Looks like the TN ammo tax has been repealed

[Jason in TN]

Looks like it passed from what I can tell does any one know when this will take affect. 

[Garufa]

July 1st.  

How is TWRA going to make up for the $436,300 loss in revenue?  How did this even pass with that significant of a decrease?

http://wapp.capitol.tn.gov/apps/BillInfo/Default.aspx?BillNumber=HB0494&GA=111

Edited May 13, 2019 by Garufa

[A.J. Holst]

I am all about less tax, but $.10 per box did not financially violate or infringe on my 2A rights

11 hours ago, Garufa said:

How is TWRA going to make up for the $436,300 loss in revenue?

They can raise the rates for the stuff the operate.

Useful and helpful idiots.

[Chris]

Is this tax the same as the Pittman-Robertson act? That was federal so I assume that's still in place. If so, I'm unclear on how this impacts TWRA. Was this tax on top of the federal tax? 

I'm a huge fan of TWRA... good folks doing good work. 

[BrasilNuts]

That was the only tax I have ever paid in my life that I honestly didn’t mind paying.

Why did they feel the need to repeal the tax?

Was it touted as a pro 2A bill?

[DaveTN]

12 hours ago, Garufa said:

How is TWRA going to make up for the $436,300 loss in revenue?  How did this even pass with that significant of a decrease?

My guess is they add about 55 cents to each of the 785K licenses they sell each year and add it to the $19,000,000 they take in in license sales.

Even though I don’t hunt, I never have had, and don’t now have a problem paying it. I also don’t have a problem with hunters paying their own way.

It could be that our lawmakers got info that the Feds are going to try an ammo tax with their most recent justification, and are getting out in front of it.

[1gewehr]

A few points:

Yes, this was anti-gun tax.  It was a tax on top of the normal TN sales tax.

It was inefficient to collect.  A five round package of shotgun slugs got a single stamp, and so did a 1000rd bulk pack of 5.56mm.

TN does not need the tiny amount of money.  It probably costs nearly as much to administer the program as it collects. We run a surplus.  It makes sense to get rid of small sources of revenue and concentrate on more efficient ones.

[jpx2rk]

9 hours ago, A.J. Holst said:

I am all about less tax, but $.10 per box did not financially violate or infringe on my 2A rights

They can raise the rates for the stuff the operate.

Useful and helpful idiots.

I'm puzzled by the "useful and helpful idiots", never seen one or been around one.

[A.J. Holst]

1 minute ago, jpx2rk said:

I'm puzzled by the "useful and helpful idiots", never seen one or been around one.

Sure you have, 80% of elected, for the people, servants.

[A.J. Holst]

8 hours ago, 1gewehr said:

It was inefficient to collect.  A five round package of shotgun slugs got a single stamp, and so did a 1000rd bulk pack of 5.56mm

Heck, you couldn't pay a kid $.10 to lick the stamp, they'd be screaming, "I want a dental plan!"

1G is probably spot on, with free shipping, this rev stream is drying up and now that I think about it, a labor burden and extra accounting expense on the storefront retailer.

[Garufa]

8 hours ago, 1gewehr said:

A few points:

Yes, this was anti-gun tax.  It was a tax on top of the normal TN sales tax.

It was inefficient to collect.  A five round package of shotgun slugs got a single stamp, and so did a 1000rd bulk pack of 5.56mm.

TN does not need the tiny amount of money.  It probably costs nearly as much to administer the program as it collects. We run a surplus.  It makes sense to get rid of small sources of revenue and concentrate on more efficient ones.

If I’m not mistaken dealers buy the stamps from the state then slap them on whatever size container of ammo.  Tax paid.

It costs the state $19k to run the program that results in $436k net income.

I call that highly efficient and a ROI any business would be envious of.

Edited May 13, 2019 by Garufa

[Jason in TN]

Here is a link that explains a little more. 

http://www.capitol.tn.gov/Bills/111/Fiscal/SB0423.pdf

Edited May 13, 2019 by Jason in TN

[MP5_Rizzo]

1 hour ago, Jason in TN said:

http://www.capitol.tn.gov/Bills/111/Fiscal/SB0423.pdf

Any volunteers have time to dig up some financial information on the Wildlife Resources Fund Mentioned in this document?

[DaveTN]

14 hours ago, MP5_Rizzo said:

Any volunteers have time to dig up some financial information on the Wildlife Resources Fund Mentioned in this document?

Tenn. Code Ann. § 70-1-401

Tennessee Code Annotated Title 70 Wildlife Resources Chapter 1 General and Administrative Provisions Part 4 Wildlife Resources Fund

70-1-401. Wildlife resources fund established.

(a)  All moneys sent to the state treasury in payment of licenses, advertising, contraband, fines, penalties, and forfeitures arising from the wildlife resources laws of this state shall be set aside. This fund shall constitute a fund known as the "wildlife resources fund" for:

(1)  The payment of the wildlife resources agency's necessary and incidental expenses;
(2)  The payment of the salaries and traveling expenses of the director, office assistants, and other persons appointed or employed by the director;
(3)  The purchase of lands suitable for wildlife resources farms, reservations, wildlife management areas, fishing areas, access areas, fish hatcheries or rearing ponds;
(4)  The construction of suitable buildings, ponds, and propagation pens, and the purchase and propagation of wildlife, and other essentials necessary to restock the state or maintain wildlife resources farms, reservations, fisheries and hatcheries;
(5)  The promotion, advancement and efficient management of wildlife, including educational activities to that end; and
(6)  Any purpose of or in consequence of this title not otherwise provided for.

(b)  No part of the funds realized from the sale of licenses, advertising, from contrabands, fines, penalties, forfeitures, or from any privilege taxes levied under this title shall be used for any other purposes than those set out in subsection (a), nor shall any part of the wildlife resources fund be diverted to the general fund or any other public fund. Likewise, interest accruing on investments and deposits of the wildlife resources fund shall be returned to the fund and remain a part of it, and under no circumstances shall such interest be diverted to any other public fund.

History

Acts 1974, ch. 481, § 9; 1979, ch. 286, § 1; T.C.A., § 51-128; Acts 2000, ch. 837, §§ 2, 3.

TENNESSEE CODE ANNOTATED

[Ronald_55]

I had reason to dig up changes to the tax once. Thanks to a nice lady at the state library in Nashville here it is:

Below is a list of the acts and what changes occurred:

 

1937, Ch. 84: mentions a “privilege tax” which equals 3% of the retail sales price of the ammunition; no mention of specific amount

1945, Ch. 37: $.03 per box on center fire and shotgun shells; $.01 on rim-fire ammunition

1974, Ch. 481: all money from the ammunition tax goes to the Wildlife Resources Fund; no mention of specific amount of tax

1979, Ch. 179: $.05 on any ammunition box

1982, Ch. 738: amending language; no mention of tax amount

1989, Ch. 486: $.10 on any ammunition box

 

Very surprised no one raised it since '89. 

I don't mind paying it. And anyone that is buying ammo should not have financial trouble paying $0.10. If they do, they should not be buying ammo with that money. 

[xsubsailor]

I wonder how hard it's going to be to convince these retail places that we don't have to pay their ammo tax after the end of the month even though they've already paid for the little stamps.

 

nearest chase bank near me

[Chucktshoes]

3 minutes ago, xsubsailor said:

I wonder how hard it's going to be to convince these retail places that we don't have to pay their ammo tax after the end of the month even though they've already paid for the little stamps.

 

nearest chase bank near me

At the gun store I worked at, it was built into the price. It wasn’t collected as a separate line item. Basically the store just ate it as a cost of doing business so this tax change will really just leave the money in the store owner’s pocket. The customers won’t see any difference. 

[Garufa]

16 minutes ago, xsubsailor said:

I wonder how hard it's going to be to convince these retail places that we don't have to pay their ammo tax after the end of the month even though they've already paid for the little stamps.

 

nearest chase bank near me

Print all that out, take it to the LGS and tell them you’re only going to pay $14.89 instead of $14.99 for a box of ammo, lol.

[Ronald_55]

I always wondered how much those little stickers cost to make.

[Garufa]

29 minutes ago, Ronald_55 said:

I always wondered how much those little stickers cost to make.

Read the thread and follow the links, then you’ll know.

[Dirtshooter]

On 5/12/2019 at 7:25 PM, Garufa said:

July 1st.  

How is TWRA going to make up for the $436,300 loss in revenue?  How did this even pass with that significant of a decrease?

http://wapp.capitol.tn.gov/apps/BillInfo/Default.aspx?BillNumber=HB0494&GA=111

By raising the rates on boat registrations for 1. Probably something else will go up also.

[Ski]

Tom Gresham posted a link to this video on Twitter.  Apparently the TN ammo tax was repealed effective July 1, 2019.

http://wapp.capitol.tn.gov/apps/BillInfo/Default.aspx?BillNumber=HB0494

 

om Gresham

[Garufa]

Yes it has, with no provision for loss of revenue for funding TWRA that I’m aware of.  It’s been discussed several times here.

Everybody can save a dime now!

 

[Moped]

Actually, think it's kinda sad that the TWRA lost this revenue stream.  I was quite happy to pay that 10 cents on a box of ammunition.

[Ronald_55]

Just now, Moped said:

Actually, think it's kinda sad that the TWRA lost this revenue stream.  I was quite happy to pay that 10 cents on a box of ammunition.

All depends on what the actual overhead was.