Sales Tax?

Does the purchase price of a material include sales tax?

If so, that is terrible because California has the highest and it’s getting higher.

don’t you all have tax exempt numbers anyway?

What are tax exempt numbers?

In most cases, non-profit and government organizations (including schools) don’t have to pay sales tax. A tax exemption number is the “code” that allows you to do this. Many teams, like mine, are not financed by the school nor are they officially non-profits, thus meaning they are still subject to taxes. Check with your mentors to see what your situation is.

I believe that your funds are exempt from taxes if the account they are kept in doesn’t earn interest. However, I believe that you still need a tax exemption number and a “doing business as” form on file.

i can only assume taxes are expemt from the total cost allowed. Mainly because of the variation between the states. Some teams may have 3000… others 3500… that 500 is quite important. And also that many FIRST teams aren’t non-profit tax exempt

Some states do not have sales tax. New Hampshire for one. :slight_smile:

Schools do not usually have to pay sales tax even in states that have one. If you are buying items, especially big ones, in a state with a sales tax you should make sure you get yourschool tax ID and some documentation that this is a school related purchase and so avoid the tax.

I am starting a new team in Sparta NJ, and am wondering how a team can get a tax exemption number. Last year on my old team 692, (GO FEMBOTS!!! ) we had a number that we gave to companies that let them deduct any donations that they gave us. I can’t get in touch with my old moderatos so if anyone can help i would appreciate it!

florida is %6 and everytime we go to home deopt and get some gear, or stock we have a little tax-exemption form that we use and we Dont pay the tax witch one time was $105, if we didnt have the tax-exemption thing we would have depleted our funds before houston and we would not have gone

try 15% in ontario… = S… and i believe they discontinued the charity exemption dealy for schools around three or four years ago for us. any money contributed to the school used to be tax-writeoffable at least…

I always thought being tax exempt just applied to donations, and allowed you to not pay income tax on any funds.

*Originally posted by FIRSTbrinabot *
**I am starting a new team in Sparta NJ, and am wondering how a team can get a tax exemption number. Last year on my old team 692, (GO FEMBOTS!!! ) we had a number that we gave to companies that let them deduct any donations that they gave us. I can’t get in touch with my old moderatos so if anyone can help i would appreciate it! **

Generally the easiest way if I am not mistaken is to set up an account inside the school and use the school’s tax exempt. I believe thats what my former team did on certain things, but generally the school has some kind of tax exempt form. Correct me if im wrong…

-I’m not a Tax Professional, but I did stay at a Holiday Inn Express last night…

You will probaly be persuing a 501©(3)

Looks like a good guide to getting tax-exempt status.http://www.thewatershed.org/WSM/SBMWA_tax_exempt.pdf

Good luck.

Wetzel

Google is my friend

Just use your school’s number. If the principal doesn’t have it the Business Manager of the district will. Trying to set up a new independent non-profit is almost as much work as building the robot and you probably don’t want to go there as it is a waste of your energies.