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Wholesale companies


#1

Hi Lisa, I doubt that most artists even declare private sales, never
mind pay sales tax on them. I wonder how many of the “studio
jewelers” on this list pay sales tax on private sales (no, I don’t
expect an answer to that question, it’s rhetorical).

I know you did not expect an answer to the above statement but I
felt the need to respond. I sell about 25% private, 75% wholesale. Of
course on the wholesale I don’t collect sales tax, but on the private
sales I definately do. I live in California and it is the law.

My objection to not collecting and reporting sales tax is the damage
it does to all people living in your state or community. We all
dislike paying more taxes, however, taxes will continue to increase
as long as the taxes that are due, are not paid. Government services,
such as the roads you drive on do not operate without taxes being
paid, whether or not it is sales, income or property. I guess what
I’m trying (maybe not so well) to say is that if all Americans paid
what is mandated maybe the total taxes would eventually be lowered. I
see it as a moral and ethical matter as well as legal.

So much for my 2 cents worth at 7.75% (So. Cal sales tax) = .022
cents! HA

Debi in Sunny San Diego


#2
I doubt that most artists even declare private sales, never mind
pay sales tax on them. 	I wonder how many of the "studio jewelers"
on this list pay sales tax on private 	sales (no, I don't expect an
answer to that question, it's rhetorical). 

I have to respond to this. I don’t sell much, but what I do sell
retail, I declare as income and pay the sales tax on, whether I was
paid by cash, check or otherwise. Why? Because that is the honest
thing to do. I hope that everyone on this list does likewise. The
assumption that most of us on this list are cheating on our taxes is
disrespectful and demeaning.

Lee Einer
www.dosmanosjewelry.com


#3
  So much for my 2 cents worth at 7.75% (So. Cal sales tax) = .022
cents! 

Hi Debi, Actually that’s San Diego’s sales tax percentage, not
SoCal’s. Here in LA, it’s 8.25%. The state tax is the same
throughout California but city and county sales tax, which varies
considerably from place to place, is added on to it. Otherwise, I
agree with everything that you said!

Beth


#4

Hi Lee and all, Thanks for reminding others to pay sales tax on
private and cash sales. I sometimes feel like I’m one of the few
artists on the art fair circuit who does. Many times I’ve been asked
why I claim my cash sales. It’s just a good habit to get in to (and
it’s the law). Last year I had an I.R.S. audit, one of the items
they looked at was my income receipts and my travel expenses, the
end result was a clean slate, nothing owed, nothing back. I didn’t
even have a sleepless night knowing that everything was in place
from the beginning.

I think sometimes when you sell wonderful work in the middle of a
field or parking lot, customers feel they can negotiate prices,
sales tax being one of the items. I think if we want to have the
respect of a professional business person, we need to conduct our
business as a professional business person. That includes paying
sales tax on everything we sell.

Thanks for letting me vent,
Jenny Levernier
jmml designs
Minneapolis, MN


#5

As usual, Lee, well said. I was one of the first to jump on that
idea of no license, no tax stuff being illegal. If people already
have major distrust of jewelers or dealers, this can only do huge
harm. Makes me sad and feel old - when things more often were done
with honesty and honor and we never had to lock our doors at home.
Now it seems every man for himself and all those sorts who feel
"entitled" to everything they can get, no matter how. Like all over
road rage, it’s expanding something awful !

Pat


#6

Dear Lee, I wasn’t implying that most people on the list aren’t
declaring their income. I really meant that I didn’t expect an
answer, because the only people who would answer are people who are
"legal." And many people don’t declare their income because they’re
barely making it. I admit I don’t place an absolute value on honesty,
so I don’t have the same sense that you do about this issue.

Lisa PS: Most of the artists I know who work in other media are
having a really hard time, despite working “day jobs,” and many of
them hide as much of their income as they can. I don’t find this
morally objectionable, given that we live In a country that refuses
to support the arts (something which I do find disrespectful and
demeaning).


#7

I just couldn’t pass up a comment on this–so you are saying its all
right for artists to not to pay taxes because they are struggling?
So the guy working at the convenience store is less deserving of
support than you because you are an “artist”? And tax evasion is
morally OK because the country doesn’t support “the arts?” Tell me,
why should my or anyone else’s taxes go to support you or any other
artist? I assume you do it because you enjoy it–so this gives you a
privilege to take the earnings of others? So who decides who is an
artist and what is art and therefore who is deserving of support?
Are you an artist just because you say so? And therefore deserving
of tax dollars? If that is the case, then taxpayers should decide
what art and artists should be supported by their tax dollars. Be
careful what you wish for. If you create for the joy of it, be
content with that. If others agree that you are an artist and are
willing to buy your art, be doubly happy and pay your taxes like the
rest of us.