New tax on out of state transfers?

[K.C.Dean]

I got hit back in 2013 right after I joined MDS. I went by Accurate Guns and Ammo in St. Mary's county. I saw their info on Gunbroker and it said $50.00 for a regulated transfer. I go there and talk to Mark, I used to work with him. I asked if he would do the transfer and he said sure. I assumed it would be $50.00. I get the info ordered a receiver. When it came in, I go down to do the paper work. I was informed that it will be $100.00 plus sales tax. I was floored.

I started a thread about it then because I also wanted to find out if it was normal to pay taxes on an item purchased over the internet. It wasn't normal and it wasn't law for Accurate to charge the use tax. It was my responsibility to pay the tax when I filed my taxes. The thing that got me was the receipt I got didn't show the tax. I am still a little pi$$ed about it.

 

[fnfalsar48]

I got hit back in 2013 right after I joined MDS. I went by Accurate Guns and Ammo in St. Mary's county. I saw their info on Gunbroker and it said $50.00 for a regulated transfer. I go there and talk to Mark, I used to work with him. I asked if he would do the transfer and he said sure. I assumed it would be $50.00. I get the info ordered a receiver. When it came in, I go down to do the paper work. I was informed that it will be $100.00 plus sales tax. I was floored.

I started a thread about it then because I also wanted to find out if it was normal to pay taxes on an item purchased over the internet. It wasn't normal and it wasn't law for Accurate to charge the use tax. It was my responsibility to pay the tax when I filed my taxes. The thing that got me was the receipt I got didn't show the tax. I am still a little pi$$ed about it.

I had the same thing happen to me......haven't been back since

 

[WESTMD]

I have transferred more than a few guns into MD. I had a pawnshop in Frostburg charging me the MD sales tax in the early 2000's and then the salesman I dealt with left the business. From then on no sales tax was charged on transfers. I think he was pocketing the money?? Anyway I have another FFL I now go through and he does not charge the sales tax. Since Oct 1 2013 I am only purchasing guns on my C&R, no tax, no trip to the FFL, No MD BS.

 

[Alea Jacta Est]

There's nothing new about theft...

 

[SWO Daddy]

That's bull crap. Thanks for the heads up so I know never to do business with them.

 

[fabsroman]

yep, just went to the comptroller's site, says that use tax, if it is even paid, is the responsibility of the buyer to pay or not pay and at no point should be collected by the MD seller

A&D Pawn is not the seller. Just keep that part straight. A&D Pawn is the transferor.

Otherwise, you have it correct. It is your responsibility to pay the Use Tax upon purchasing something out of state to be shipped to you here in Maryland.

 

[fabsroman]

THANK YOU

This is EXACTLY the expertise I needed

Yep, I can vouch for Proline Fisher too. I went to law school with his older/littler brother and have been friends with both of them for over a decade. Granted, I rarely get to see either of them or their parents anymore, but we are trying to remedy that this year. Going to try to get them all out shooting clays.

Seems like every year on here there is some FFL trying to say it needs to collect Sales & Use Tax on a transfer.

 

[Vile Shadow]

http://taxes.marylandtaxes.com/Indi..._and_Use_Tax/Filing_Information/default.shtml

Yes, I am very familiar with this as I always send in the tax for stuff I buy OOS.

 

[amoebicmagician]

This is one of the reasons I stopped dealing with A&D years ago. Had a very expensive firearm transferred in and once they had it there brought up the sales tax. Never mentioned it before when we were figuring out all the fees etc. the "sales tax" would have been a nice little bonus for them that week. Asked another local FFL abiut it and they agreed to recieve it from A&D and transfer it for for a significantly reduced rate.
I haven't and won't set in there since.

glad to know I don't have a suckers face at least. Still sorry this happened to you. I left a message with the comptroller's office, we'll see how this plays out since I have the receipt from my AK on which I specifically made him state the money was for the state of MD- they are so screwed

 

[rdc]

glad to know I don't have a suckers face at least. Still sorry this happened to you. I left a message with the comptroller's office, we'll see how this plays out since I have the receipt from my AK on which I specifically made him state the money was for the state of MD- they are so screwed

My experience was several years ago. It was actually my wife transferring a firearm for herself. I got the impression they thought they could do it because "she was a woman and didn't know any better". I remember looking up the laws and finding a form for paying your own usage tax. We offered to write a check, fill out the form and let A&D actually mail it so they knew we were paying the tax. At that point we would have gladly paid sales tax but no way were we giving them extra beer money. They wanted no part of it and said they'd get in trouble if they didn't collect the tax.
Prior to doing the transfer she went over ALL the costs with them. She was in car sales at the time so she made sure to inquire about any hidden costs. I am sure she even used the phrase "tax, tag, & title out the door"? The sales tax was nlu brought up once they had the firearm in their possession. The guy we dealt with said it was something "the owner required him to do". The "sales tax" was a few hundred dollars. In my opinion they were looking to make a few extra bucks.
**** them.

 

[amoebicmagician]

well, no big loss, as A&D didn't generally have the greatest selection or knowledgeable (or congenial) employees anyways.

I went in to buy a WASR from them years and years ago, and brought a piece of floss to loop around the front sight post to see if the front sight was canted by pulling it between the rear sight leaf cut, I told them that if everything checked out I would buy the rifle, which I told them would involve me trying a magazine I had brought with me and taking off the dust cover and cycling the action. Guy says no problem. So I do my spiel, everything looks good other than the tabs inside the receiver being a little rough (the ones that take the place of the dimples, but I always use chromium oxide to buff those anyways, so not big deal)

So I tell them I'll take the rifle, after putting it all back together and even putting my finger into the receiver when letting the hammer down so as not to dry fire the gun before putting the dust cover back on.

While I was there I also saw a MAK-90 on the wall for 90 bucks more than the WASR, so I asked to see that too. I asked if it was in good shape other than the cosmetic rust, and the guys says absolutely- the thing turned out not to have a bolt in the BGC! But that's another story.

So I get the WASR wrapped up, and I am handed the paperwork and am astounded to see 25 dollars over the agreed upon out the door price on the invoice.

I ask what that's about, and he says it's a re-assembly fee for putting the gun back together. I told him I had just put the gun back together myself, it was in the same shape as when I entered the store. He said that if he sells it to someone else they have to take it apart to see that it works before selling it since I tampered with it. I told him that since I was paying for it now IT BETTER NOT BE SOLD TO SOMEONE ELSE, and that if that was their policy then how did the MAK-90 with no bolt make it onto the sales rack. They agreed not to charge me after I specifically told them to leave the gun as is in the box the way that I left it, and they said they would do it, "But only because you seem like an alright guy"

So, now I know they are just completely full of BS

There were definitely some red flags, but I like to give people the benefit of the doubt.

Thanks guys, this community is an invaluable resource. Hopefully we can keep someone else from getting taken for a ride.

I guess they just make no distinctions between gun sales and their pawn shop dealing-with-crackhead pawn shop clientele that aren't in a position to argue

 

[protegeV]

dude, that is some of the most Redonkulous nonsense Ive heard

 

[rseymorejr]

The "sales tax" was a few hundred dollars.

What the hell was she transferring?

 

[protegeV]

What the hell was she transferring?

yeah, that's what I was thinking too?

 

[Lou45]

well, no big loss, as A&D didn't generally have the greatest selection or knowledgeable (or congenial) employees anyways.

I went in to buy a WASR from them years and years ago, and brought a piece of floss to loop around the front sight post to see if the front sight was canted by pulling it between the rear sight leaf cut, I told them that if everything checked out I would buy the rifle, which I told them would involve me trying a magazine I had brought with me and taking off the dust cover and cycling the action. Guy says no problem. So I do my spiel, everything looks good other than the tabs inside the receiver being a little rough (the ones that take the place of the dimples, but I always use chromium oxide to buff those anyways, so not big deal)

So I tell them I'll take the rifle, after putting it all back together and even putting my finger into the receiver when letting the hammer down so as not to dry fire the gun before putting the dust cover back on.

While I was there I also saw a MAK-90 on the wall for 90 bucks more than the WASR, so I asked to see that too. I asked if it was in good shape other than the cosmetic rust, and the guys says absolutely- the thing turned out not to have a bolt in the BGC! But that's another story.

So I get the WASR wrapped up, and I am handed the paperwork and am astounded to see 25 dollars over the agreed upon out the door price on the invoice.

I ask what that's about, and he says it's a re-assembly fee for putting the gun back together. I told him I had just put the gun back together myself, it was in the same shape as when I entered the store. He said that if he sells it to someone else they have to take it apart to see that it works before selling it since I tampered with it. I told him that since I was paying for it now IT BETTER NOT BE SOLD TO SOMEONE ELSE, and that if that was their policy then how did the MAK-90 with no bolt make it onto the sales rack. They agreed not to charge me after I specifically told them to leave the gun as is in the box the way that I left it, and they said they would do it, "But only because you seem like an alright guy"

So, now I know they are just completely full of BS

There were definitely some red flags, but I like to give people the benefit of the doubt.

Thanks guys, this community is an invaluable resource. Hopefully we can keep someone else from getting taken for a ride.

I guess they just make no distinctions between gun sales and their pawn shop dealing-with-crackhead pawn shop clientele that aren't in a position to argue

Now that's ^^^ jus' totally fukked up there.

 

[rdc]

What the hell was she transferring?

It was an NFA transfer which is why she was very careful to document all fees prior to initiating the transfer. The purchase price of the firearm was several thousand dollars. Sales tax was 5% at the time.
They were very proud stating that someone had recently transferred a $10,000 Ma Deuce and paid them sales tax( don't know if it was true but they used that story as justification)

 

[kc day]

About 8 years ago I had a gun transferred to them from Florida. I went there occasionally just to look at what was on the racks and the used case so I was familiar with the owner and Gil who would recognize me when I walked in. When I went to do the paperwork on the pistol I too was hit out of left field with this sales tax nonsense. I informed Gil that there was no obligation for them to collect sales tax since it was not a sale and it was purchased from out of state, also I informed him that the tax code of Md. does not support what he was purporting as "law". We went back and forth for a while when the owner stepped into the discussion saying much the same as was discussed in the earlier posts that "there was nothing he could do it was the law". It looks like they've been recycling that argument for sometime. Fast forward eight days, I returned to A&D to pick up the pistol armed with copies of the Md. tax code that would have applied to the situation and a contact # for the comptrollers deputy with whom I spoke to attempting to clarify. Even with ALL of this the owner still persisted in believing that it was the "law" as he was told! However, he did agree not to charge me the sales tax after much debate. I have not transferred nor have I purchased anything from them since.

 

[amoebicmagician]

About 8 years ago I had a gun transferred to them from Florida. I went there occasionally just to look at what was on the racks and the used case so I was familiar with the owner and Gil who would recognize me when I walked in. When I went to do the paperwork on the pistol I too was hit out of left field with this sales tax nonsense. I informed Gil that there was no obligation for them to collect sales tax since it was not a sale and it was purchased from out of state, also I informed him that the tax code of Md. does not support what he was purporting as "law". We went back and forth for a while when the owner stepped into the discussion saying much the same as was discussed in the earlier posts that "there was nothing he could do it was the law". It looks like they've been recycling that argument for sometime. Fast forward eight days, I returned to A&D to pick up the pistol armed with copies of the Md. tax code that would have applied to the situation and a contact # for the comptrollers deputy with whom I spoke to attempting to clarify. Even with ALL of this the owner still persisted in believing that it was the "law" as he was told! However, he did agree not to charge me the sales tax after much debate. I have not transferred nor have I purchased anything from them since.

that's funny, because he told me right before the october 2013 ban went into place, when he had my AK in limbo there without enough time to transfer it to another dealer that, and I quote:
"I just recently got a letter from the comptroller of MD telling me I was to collect on their behalf"

We'll see what they have to say when I talk to them on monday.

 

[amoebicmagician]

and you showing him the papers means he is a double pants on fire liar claiming ignorance of even the idea that he would not be responsible for collecting said tax

What a piece of work

 

[Mark75H]

Ask to see the 'letter'