I Can't Believe Who Just Called

[Dips]

I got a call from a lady who was asking for an update quotation. I ask for the serial number and look it up.

And to my utter delight, I pull up the the record for the Unluckiest Little School Board in America. We haven't heard from them in a couple of years.

So I gave her the quote and she expressed surprise at how high the price was. I broke it down for her and she seemed happy. Then she mentioned how it was so much less than the last time they bought an update (so why was she surprised at how HIGH it was?).

So next she asked for the price for a new individual license so she could, I quote, "replace the pirated copy I have at home. It's getting kind of old and I need a copy of the latest version."

[Worth noting: the latest version has a copy protection scheme whereas the old version didn't. Coincidence? I think not.]

It was just so funny to have someone actually come out and say it, especially those guys. Usually we dance around the issue and get them to fork over the money to get legal.

So I gave her the quote and she told me she would call back later and use her husband's business card to get around sales tax.

Luckily we don't collect sales tax for her state, so I won't have to pretend I didn't hear that.

[BookstoreEscapee]

Wow! How did I miss that other story?!

I hate people trying to get tax exempt when they don't have the proof that they are entitled to it!

Wouldn't a school district have tax exemption, anyway? Unless it doesn't apply to software? Ah, I dunno... All the schools using institutional accounts for books had tax exempt forms from the state. But that's NJ.

[Kusanagi]

Tax exempt stuff is great. We get people in here trying to pull it all the time.

Our company's response? "Sure, just get us a copy of your DBA and Tax Exempt liscence if you don't have it on you and we'll reimburse you the tax.

Oh, I'm sorry, you didn't want it anymore? "

[Imogene]

"Sure, just get us a copy of your DBA and Tax Exempt liscence if you don't have it on you and we'll reimburse you the tax."

Oddly enough, I had a customer come into Chesterfield, went around picking out all the hot ticket items, came up to the register, asked for Tax Exempt as she was a teacher. Surprise of surprises, she HAD her license with her! I gibbered for a moment, then said, "Excuse me, I don't know how to do tax exempt... let me go get my manager..." Off I run, grab New SM, fill him in, he takes a look at her stack of movies, and says he doesn't know how to do tax exempt either. He goes back into the back room, leaving me to half-heartedly attempt to explain that we hardly ever got tax exempt customers in, and, as such, it was a quickly-forgotten thing for us. About five minutes later, the lady says, "Forget it," and leaves. I go into the back to let SM know, and he gives me a look that screams, "It's a good thing, too." He told me later he knew she was trying to scam us.

[Dips]

Wouldn't a school district have tax exemption, anyway? Unless it doesn't apply to software? Ah, I dunno...

She was buying a personal copy for herself so I guess she would have to pay sales tax on that?

Since she is in California and we are in Massachusetts, we don't and WON'T collect sales tax on that sale anyway. As far as we are concerned, that issue remains between her and the State of California. It's not like I'm going to lie if California calls and asks about it, though. It's just...unlikely.

O/T California, Indiana and couple of other states are currently trying to change the law so that they can force businesses with no presence in their state to collect sales tax for them. We are admantly opposed to this because small businesses like ours simply don't have the resources to keep up with the rules and regs. for dozens of different states; it would be a bureaucratic nightmare. We've had customers in CA insist on paying sales tax after we've told them we don't collect it. We've simply issued a refund for the tax amount and told the customer to go ahead and pay it on their own. I have a feeling we are not going to ultimately win this one, though.

[BookstoreEscapee]

She was buying a personal copy for herself so I guess she would have to pay sales tax on that?

Ah, ok, I lost track of that part. Gotta remember my reading comprehension from 3rd grade.

We'd get teachers sometimes who thought (or pretended to think, anyway) that just because they have a teacher discount card they should be tax exempt. Um, no, you have to be buying the stuff for the school itself. If the school had an institutional account we'd keep their tax ID number on file, but that doesn't give just any teacher from the school the authorization to use it.

[Kusanagi]

I see the problem, Dips. I mean, in CA there is no set sales tax. Just where I live it ranges from 7.75% to 8.75% depending on the county.

Also, on California tax returns for our state, we have to list and pay taxes for purchases made out of state. Nobody does it, myself included, but thats why California is trying to force it on the other states and why some sellers on ebay or online will ask for an 8.25% sales tax if shipping to California.

[Cia]

One of our vendors started charging us South Dakota sales tax. The problem with this is that we buy everything for resale and therefore don't pay sales tax on this material unless it is drop shipped to Minnesota or Iowa. And yep I had already sent them the old exemption form which is now some weird multi-jurisdictional form that not all states accept but that is neither here nor there.

Back to the story - after a few months of them charging and us not paying the tax they finally figure out that they don't have the right to charge SD sales tax. Because........they don't have a SD sales tax license! Nimrods. Some people's children.

[Gurndigarn]

I see the problem, Dips. I mean, in CA there is no set sales tax. Just where I live it ranges from 7.75% to 8.75% depending on the county.

In the cases where tax would be collected, just collect the base state tax and ignore all the county taxes.

[BookstoreEscapee]

Also, on California tax returns for our state, we have to list and pay taxes for purchases made out of state. Nobody does it, myself included, but thats why California is trying to force it on the other states and why some sellers on ebay or online will ask for an 8.25% sales tax if shipping to California.

This is why, when I transferred my car title from NJ to PA (and later back to NJ) I listed the purchase price as "gift" (which, technically, it kinda was). I bought it from my parents, but my dad said he didn't want me to pay him unless he needed it (because I was moving and everything) and then he never made me pay him. So technically I didn't pay anything for it, we just transferred the title to my name. (So technically I suppose I still owe him $4000. On a car that was killed 4 1/2 years ago, and I have since repaid the money he loaned me when I bought my new car...) Otherwise the state wanted to charge me sales tax on a car that was already paid for, and therefore we had already paid sales tax. If NJ had their way, they'd have collected sales tax twice on the same purchase!

[Primer]

This is why, when I transferred my car title from NJ to PA (and later back to NJ) I listed the purchase price as "gift" (which, technically, it kinda was). Otherwise the state wanted to charge me sales tax on a car that was already paid for, and therefore we had already paid sales tax.

Texas used to allow ridiculously low amounts to be declared as sales price, and between family members, it made sense. About a year ago, they went to "fair market value" according to NADA or Kelley. So the car that my husband bought, gave to his daughter, bought back from his daughter and gave to my parents.... he(we) paid sales tax on that thing 4 times, and only the first time was not between family members, and three of those times were at full value.