what is the board of equalization seller's permit ???   no comments

Posted at 10:18 pm in

all dealer applicants must obtain a seller’s permit from the california board of equalization

the board of equalization locations:

http://www.boe.ca.gov/info/phone.htm

the board of equalization seller’s permit application form:

http://www.boe.ca.gov/pdf/boe400spa.pdf

the dealer applicant will be asked to estimate their monthly retail sales

the estimate will dictate the reporting cycle of the dealership

if the dealer applicant estimates monthly retail sales above 15K per month:

the dealer will report sales and post taxes in 30 day cycles

if the dealer applicant estimates monthly retail sales below 15K per month:

the dealer will report sales and post taxes in 90 day cycles

if the dealer applicant estimates monthly retail sales at zero  ( wholesale only dealer ) :

the dealer will report sales and post taxes in annual cycles

the board of equalization seller’s permit is issued at no charge

but

in some situations

a cash deposit or bond may be required

the board of equalization seller’s permit is necessary for acquisition and disposal of inventory

to maintain the sales tax exemption when acquiring a vehicle from another licensed dealer

the selling dealer needs to collect:

photo ID of the buying dealer or representative

a copy of the buying dealer’s valid dealer license

a copy of the buying dealer’s seller’s permit

failure to collect these documents could create a taxable event

and sales tax could be required from the selling dealer

documentation of exemption at aquisition is the sellers responsibility

the report sent to the dealer in cycles requires reporting of all:

retail sales

wholesale sales

out of state sales

out of country sales

personal use of inventory vehicles

good luck

thx

charlotte

800-901-5950

Written by gotplates on August 30th, 2008

Leave a Reply