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~ Sales Tax Info ~
All rights Reserved: This
article may not be copied in any form, including electronically,
without written permission of the author
In
New Jersey, the sales tax department routinely contacts show promoters
about a month before the show date to get the names and addresses of
exhibitors. I predict that other states will be quick to
follow suit. Promoters who comply are actually doing their exhibitors a
service because the tax department will deal with these people by
mail, requesting information about missing sales tax reports
for previous quarters or to remind those without a sales tax
number to apply.
Lacking information
from the promoter, tax people appear at shows, complete with hand-held
computers and check each vendor to make sure he's current and up to
date with his sales tax.
When the
tax people find someone at the show hasn't sent in his paperwork, they
usually confiscate his vehicle on the spot.
The only
alternative to giving up your car is to come up with the cash
amount they assign you, plus the penalty, as the probable
amount you owe them for sales in a certain period. This
number may have nothing to do with reality; it's up to you
to prove what you actually did sell, and what you really owe!
A few years ago, in
Flemington, N.J. craftsmen set up on a Saturday
morning to find the tax people walking around with lists of
vendors who had already been checked through their computers. Two
vendors had their vehicles seized and fines imposed, ($3,000
and $5,000.)
A third,
who had a New Jersey tax number but hadn't sent in his
reports for the last two quarters, was assessed $400
a quarter, and a 10% penalty, ($880.) The
assessment was an estimate based on his previous sales
until he can prove he had no sales
in New Jersey during that time period. He left his teenager at the show
and went from one ATM to another until he could
withdraw enough money to pay the assessment plus the fine, or he would
have lost his vehicle.
Similar
happenings in Corning, NY and in Pennsylvania were reported shortly
thereafter.
Mail It Certified - Ask for a Return Receipt
PYA! Protect your assets; you have no proof that you
mailed it in unless you mail it certified .
Mail your sales tax reports certified mail,
and get a return receipt, especially those for quarters in which you
had no sales. You'll have no cancelled
check to prove you mailed your quarterly report. There are
significant penalties involved if you don't do your paperwork, and
are able to prove it.
How
would you prove you sent in a report in a quarter in which you sent no
payment?
Without a cancelled check
you're out of luck, unless you can produce your mailing receipt.
Comments
invited: email betty@craftshowyellowpages.com
Write
to the following sales tax offices if you plan to sell your
product in these states; allow 6 - 8 weeks minimum, -more in busy
season, to receive your application, complete and return it, and
receive your tax certificate.
See article
below this table of information:
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Connecticut
Dept. of
Revenue Services
25
Sigourney St
Hartford,
CT 06106-5032
Attn:
Cy Booth, C & E Div.
(860)
297-5880
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Massachusetts
Massachusetts
Dept. of Revenue
100
Cambridge Street
Boston,
MA 02204
(617)
887-6367
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New Jersey
Division of Revenue Business Svces
NJ Dept. of the Treasury,
PO Box 308
225 W State St., Trenton, NJ 08625
(609) 292-9292
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New York
Taxpayer
Assistance Bureau
Bldg. #9,
State Campus
Albany,
NY 12227
(518) 457-2780
From
within NY state:
(800)-225-5829
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Pennsylvania
Commonwealth
of Pennsylvania
Dept.
of Revenue, Bureau of Business
Trust
Fund Taxes
Dept. 280901,
Harrisburg,
PA 17128-0901
(717) 772--2340
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Vermont
VT
Dept. of Taxes
Business
Tax Divistion
109
State St
Montpelier,
VT 05601
(808)
828-2551
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