Tax on private sales at gun shows?

[Guest wcaseyb]

Is there tax on sales between private vendors and individuals at Tn gun shows? Thanks.

[Volzfan]

No.

[Guest Broomhead]

^^^What he said.

| | | I'm sure he will also.

VVV

[Guest jackdm3]

How come we don't have real up arrows and down arrows with our smilies?

[RobertNashville]

I'm not 100% certain but I suspect that everyone that buys anything from anyone and didn't pay a sales tax to the seller at the time they purchased it is supposed to voluntarily pay the appropriate sales tax to the state of Tennessee.

That said, I would bet there isn't 1 in 10,000 people who do it but you are supposed to do it.

Edited April 14, 2010 by RobertNashville

[lowbud]

huh? I sold you what? I did no such thing!

[McAllyn]

I thought there was no tax on used personal property? Anything that is not a home or car/boat/motocycle. Like having a garage sale or buying stuff at Goodwill.

Mac

Of course, thinking that might be way I always have to pay taxes and never get any back

[Volzfan]

I thought there was no tax on used personal property? Anything that is not a home or car/boat/motocycle. Like having a garage sale or buying stuff at Goodwill.

Mac

Of course, thinking that might be way I always have to pay taxes and never get any back

Goodwill doesn't charge tax? I didn't know that. I've never been in there but I have donated a bunch of stuff.

[Guest wcaseyb]

thanks. what percentage of the guys at the show in nashville this weekend will be private as opposed to professional if you had to guess?

[monkeylizard]

I'm not 100% certain but I suspect that everyone that buys anything from anyone and didn't pay a sales tax to the seller at the time they purchased it is supposed to voluntarily pay the appropriate sales tax to the state of Tennessee.

+1. This is the way it's supposed to happen by the letter of the law. Basically, the buyer is always on the hook for sales tax on any and all purchases. Period. The sales tax rate can vary by the item (cars/boats/homes are NOT 9.25% + local option). A business with a presence in the state where the transaction occurs is required to collect the sales tax from the buyer and provide it to the state. A private seller not operating under a business license, or a business with no presence in the state (many Internet/mail order companies) is not required to collect it from the buyer, but the buyer still owes it to the state.

That said, I would bet there isn't 1 in 10,000 people who do it but you are supposed to do it.

+1 again.

[Guest HvyMtl]

So, effectively, I am supposed to pay the sales tax on my garage sale purchases?

I do think you are supposed to send in the sales tax for online purchases, though I do not know how...

Citation needed please...

Edited April 14, 2010 by HvyMtl

[safeandsecure]

So ... ... personal, private sales, or garage sales ... ... ...

Well, maybe I'll just "give" you something you want, and then, maybe, you'll just "give" me something. You know, like a cash gift?

I didn't sell a cotton-pickin' thing. You didn't buy a pea-pickin' thing.

Just two good fellers, tryin' to "hep a brother out."

No sale, no tax ??? I'm just thinkin' out loud -- I'd NEVER do such a thing, of course. Why, that'd be sort of ... sort of ... I don't know -- -- the RIGHT thing, since sales tax has ALREADY been paid?

[Guest jackdm3]

"So, effectively, I am supposed to pay the sales tax on my garage sale purchases?"

That would be more double-taxation. They had their chance.

[Guest jackdm3]

Well, maybe I'll just "give" you something you want, and then, maybe, you'll just "give" me something. You know, like a cash gift?

$11,000 worth per person, per year tax-free gifting.

[RobertNashville]

As I said above, I may be totally wrong...I was looking at the TN code yesterday and couldn't find anything on point. What I did find is what I was already sure of which is that if you buy something from an actual business, including one out of state (such as internet sales), the Tennessee resident is supposed to pay the appropriate sales tax to the state of Tennessee on a voluntary basis (which of course never happens which is why most of the states want sales tax collected by sellers when selling on the internet).

When it comes to private parties and especially, something "used'; I couldn't find anything about it so it seems pretty likely that there is no "sales tax" on sales between private individuals.

I've lived in five different states over my life and, understandably, they all have slightly different laws regarding sales tax so I was likely just remembering another state's requirements!

[eRay]

I have rented a table at the show in Chilhowee Park in Knoxville and a state sales tax agent came around to every table and had everyone fill out a form for a temporary sales tax certificate to collect tax on all sales.

[aquaman67]

So ... ... personal, private sales, or garage sales ... ... ...

Well, maybe I'll just "give" you something you want, and then, maybe, you'll just "give" me something. You know, like a cash gift?

I didn't sell a cotton-pickin' thing. You didn't buy a pea-pickin' thing.

Just two good fellers, tryin' to "hep a brother out."

No sale, no tax ??? I'm just thinkin' out loud -- I'd NEVER do such a thing, of course. Why, that'd be sort of ... sort of ... I don't know -- -- the RIGHT thing, since sales tax has ALREADY been paid?

For Federal Income tax, if I fix your car and you babysit for me as payment, we own income tax on the fair market value.

Tax Responsibilities of Bartering Participants

Most people don't know that, I think.

[Guest cjr]

$11,000 worth per person, per year tax-free gifting.

I may be wrong but, I thought it was 12k and the person getting the 12k doesnt pay tax the person giving the 12k pays

[Guest 6.8 AR]

Maybe that's another use for Obama's 16000 new IRS agents.

[Guest jackdm3]

I may be wrong but, I thought it was 12k and the person getting the 12k doesnt pay tax the person giving the 12k pays

Yes, it rises every so years, but, sadly, I've not been on the receiving end of it all enough to know the difference!

[Guest cjr]

The only way I know is when my Dad died I asked my CPA how gifting worked.I thought I could give my Mom the 12k and her with no income would only have to pay 15% or so in tax.

He told me she would not have to pay tax but, I would have to pay 35%. My Dad was in the Air Force and wanted a Military Funeral, I thought that the Military covered a lot of the cost when they laid one of theirs to rest.It was 2 years ago and was about $7,200.00

Taxes SUCK!!!

[saintsfanbrian]

I thought if I bought something at a store the sales tax was already paid to the state for that item. I paid it to the store they paid it to the state so if I sell that item then I have to pay the state again?

I think I may just have to leave something I want to get rid of laying around and if one of you wants it you leave something laying around in return.

[Guest cjr]

I thought if I bought something at a store the sales tax was already paid to the state for that item. I paid it to the store they paid it to the state so if I sell that item then I have to pay the state again?

I think I may just have to leave something I want to get rid of laying around and if one of you wants it you leave something laying around in return.

Now your talkin!!

I think thats how things used to work in the good ol days.Im ready for it to get back that way.

[Guest jackdm3]

Let's use an easy number of $10,000 gifting.

If I want to give you $100,000.00, I could give it to you and you'd pay tax beyond the allowance. Tax on the $90,000 excess.

But if I give it to nine friends and relatives that I TRUST WILL GIVE IT BACK TO YOU!, it's dispersed to them with no penalties to them, it's given from them as THEIR yearly gift to you with no tax to you. You have $100,000 now collectively from 10 people because 10 people gave you the tax-free gift limit.

You could get millions this way BEFORE someone's death (willed through inherited funding) if you knew hundreds of honest individuals. This has all been confirmed by two local CPA's.

CJR, who directly and offically received your dad's wealth after his passing?

[Mike.357]

there are a 100 yards sales around here on the weekend, no one is paying tax on that stuff. Might be a law but it is not enforced.