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  3. 167617-2693

Received a Bill for State Tax on An Amp Bought in Canada Last Year

Wow! The envelope said “Dept of Revenue” so I figured it may be my car tags due. I opened the envelope to find a statement that I owed $665 for “use tax” on an amp I bought last year in June.  Shocked is an understatement. Yes, I bought a used amp from a guy in Canada through A’gon. But I paid the tariff on it. Now they also want tax.  However, the amount they are basing it on is over double what I paid for the amp. But had to send it to Don Sachs for repair a few months later. So I wonder if they are seeing that as a separate purchase rather than a repair. They even charged me $43 interest which is more ridiculous IMO.
So the question...Are you required  to pay tax on a used amp or other used  items? Has anyone else encountered this? Yes, I know the states are cracking down on the sales tax. But on used items? Wow

artemus_5
cleeds
6,258 posts
 
grannyring
Seems true unless you are a business. We common folk selling on Craigs List, yard sales, Facebook buy sell trade, AudioGon etc.., pay and change no tax.
 Apparently you haven't bothered to read the OP, because he was charged the tax. As I noted, used items in Tennessee are not exempt from sales tax and when the tax is not collected, a companion "use tax" can be assessed by the state.

Here's what the OP asked:
Are you required to pay tax on a used amp or other used items? Has anyone else encountered this?
The answer is clearly, "yes." And that's why he received the tax bill.
grannyring's avatar
grannyring
6,645 posts
 
We just disagree.  The tax was in error.  
cleeds
6,258 posts
 
grannyring
We just disagree. The tax was in error
Not really. There’s a difference between disagreeing and being disagreeable.

I provided you a direct link to the Tennessee Department of Revenue sales tax rules. According to the Department of Revenue, used items are taxable in Tennessee. So you’re arguing with them, not "disagreeing" with me.
grannyring's avatar
grannyring
6,645 posts
 
Show me where it says used items are taxed and I will agree with you. Only retail sales are mentioned.  If I missed the used verbiage, then please reveal it and I will agree.  
cleeds
6,258 posts
 
grannyring
Show me where it says used items are taxed. Only retail sales are mentioned.
The term "retail sales" includes the sale of used items between private parties. I'm not sure why you think otherwise. In any event, the proof you seem to seek is in the OP, silly:
... I bought a used amp from a guy in Canada through A’gon. But I paid the tariff on it. Now they also want tax."
So he has a tax bill from the taxing authority, under the terms explained on the state website. If you think used items are somehow oddly exempt under Tennessee tax code, I’m sure the OP will be grateful for the appeal you’ll file on his behalf. When filing an appeal in a tax code dispute, you'll need to cite the exact language in the code that supports your claim. Good luck with that!
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