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  #31  
Old 01-23-2021, 01:30 AM
LakewoodM32Fan LakewoodM32Fan is offline
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Quote:
Originally Posted by AZLiberty View Post
Well, he could drive up to Oregon. That way the transaction is entirely in the state of Oregon, and since OR has no sales tax, there would be no tax on the transaction.
Unfortunately, unless he moved to Oregon, or set up a residence there and kept the guitar in Oregon most of the time, this isn't true.

Behold, the California Use Tax.

From the site:
Quote:
Overview
California's sales tax generally applies to the sale of merchandise, including vehicles, in the state. California's use tax applies to the use, storage, or other consumption of those same kinds of items in the state. Generally, if sales tax would apply when you buy physical merchandise in California, use tax applies when you make a similar purchase without tax from a business located outside the state. For these purchases, the buyer is required to pay use tax separately.

Sales Tax vs. Use Tax: What’s the Difference?
Tax collected by the retailer here in California is called sales tax, and the retailer is responsible for reporting and paying the tax to the state. When an out-of-state or online retailer doesn't collect the tax for an item delivered to California, the purchaser may owe "use tax," which is simply a tax on the use, storage, or consumption of personal property in California.

Why Is There a Use Tax?
The use tax, which was created in July 1935, is a companion to California's sales tax that is designed to level the playing field between in-state retailers who are required to collect tax, and some out-of-state retailers who are not. Use tax, just like sales tax, goes to fund state and local services throughout California.
Now, is there someone in the state of CA going door to door and checking on all your un-taxed, out-of-state purchases every year? No. But you're supposed to report it (and pay it) on your annual state tax return.

The only "wiggle room" I can see from that page's definition, is that it says "an item delivered to California". So perhaps if you use a more literal definition of "delivered" as in the seller has to have it delivered to your CA residence, versus you driving it across state lines not equating to a delivery, then maybe it might work. But California specifies for cars that if you buy it out of state and drive it back and register it here, you definitely owe CA sales tax. In fact if you tell the dealer that you're registering it in California, many will assess the proper state sales tax and send it on your behalf to California.

In most cases, the Golden State wants its pound of flesh.
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Last edited by LakewoodM32Fan; 01-23-2021 at 01:37 AM.
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  #32  
Old 01-23-2021, 06:21 AM
capefisherman capefisherman is offline
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Originally Posted by Kyle215 View Post
I think most will charge tax (or factor it into the sales price if they say they don’t), but you can find free shipping. Maury’s Music, for example
This! A bit of a shell game but totally legal and if it makes the buyer feel better and results in a sale, the store owner is happy, the customer is happy.
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