Paying Dealer's Taxes in Oregon! Buyer's beware!

[Wire4money]

Originally Posted by Kid Gloves

Calling it a sales tax doesn’t make it a sales tax.

Understanding how the tax is imposed can help clear up misunderstandings.

Why wouldn’t it be a sales tax? Because Oregon calls it an activity tax? It’s a tax on the price of the vehicle. It is paid by the dealer just as any state that imposes a sales tax.

[Kid Gloves]

Originally Posted by Wire4money

Why wouldn’t it be a sales tax? Because Oregon calls it an activity tax? It’s a tax on the price of the vehicle. It is paid by the dealer just as any state that imposes a sales tax.

I’ll ask again, have you read and understood how the Oregon CAT is imposed?

[NevadaNick]

Its explained a bit hear.

[saddlesore]

My understanding is that it is a "Gross Receipts" tax.. very similar to the Gross Receipts tax that the Fed imposes on Wait personnel of Restaurants..

[Kid Gloves]

Originally Posted by saddlesore

My understanding is that it is a "Gross Receipts" tax.. very similar to the Gross Receipts tax that the Fed imposes on Wait personnel of Restaurants..

That’s another misunderstanding. There’s a 35% deduction and a $1M exemption. It’s estimated that the CAT will have no impact on about 95% of Oregon businesses.

[Wire4money]

Originally Posted by Kid Gloves

I’ll ask again, have you read and understood how the Oregon CAT is imposed?

I was a business owner in Oregon.

[saddlesore]

Originally Posted by Wire4money

I was a business owner in Oregon.

I was as well, with gross receipts over $1 million.

[Kid Gloves]

Originally Posted by Wire4money

I was a business owner in Oregon.

Can you answer the question?

[Kid Gloves]

Originally Posted by saddlesore

I was as well, with gross receipts over $1 million.

Did you shutter your business prior to the implementation of the CAT?

[SilverPlum]

Originally Posted by Kid Gloves

This is completely inaccurate. Have you actually read how the Oregon CAT is imposed?

Actually wire has it correct. It's a tax on sales regardless of whether your business makes a profit or not. If you own a business in Oregon its not difficult to understand.

[dbircky]

“Activity tax”. So are businesses that have passive income exempt from this tax? If it’s applied on all gross receipts, then it sure sounds like a sales tax. You can call it whatever, but it sounds like the effect is exactly the same.
Perhaps we should call our product “organic vegan lifestyle soil replenishers” instead of beef. Putting a fancy name on grass eating poop machines doesn’t change what they do.
And yes, regardless of what tax is applied to a business, one way or another it’s in the price the customer pays.

[Kid Gloves]

Originally Posted by SilverPlum

Actually wire has it correct. It's a tax on sales regardless of whether your business makes a profit or not. If you own a business in Oregon its not difficult to understand.

A sufficient number of statements have been made on this tread which indicate that it is difficult to understand the Oregon CAT.

For those operating a business in Oregon, utilizing the services of a Professional Tax Consultant might be an option to explore.

[pjsview]

Originally Posted by Kid Gloves

There is no sales tax in Oregon. Being from Idaho, let’s assume you are aware of that. The tax was hidden in plain sight on the document. You asked about it and they answered your question.

Did you ask if they were willing to work with you on the CAT?

Is there more to your story?

The sales tax that was on the document was $18k, I asked about the rate the used, they thought I was living in California and added the sales tax to also include the $1400 CAT. The CAT was NOT on a separate line. I have nothing to hid and there is nothing more for you.

[Gordon Dewald]

Taxes, surcharges, fees, etc are all part of the insane need to accumulate money for the dispensation by the politicians. Some spending we agree with, some we dont.

Bottom line is whether the costs are hidden or displayed the consumer will pay them. You know the tax people will be working to do their best to collect as much as they are able.

The only thing the consumer can do is get the best deal possible by comparison shopping and selecting the lowest price? Dont forget to consider the dealer reputation for support and after sales service in your decision.