HEADS UP IF YOU ARE BUYING A GUN OUT OF STATE!!!!!!!!!

[high country]

I just found out about this crap............... .

Home / Get a form or publication / Publications by subject / Tax Topics / Interstate transfers of firearms
  Interstate transfers of firearms
 Washington residents sometimes purchase firearms from out-of-state persons. Because of state and federal laws, a firearm purchased by a Washington resident must be sent from the out-of state person to a federally licensed gun store located in Washington State.

Once the Washington gun dealer has conducted the required background checks the dealer will transfer the firearm to the Washington resident.

The following information provides instructions for the taxability of such transfers.

Is the transfer of a firearm subject to sales tax?
In an interstate transfer of firearms the Washington gun dealer is required to collect retail sales tax from the Washington resident on the purchase price of the firearm. The retail sales tax is collected from the Washington customer at the time the customer takes possession of the firearm. Sales tax is collected on the total selling price, including freight and/or delivery charges and other amounts added, such a an amount for insurance coverage. 

However, sales tax does not apply on the service charge for processing the required Federal and State forms and contacting the National Instant Criminal Background Check System (NICS) when the fee is stated separately from the selling price of the firearm and freight and/or delivery charges, insurance, etc.

How are these transactions reported on the Excise Tax Return?
When completing the Excise Tax Return the gross selling price of the firearm is reported under the retailing business and occupation (B&O) tax classification and the retail sales tax lines. The dealer is allowed a deduction under the retailing B&O tax classification for “consignment sales.” 

The fee received (when separately stated on the purchase invoice) for the transfer service is reported under the service and other activities B&O tax classification. Sales tax is not collected on this transaction.

Applicable law
RCW 82.12.040(1) states:

Every person who maintains in this state a place of business or a stock of goods, or engages in business activities within this state, shall obtain from the department a certificate of registration, and shall, at the time of making sales of tangible personal property, extended warranties, or sales of any service defined as a retail sale in RCW 82.04.050 (2)(a) or (3)(a), or making transfers of either possession or title, or both, of tangible personal property for use in this state, collect from the purchasers or transferees the tax imposed under this chapter. The tax to be collected under this section shall be in an amount equal to the purchase price multiplied by the rate in effect for the retail sales tax under RCW 82.08.020. (Emphasis added).

[WDFW-SUX]

bad bad bad bad bad bad.....I picked a hell of a week to ship...

[high country]

me too. good thing idaho is closer then spokane to me

[Lowedog]

Hasn't this been in effect for a long time?  I bought a rifle online probably 8-10yrs ago and had to have it shipped to a local gun shop.  Most gun shops charge a small fee to process the paperwork.  

[WDFW-SUX]

It would have been cheaper for me to fly to taxas than pay the tax on my gun...Ill send it back and fly down to pick it up before I pay the dam tax.

[lokidog]

Hasn't this been in effect for a long time?  I bought a rifle online probably 8-10yrs ago and had to have it shipped to a local gun shop.  Most gun shops charge a small fee to process the paperwork. 

Shops charge 20 or so bucks for the ffl tansfer.  That paperwork fee is not subject to sales tax according to the post, but apparently now the price of the gun and shipping is.  Sucks!  Buy local and face to face, no taxes and noone knows....

[chrisb]

This is nothing new guys. Any time you buy a gun from out of state and have it shipped here it needs to go through an FFL. Same thing when I've sold out of state (even long guns) i had to send them to the buyers FFL.

[WDFW-SUX]

Were talking about sales tax not a tranfer fee.

[CastleRocker]

Yeah, it was that way when I used to work on guns.  Any gun that came through had to be recorded, and if it was a transfer, then sales tax had to be collected.  That's been quite a while now, as I gave up my FFL in '96.  Sales tax is nothing new.

[Curly]

That sucks big time.  Total B.S.  

[Curly]

Well, I've bought a few guns over the internet and never paid a dime on tax...........hopefully I will get away with it again in the future.

[Lowedog]

I don't think I paid sales tax when I did it...probably shouldn't say that on the net, they may come after me!   

[carpsniperg2]

  bad crap.

[high country]

I have transfered plenty of guns to this dealer. it is new to him. perhaps he got audited........I dunno. another tax, how wonderful.

[cwuwildcat]

I just bought off of GB from a shop in Idaho, 3 weeks ago.  I paid my local FFL $25 for his fee, plus $2 in tax on his FEE.  I wasn't charged a DIME in tax for the actual rifle sale.  The RCW that is quoted only covers items bought from an out of state business, that also maintains an in-state store also, such as Cabelas.  If you buy something from Joes gun shack in nuckenfutz, Wyoming, and they dont have a store in Washington, no sales tax.  If you order over the web from Cabelas in Nebraska, because they have a store in Lacey, they have to charge state sales tax for the state you are in.  Absolutely nothing new.  No reason to panic people.

[actionshooter]

I just bought off of GB from a shop in Idaho, 3 weeks ago.  I paid my local FFL $25 for his fee, plus $2 in tax on his FEE.  I wasn't charged a DIME in tax for the actual rifle sale.  The RCW that is quoted only covers items bought from an out of state business, that also maintains an in-state store also, such as Cabelas.  If you buy something from Joes gun shack in nuckenfutz, Wyoming, and they dont have a store in Washington, no sales tax.  If you order over the web from Cabelas in Nebraska, because they have a store in Lacey, they have to charge state sales tax for the state you are in.  Absolutely nothing new.  No reason to panic people.

From my dealings on this subject, the post above is correct.

[high country]

the law is not specific to dealers or private. the law just refers to transfers. the dealer that I use is a friend of mine and would not hesitate to do it for me, but as he said to me....I can do it. but the law says I have to charge tax. I think he is dotting his "i"'s and crossing his "t"'s. I will try a couple others and if I hear that they too have the same story....well idaho is only 5 miles away.

[grousetracker]

i ran a pawnshop for 61/2 yrs.and transfered thousands of guns and never collected taxes. how do i know how much the buyer paid for the gun, he is not required to give me a copy of the invoice. if you asked me how much i paid for a gun sent to you, i would say it was a gift.

[WDFW-SUX]

I just bought off of GB from a shop in Idaho, 3 weeks ago.  I paid my local FFL $25 for his fee, plus $2 in tax on his FEE.  I wasn't charged a DIME in tax for the actual rifle sale.  The RCW that is quoted only covers items bought from an out of state business, that also maintains an in-state store also, such as Cabelas.  If you buy something from Joes gun shack in nuckenfutz, Wyoming, and they dont have a store in Washington, no sales tax.  If you order over the web from Cabelas in Nebraska, because they have a store in Lacey, they have to charge state sales tax for the state you are in.  Absolutely nothing new.  No reason to panic people.

God I hope thats right...

[jackelope]

I just called a gun shop in this neighborhood and they told me they know for a fact that this law is in the works but they have not recieved anything official at this point saying that it's in effect.
they have no forms for anyone to fill out, no way to record the tax, etc.
but they know that they will at some point soon regardless of whether or not the place you bought the gun from has a store in WA.

[WDFW-SUX]

I can see more road trips in my future..no way in hell im paying 10% on my gun purchases from outside of washington.  Just wont happen.

[Curly]

If it does go into effect, then the FFL's will most likely have to raise their transfer fee's to cover the added paperwork.  So you'll be paying tax and a higher fee.

I'm a little confused though.  There was an RCW that was quoted......doesn't that mean that it is currently a law?

[jackelope]

I'm a little confused though.  There was an RCW that was quoted......doesn't that mean that it is currently a law?

if you're asking me I have no clue...this is pert near word for word what the guy told me. I've transferred a few rifles through there in the past so i know them. figure it was a good guy to ask.

[Bofire]

The transfer fee has been in place for many years if you are talking the sales tax thing it is new  due to internet sales  it used to be you paid sales tax  where you made the purchase, now the tax is where the purchaser lives. If you live in Yelm and buy in Portland, you will pays the sales tax as if it is sold in Yelm.
That is the idea anyway.
Carl

[jackelope]

so what happens if it's a private sale?

[high country]

so what happens if it's a private sale?

same as a dealer.
 I talked to a bunch of ffl guys in spokane today. apparently they all got scared into charging the tax per the law. one told me to have it shipped from a private party and to get a reciept for $200.00 another told me to go to idaho and not hand our blood hungry state the $$$. if you can get transfers w/o the tax, consider yourself lucky, but do not be amazed if you get audited and are asked to pay the tax later.....it sux.

[WDFW-SUX]

That's total crap..... If anyone knows of a good FFL in Portland Im all ears....

[jackelope]

I've got like 15 guns to get sent here to me from my dad in NY...i'm in for gas, Sux.

[jackelope]

how can WA charge sales tax on a process that is a federal requirement? if it weren't for the federal laws governing this stuff it wouldn't even apply at all. is this a dumb question?

[WDFW-SUX]

I think its garbage...the Internet played no role in my transaction. I called the shop asked if he had what I wanted and paid over the phone...done deal. No different than if I had been standing there.

It might violate the commerce clause of the constitution but I dont know for sure...

I bet we can get cheep FFL transfer in Whoregon.

[Curly]

I've got like 15 guns to get sent here to me from my dad in NY...i'm in for gas, Sux.

I would think you'd get out of paying the tax just by saying you didn't purchase the guns......you are just having them shipped.

My father-in-law sent 2 guns to me a few weeks ago and I had to have an FFL do the "transfer".  It isn't even a transfer of ownership because I'm just holding the guns for him while he is going thru some issues.  I paid twenty bucks for each of the guns for the transfer and the dealer didn't about a sale price or collecting tax on the transaction.

[Bofire]

 :)Look it up if you want the facts on the sales tax, it passed, I think 2 years ago, but was not put into effect due to problems, it is called SST 'streamlined sales tax"
the state is losing out on tax due to internet shopping so they want thier cut. how ever they make it work, it does not matter where you buy(this is how it is now) it matters where the product is delivered.  If you buy a car in Seattle and live in Centralia you save due to a lower tx, and vice-a-versa. If you buy outastate via the internet the vendor is supposed to charge you local tax rate. I bet they can figure out how to track it.

It aint just guns folks, I was amazed no one screamed about this, a lot of small cities with lots of car lots, are losing a lot of money over this.
Carl

[high country]

jack, the law exempts the transfer fee itself from tax, but requires it on the gun/s. it is obvious they aretrying to collect sales tax. silly me, I thought once an item was sold it was to remain taxless untill it neeed to be licensed or sold by a dealer......apparently not. pretty soon we will all have to collect tax on all goods and services and pay the man.........I mean, woman.