Storage Auctions
The Storage Locker => General Storage Auction Talk => Topic started by: Jags on October 14, 2011, 02:44:10 PM
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Hi all,
I am still a newbie from Tampa - Florida, Have been doing my research. I have to say this is the best site I have come across, lot of good information from experienced members.
I have few questions, can you please help me understand...
1) Is it a good idea to get Resale License in Florida before going to a Auction or its better to pay the sales tax.
2) Whats the pros and Cons of Resale License vs Paying Sales tax
3) How is Sales Tax calculated? Is it on the amount you have bid or on the items inside the storage?
Thanks in advance..
Jags
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I got a separate resale license specified for resale of this type of goods in GA before I started this venture.
I don't want to pay 8% on a 1000 dollar unit and pay 8% on the buyers fee to the auctioneer, which is what some auctioneers do. Thats an extra 100 dollars out the door.
I haven't had to use it yet as all of the lockers I have purchased there were no taxes taken out. I keep some receipts, but most of my sales are on ebay where ,for now, they don't collect tax on.
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Chef Thanks for your response. You have really good points.
Say you endup using resale license, do you have to keep track of everything you got from that storage and how much you sold it for ... and end of the year file taxes on it??
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Say you endup using resale license, do you have to keep track of everything you got from that storage and how much you sold it for ... and end of the year file taxes on it??
Sale tax is different from income tax. On the sale tax question I am going to look into it I will post the answer I get.. Owned our own business and the Florida Sale tax is a nightmare if you are not straight retail.
Tax on the end user, except on cars taxed every time it is sold. I will call the office on Monday their web site does not answer the question will post what I find out.
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Chef Thanks for your response. You have really good points.
Say you endup using resale license, do you have to keep track of everything you got from that storage and how much you sold it for ... and end of the year file taxes on it??
I would keep track of all of it regardless, since majority of everything you use for your new path you can use as a tax deduction. Just remember, if you do make X amount of dollars on your sales, you are required to report it to the IRS. I know many of us dont, but I dont advise going that route. Penalties for it are very costly.
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Just found this thread talks about sales tax the last comment is in Fl.
http://forum.purseblog.com/ebay-forum/should-i-pay-sales-tax-on-used-item-412974.html
So depending on how much and where you sell your items would be the deciding factor. Some flea markets want a copy of your sales tax certificate. If you are going to run this like a business I would suggest getting a certificate and the state usually offers a free class to help understand the process of sales tax and how to file you will also get your local agents number to call if you have questions. Hope this helps, finally got my answer will be registering with the state again. :)
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Thanks for your response guys. really appreciate it.