Funny, funny, funny - or Louisiana small business

[vmrod]

Allright,

so I started a business in Louisiana to sell e-car stuff. The Parish (county) that I'm in says I need to collect local taxes and report them on a monthly basis. No prob. There's 2 different tax rates spread across 6 or 7 zip codes! Well, at least that is manageable.

The next Parish, states that I do not have to collect their local tax, because I am not using my trucks to ship anything to their area. Another Parish said the same thing. So far, so good.

The next Parish says I have to collect sales tax for sales in their area. They have alot of different rates in their Parish! Now there are 60 more parishes to contact!! How many actually know what they are being asked? How many will answer differently next week?

As much whining as I read in the local newspaper about the declining sales tax, I think the state of Louisiana should just step in, and make it easier for the small business to calculate taxes on the local level. There is also whining about the declining small businesses too. Well, if they could get their act together, and let the little business know (in writing) exactly what to expect, then we might just have more business in Louisiana!

Here is the funny part...since the local parishes cannot agree on a united ruling on when or how much to collect for sales, then I will not be selling to those local areas. There! How is that! The customers in your area can simply buy from another state and pay no sales tax. Nothing to your local district, and nothing to our state!

So, I have a Louisiana business, but will not sell to another person in Louisiana due to the $%#$# long line of red-tape! It is no wonder at all that this state is 49 or 50 in the nation!

I may decide to sell to East Baton Rouge Parish residents, since I am in the area and have to submit a monthly tax report anyway.

So, to sum up.

1. Vic has internet store in Louisiana.
2. Louisiana lets the local Parishes decide when and how much to collect on taxes, and does not share this info to the state businesses. (instead referring you to contact each local parish)
3. Vic will not sell to others in his state.
4. If online sales are good, Vic may move to a state that is serious about harbouring small, technical businesses.

[drrighteous]

As a general rule, you only have to collect sales tax where you have a physical business presence. If you're a home based business, the tax rate is based on where you live. If you have a store, it's where the store is located. You only run into trouble if your transactions occur all over.

Make the sale from home, then delivery becomes a service, not a sale.

- Doc

[vmrod]

Unfortunately, I checked up on this by calling other Parishes, and that is not what I was told by some.

Some Parishes insist that I collect tax for them regardless of where I live. Some Parishes say not to collect tax since I don't live in the area.

The sad thing, is that I could probably call again and get a different answer to the same question. (it happened to me in Baton Rouge)

I did not want to be in the position where sales tax is expected from me, but none was collected. (due to some employee telling me wrong, but I have to pay it anyway)

You know, I had received a notice saying that I need to immediately report my business assets or else the state will place a value on my business. I would then have to pay taxes on that amount, and there is no appealing their decision. The letter was all in caps too! What a stupid way to communicate to the people that are collecting the taxes for you! I wrote back to them voicing my displeasure.

My business was only open for a few months. I had no assets nor sales. Only a few debts for traveling for sales calls.

As much as I enjoyed the business part, I did not like the part where I must work for the state (collecting and reporting sales tax), or researching the local laws. (or else)

I'll just do it for fun now, and the state and local parishes will just miss out on the funding that might have come in. (not to mention possible technical jobs in the state too)

In business, I am the one taking ALL of the risks, with MY money. If I lose it, the gov. does not care. As soon as I make anything, they spring out like hungry sharks!

Nope. They can have it. I don't play those stupid games.

[vmrod]

Allright, this is more on a national level....

So, why is it that GE didn't pay any taxes last year? They actually got money back!!!

Sure, stand over me with a bat, as I try to make chump change...meanwhile GE gets off the hook. In fact, anything collected from me goes to help poor old GE. !?&$@!!

Why is it that the big companies get the loopholes? Oh, yea, their buddies wrote it up that way, just for them.

It's a fair system. Just much, much fairer to the powerful.