State Sales Tax License for Gunsmithing

Discussion in 'Gunsmithing Forum' started by GSmith1883, Apr 29, 2014.

  1. GSmith1883

    GSmith1883 New Member

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    I am in the process of setting up my Gunsmithing business out of my home. I am waiting on my Business/Tax License, and I have my Interview and Inspection with the IOI (BATFE) agent tomorrow for my Type 01 FFL. My question is is it necessary to have a State Sales Tax License for parts or any other reason?


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  2. robocop10mm

    robocop10mm Lifetime Supporting Member Lifetime Supporter

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    Most states tax services. Gunsmithing is a service so yes
     

  3. GSmith1883

    GSmith1883 New Member

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    I thought that's what my Business/Tax license covered. Doesn't the State Sales Tax License cover sales tax on products? In my case parts for repair. The way it was explained to me, i would have a account with parts dealers (Brownells, Midway, Numerich, Ect..) registered with my sales tax license ID number, I buy parts and not pay the sales tax at time of purchase, (basically a parts retailer) instead I charge my customer the proper percentage sales tax according to my city or state, and pay the sales tax quarterly accrued through my business selling my customers their parts for repair.


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  4. Axxe55

    Axxe55 The Apocalypse Is Coming.....

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    i think what Robo is refering to is labor charges being taxable. some labor can be taxed. i would suggest talking to an accountant who is knowledgeable with the tax codes of your states sales tax regulations. an accountant on retainer is probably some to the best money you can spend as far as business expenses.
     
  5. GSmith1883

    GSmith1883 New Member

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    Thank you both for the advise. I will do that.


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  6. GSmith1883

    GSmith1883 New Member

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    Have my city business license .sales tax license, state sales tax license on the way, and


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  7. GSmith1883

    GSmith1883 New Member

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    Had the IOI BATFE agent out today for interview and inspection. So hopefully a matter of weeks I'm up and running. Next liability insurance!


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