some companies can not be shamed

Dear Jerry,We're sending you our warmest holiday wishes.Here's to an even more successful 2019!Sincerely,The Hohenstein Institute America TeamP.S. Will you be in Munich for ISPO or Heimtextil? During the shows, we'll be conducting a research project to uncover hidden needs in the industry. More info below.

Are they brain dead; yes. Until today I have never received an e mail from anyone who works at the institute nor did I ever expect to get one. Seems to me you cannot even insult them.

I did respond to the sender telling him I would not ever be at the Munich show!!!

SPECIAL NOTICE

That is what I received from the California department of tax and fee administration in the mail today.

But before I discuss this special notice I want to bring to your attention that in October I believe the state of Colorado wrote to all retailers that we would have to start collecting local taxes when selling and shipping product to any city or county in the state. The number of cities that have their own tax assessment is vast.

My office manager started to research what all of this entailed. We would have to keep records of sales to each town or city and collect taxes for those locations and each quarter send a report and a check.

If one person in Rifle Colorado bought a sleeping bag at a cost of $200.00 plus say 8 percent local tax that would amount to $16.00 and the cost to file the tax form is $35.00. Therefore my sale of one bag in 3 months would not be $200.00 but less the $35.00 so I have lost money on the deal.

Of course there would be the salary I would have to pay for someone to keep these records; easily $400.00 to $500.00 per week.

All of this activity is scheduled to start on April 1, 2019.

After much thought I have decided as of April 1, 2019 not to accept any mail order orders from any Colorado residents on the internet. All sales will be consummated at the factory in Grand Junction, CO. When someone comes to the factory they will be able to purchase at the factory discount and pay the local Grand Junction tax of 8.02 percent. If the customer pays cash there is a further discount of 2 percent which is the credit card cost I will be saving and of course the lower price means a slight local tax saving as well.

If someone lives in Denver and they have a friend in Grand Junction they can have the friend buy the product and bring it to them.

Now for the “special notice” that I received today from California which explains their “new use tax collection requirements”. If a mail order company sells $100,000.00 or more they have to fork over the taxes collected. If a mail order retailer does less than $100,000.00 but at least 200 separate transactions the retailer has to fork over the taxes collected. The state wide tax rate is 7.25 percent but it does vary so you have to research the many locals in the state of California.

Since they are instituting their program and it also starts on April 1, 2019, interesting coincidence.

The state legislators who are instituting this program in both states only know one thing “we have to grab the money anyway we can”.

I will be sending a letter to the state of California department of taxation advising them that they will receive an invoice for $500.00 to offset the costs that my company will incur keeping these records. Even though I many not hit either threshold then I still have to keep the records in order to know what my sales are each year.

The legislators who are creators of nothing except ill will do not have a clue the financial burden they are putting on so many companies that are small like Wiggy’s.

I expect to receive letters from the tax departments of every state in the union it is like a disease that is incurable.

Maybe some enterprising people will band together their money and send one person the Grand Junction and pay the factory discount pricing and take them home and distribute them to the buyers.

Grand Junction will get the benefit of people having to refuel here, buy lunch here or maybe come in in the evening and rent a hotel room.

The reality for me is that I am just plain old tired of having some government agency trying to get into my pocket and I can assure you that I have numerous members of the dissatisfaction club.