Friday, September 2, 2011

They charged us sales tax on our property tax!



Brock,

Here's one for you. We have a number of machines that we use to process our granite slabs into finished kitchen counters. One of them is a line edge shaper & polisher which we have another half of a year of payments left on. Anyway, we used to remit our business property tax on all of our equipment and machinery, etc. directly to the county (I'm not sure if others states besides Kollectivistafornia require this, probably not). On our recent billing statement the finance company of our machine had a new line item on their monthly invoice for property tax but here's the kicker, there was also a line item for sales tax right below it (see the attachment). They charged us sales tax on our property tax!

Well the book keeper called Northland Capital thinking that a major mistake had been made here. Their response was that lots of other people had called on the same thing. They had been told by the state of Kalifonia to start collecting the property tax and remiting it to the county (instead of us) and since it was now an invoiceable item they were told that it was taxable and that they were to withhold sales tax on it as well.

And the hits just keep on coming here in the People's Demokratik Republik of Kalifonia. They keep on driving the productive class out of this state. They just don't get that their policies are causing this economic catastrophe and every time they do something stupid like this it drives away even more people and businesses. The result is that revenues drop and then they do something else stupid in response...and on, and on, and on.

Anyway I thought you might find this of interest.


Redleg

Sales Tax on Property Tax.pdf
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