• We are now running on a new, and hopefully much-improved, server. In addition we are also on new forum software. Any move entails a lot of technical details and I suspect we will encounter a few issues as the new server goes live. Please be patient with us. It will be worth it! :) Please help by posting all issues here.
  • The forum will be down for about an hour this weekend for maintenance. I apologize for the inconvenience.
  • If you are having trouble seeing the forum then you may need to clear your browser's DNS cache. Click here for instructions on how to do that
  • Please review the Forum Rules frequently as we are constantly trying to improve the forum for our members and visitors.

Charging taxes, hidden fees at Gun Shows?

Old Virginia Joe

Regular Member
Joined
Apr 25, 2010
Messages
365
Location
SE Va., , Occupied CSA
I negotiated and bought what I was told was a $190.00 purchase of case ammo from a neighboring state ammo dealer at the Hampton Gun Show last month, and when I later cleaned out my wallet and looked at the receipt which I accepted with a handshake, it was for about 16 dollars more than that. When I called the dealer to complain about him not honoring his word on the price, he said he had to charge me more because I used a credit card, plus he had to charge his state's (higher) tax rate, blah, blah, blah. Nothing else I bought that day cost me any tax at all. Every other purchase I made that day was just as I expected, straight up dealings from folks I do not even know. (1) Does anyone know what the tax rules are for the gun shows in Virginia? This dealer promised me to refund me seven dollars of the charges, but I have not seen it yet . . . . . (2) Should I broadcast his company name here on OCDO?
 

skidmark

Campaign Veteran
Joined
Jan 15, 2007
Messages
10,444
Location
Valhalla
I negotiated and bought what I was told was a $190.00 purchase of case ammo from a neighboring state ammo dealer at the Hampton Gun Show last month, and when I later cleaned out my wallet and looked at the receipt which I accepted with a handshake, it was for about 16 dollars more than that. When I called the dealer to complain about him not honoring his word on the price, he said he had to charge me more because I used a credit card, You can complain to your credit card company. Merchants are not supposed to charge a premium for accepting a credit card (it's what the CC company charges them to process the transaction so in truth they are losing money on the deal).

plus he had to charge his state's (higher) tax rate, blah, blah, blah. Vendors are supposed to collect Virginia sales tax as well as the federal tax on ammo. If he is charging you only the sales tax from the state where he has his brick-and-mortar store you can adjust the amount of Virginia sales tax you owe (yes, you do owe them money) by the amount of tax he charged you. You need to get the appropriate forms come tax time - fill them out and Virginia will contact his state to play who sends whom money at the end of the day.

It looks as if you were not charged the federal tax, which means you need to 'fess up to the IRS when you do your taxes for 2011.


Nothing else I bought that day cost me any tax at all. Every other purchase I made that day was just as I expected, straight up dealings from folks I do not even know. (1) Does anyone know what the tax rules are for the gun shows in Virginia? If the vendor does not collect Virginia taxes you are supposed to declare what you should have paid and send it to the Commonwealth when you file your state taxes. (Same as you are supposed to do on state sales tax internet vendors do not charge you.)

This dealer promised me to refund me seven dollars of the charges, but I have not seen it yet . . . . . If you don't see it in 30 days contact your CC company and file a complaint. Your window is, IIRC, only 60 days from the date of the sale. Better yet, contact your CC company now to see when you need to file your complaint, 'cause I might be off in how much time you have.

(2) Should I broadcast his company name here on OCDO?

As opposed to turning him in to Virginia Dept. of Taxation? Or turning him in to the Dept. of Taxation in his home state? Or contacting him and letting him know he's screwed you up and probably himself so he might want to get right and legal with everybody?

Rather than outing the vendor, how about using this as a way to educate folks on what taxes we are supposed to be paying. Not that I have anything against making sure you only pay the taxes you owe as opposed to paying more than you owe.

stay safe.
 

peter nap

Accomplished Advocate
Joined
Oct 16, 2007
Messages
13,551
Location
Valhalla
I heard and mind you, it's against board policy to talk about illegal activities, but I heard, some dealers don't charge tax if there's no paper trail.

The tax people in Va are at every show looking for scofflaws.

If you have to use a CC at shows, you may have to eat a tax or tax like charge. Accept it.

Now again I heard, that if you get a dealer who doesn't charge tax, you should say....Thank You!
 

Old Virginia Joe

Regular Member
Joined
Apr 25, 2010
Messages
365
Location
SE Va., , Occupied CSA
The federal excise tax on firearms and ammo is 11%, and it's paid by the manufacturers and passed along to the consumer. Its factored into the cost long before it's on the shelf, not collected at the point of sale like sales tax is.

WOW, that is steep, plus state sales tax?!

Yeah, the gun industry must have a LOT of clout to allow that mess to pass. NRA, doing a great job--yeah right. (all sarcasm)! Hearing that, I may never buy another arm from a retailer. What a crock. Of course, over time, that could increase to any number . . . . . THAT's how they'll ruin us and our 2A.

Thanks for the answers, nova & skid & PN.
 

peter nap

Accomplished Advocate
Joined
Oct 16, 2007
Messages
13,551
Location
Valhalla
WOW, that is steep, plus state sales tax?!

Yeah, the gun industry must have a LOT of clout to allow that mess to pass. NRA, doing a great job--yeah right. (all sarcasm)! Hearing that, I may never buy another arm from a retailer. What a crock. Of course, over time, that could increase to any number . . . . . THAT's how they'll ruin us and our 2A.

Thanks for the answers, nova & skid & PN.

Unfortunatly, there is an excise tax an nearly every outdoor or sporting goods item.:mad:
 

skidmark

Campaign Veteran
Joined
Jan 15, 2007
Messages
10,444
Location
Valhalla
Unfortunatly, there is an excise tax an nearly every outdoor or sporting goods item.:mad:


And us outdoor sportsmen agreed that we should pay the feds to do something to regulate and otherwise interfere with our favorite activities - as opposed to the feds using the money they collect to actually further the activity.

stay safe.
 

MKEgal

Regular Member
Joined
Jan 8, 2010
Messages
4,383
Location
in front of my computer, WI
Old Virginia Joe said:
...he said he had to charge me more because I used a credit card...
As Skid pointed out, this is a violation of his contract w/ the card company.
He is allowed to offer a cash discount,
but not allowed to charge a higher-than-advertized rate because someone pays with plastic.
I've seen many many sellers on sites like gunbroker.com violating this rule.
And there are a few gas stations around here that post one rate on their big sign to lure you in, then you find out that's only for cash.

But yes, most cash transactions at places like a fair, show, swap meet, etc. won't bother with tax.
Legally it's the responsibility of each person to get straight w/ their respective gov't entities.
How often that actually happens is anyone's guess.
 

peter nap

Accomplished Advocate
Joined
Oct 16, 2007
Messages
13,551
Location
Valhalla
Legally it's the responsibility of each person to get straight w/ their respective gov't entities.
How often that actually happens is anyone's guess.

I'm certain we all report it.

14773b2971c73b-43.-Pinocchio.jpg
 

user

Accomplished Advocate
Joined
Feb 12, 2009
Messages
2,516
Location
Northern Piedmont
Take a look at the Virginia Consumer Protection Act, Va. Code section 59.1-200, particularly paragraph 8. Then take a look at 59.1-204 - it says you get a minimum of five hundred bucks plus attorneys' fees, 'cause why? (picture Richard Dawkins yelling,) "STATUTE SAID!!!"
 

skidmark

Campaign Veteran
Joined
Jan 15, 2007
Messages
10,444
Location
Valhalla
Isn't taxation an infringement? Should we tax the 1A?


Nope! We have representation. (Apologies to those who know Idiocracy)

And we do tax the 1A in the same way - it's just blended in to the cost of what communication you are buying, as well as the cost of what you use to receive that communication.

stay safe.
 

user

Accomplished Advocate
Joined
Feb 12, 2009
Messages
2,516
Location
Northern Piedmont
Clarification

Someone pointed out to me that the pronoun, "you", was vague. The person who is entitled to the five hundred bucks (minimum) is the consumer, the purchaser, the "you" in that sentence means, "you, the person who got ripped off."

And as to Skid's comment, I call some of that the "advertising tax" - the built in forty-cent penalty on each tube of toothpaste that goes to promote the product through advertising.
 
Top