sales tax

[Wimblees@aol.com]

In a message dated 98-08-02 23:02:49 EDT, you write:

<< If you replace a hammer shank, you have sold them a part so you have to
 pay tax. Yes? No?  (assuming you pay taxes for sales , but not
 services.)
 
 How about a set of keytops?  Hammers?  Dampp Chaser?
 
 What we're really interested in is the ratio of service cost to
 'materials'cost and is the 'materials cost' sold as a stand alone item
 without installation and in sufficiently large numbers to make it
 worthwhile for both the State and you to pay attention.  
 
 Doubt it.  Unless you're selling pianos.
 
 
 Carl
  >>


Technically, if the state in which you live charges sales tax on materials,
(parts, etc. ) but not service, then every little thing you "sell" a customer
has to be taxed. You will see this in the car repair busines, plummers,
electricians, etc. 

In my business, I seldom tax anything under $50 dollars worth of material. A
set of key tops, bridle straps, strings, etc, are all non taxed. I do charge
tax on a set of hammers, a set of bass strings, a pin block, etc. These are
items than can easily be seperated out. 

In MO, if you don't have a business licence, you don't have to get a sales tax
licence. If you  want a sales tax licence, you have to have a business
licence. So you can either play by the "rules", or you can cheat, (did I say
that?) and get away with not colecting sales tax.  

Willem Blees RPT
St. Louis