Sales Tax??

[jdiggy]

Question regarding your billing on clicks.....

Wonder if it varies....
Does your company charge you sales tax on your monthly click charges? Click charge includes the consumables and service contract. How about delivery of your consumables, do they charge you a delivery fee?

Thanks

 

[MailGuru]

Yes, we are charged sales tax on our click charge. I contend that, since we are the "middle-guy" (the click charge is just one of many componets that we will use to produce the final product for the end-user), and, we will charge sales tax to the end-user, that we shouldn't be charged sales tax on the click charge. In other words, the State is unfairly getting sales tax on the completed product, as well as the components that go in to the completed product (they are collecting tax twice on the same item).

Unfortunately, our click charges appear on the same invoice as our lease payment on the equipment (which is taxable), and, our vendor (Xerox) contends that it must charge tax on the click charges, because it charges sales tax on the lease payment????? Doesn't make sense to me.

-Best

MailGuru

 

[OkiTech]

Well, Xerox is just being lazy. I guess they're waiting till law suite comes up and it should. As you may be a final consumer of the machine, but those click are being resold... I should not take genius to see trough this and surely Xerox can afford one for policy making if that what it takes

 

[KopyBoss]

No we are not charged sales tax on click charges. We receive seperate invoices for our lease payment which is taxed.

 

[kansasquaker]

Well, Xerox is just being lazy. I guess they're waiting till law suite comes up and it should. As you may be a final consumer of the machine, but those click are being resold... I should not take genius to see trough this and surely Xerox can afford one for policy making if that what it takes

Gee . . . Xerox being lazy, unthinking and uncaring. Imagine that . . . in other news, ice is still cold. Lord I hate the mentality at Xerox.

 

[Londen]

I just received a lease proposal from Xerox. It states that "With a valid reseller certificate/license, service/supplies clicks are tax exempt."

 

[Possumgal]

Gee.... something being taxed more than once, imagine that.

 

[MailGuru]

I just received a lease proposal from Xerox. It states that "With a valid reseller certificate/license, service/supplies clicks are tax exempt."

My proposal doesn't have that wording, but, we'll give it a shot.

Thanks,

-MailGuru

 

[Craig]

Send them a tax exempt form and tell them it is a purchase for re-sale.

 

[kdw75]

Send them a tax exempt form and tell them it is a purchase for re-sale.

Wonder if they will retroactively credit the money already paid.

 

[michaelejahn]

I do not work for Xerox. I have no co-marketing agreement with Xerox. The Company I work for does not either.

Having said that, to blame Xerox because you are - or your company is - ignorant of tax related issues and regulation related to reseller licenses and tax implications is silly, unfair and simply points out that you need to hire a better accountant.

This is not a Xerox problem, nor their fault. Each state is different, Xerox is an international company.

We are based in California - look for a web site like this and get wisdom.

Obtaining a Seller's Permit - Board of Equalization

Good luck, hope that helps.

 

[kdw75]

I do not work for Xerox. I have no co-marketing agreement with Xerox. The Company I work for does not either.

Having said that, to blame Xerox because you are - or your company is - ignorant of tax related issues and regulation related to reseller licenses and tax implications is silly, unfair and simply points out that you need to hire a better accountant.

This is not a Xerox problem, nor their fault. Each state is different, Xerox is an international company.

We are based in California - look for a web site like this and get wisdom.

Obtaining a Seller's Permit - Board of Equalization

Good luck, hope that helps.

I don't think he was blaming Xerox as a whole. He wAs blaming the person he talked to at Xerox for being too lazy to get it fixed.

 

[michaelejahn]

I was speaking - in general - to a few of the other folks commenting. Sorry, not the Xerox sales reps fault. I will bet that if you have this issue, you probably did not have a re sellers licence in place. Not all printers sell to brokers who resell the print / services, many are ignorant of such things. It is not the Xerox sales rep or anyone at a vendors job to worry about your tax liability. That is your accounting department, CFO or someone involved with dealing with taxes at your company.

 

[dabob]

I wouldn't bet on them refunding you since they in all reality they have already paid it . . but as I recall here in California there is a place on our sales tax return to enter the amount of sales tax paid on items for resale and deduct it from your sales tax bill ask your accountant or CPA about it

 

[kdw75]

I really got irritated with AT&T years ago, because they kept charging me city tax on my bill, even though I didn't live in a city. They kept telling me their system required a city to be entered for tax. It was a nightmare, but I finally got it removed. Granted it was a small amount, but I'm not paying any tax I don't have to.

 

[KopyBoss]

Wonder if they will retroactively credit the money already paid.

Yes they will give you a credit.