To: T.Smith
Let me see if I understand this correctly; somebody buys the tickets and pays a tax on them. Then, they turn around and resell the tickets and the city wants to tax them again. Am I correct, or do I not understand the process?
I don't think that's correct. I believe the "first" consumer is obligated to pay sales taxes, and subsequent resales are exempt. If you declare yourself a distributor or merchant, I believe you are sales tax exempt but then must collect sales tax when you sell the goods. At Sam's Club, you can declare yourself a merchant, fill out a form, and avoid sales taxes on the goods you buy if you are going to resell them. You aren't obligated to collect sales tax when you resell your car or any other item you own, are you?
20 posted on
02/08/2006 9:29:47 AM PST by
armydoc
To: armydoc
You aren't obligated to collect sales tax when you resell your car or any other item you own, are you?
No, but the buyer will pay a sales tax when he registers the vehicle.
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