaldsons, or jerry's or midwest,l etc) has to collect the Indiana state sales tax, they will still be at an advantage anytime the sell a firearm to the general public.

Just think if you could drive your cars up to the pipes at the oil refinery, and eliminate the local dealer, the local tax and the distribution costs.

 

[hornadylnl]

I do not know Bud's business profile, but I assume Bud's is big enough to buy factory direct, and negotiate their prices according to the order. Your local gunshop does not have this advantage. The local gun shop does most of his buying through distributers who have already marked it up a high percentage. Then if the local guy steps on it $25 or 30 bucks, the gun is now at full list. When a distributer sells to the general public, even at the same price he sells to a shop, he is still getting the lions share of the profit margin.

And the whole multi layer producer/distributor/dealer/consumer model is ridiculous. The distributor and dealer add no value to the product.

 

[IndyGunworks]

I do not know Bud's business profile, but I assume Bud's is big enough to buy factory direct, and negotiate their prices according to the order. Your local gun shop does not have this advantage. The local gun shop does most of his buying through distributors who have already marked it up a high percentage. Then if the local guy steps on it $25 or 30 bucks, the gun is now at full list. When a distributor sells to the general public, even at the same price he sells to a shop, he is still getting the lions share of the profit margin. If Bud's (or zanders, donaldsons, or jerry's or midwest,l etc) has to collect the Indiana state sales tax, they will still be at an advantage anytime the sell a firearm to the general public.

Just think if you could drive your cars up to the pipes at the oil refinery, and eliminate the local dealer, the local tax and the distribution costs.

Buds guns drop ship directly from the same distributors that most gunshops use for their products.

If you order a gun from buds it will show up w/ a letter from say Ellet Brothers that says not to log the gun in from ellet brothers but to log it in from buds gunshop. even though the rifle shipped from ellet brothers w/ their FFL in the box.

 

[Leo]

Thanks Indy, good info, I figured Bud's was big enough to buy direct.

 

[beararms1776]

How does this work for people who have purchased items and paid their 7-10% state sales tax but later sell the item? Are they taxed again?

 

[IndyGunworks]

How does this work for people who have purchased items and paid their 7-10% state sales tax but later sell the item? Are they taxed again?

I don't think this legislation addresses that at all, unless maybe you buy and resell over 1 million dollars a year gross? but if your doing that your probably tax exempt on the first purchase anyways.

 

[qmikep]

I plan to start selling auto parts online in the next few years.
I will not collect nor pay the sales tax, period.

Deal with it.

You only get to live once. Don't let these criminals push you around.

 

[beararms1776]

Some exemptions should apply.