Do I have to pay sales tax on parts when leased to a carrier?

Discussion in 'Trucker Taxes and Truck Financing' started by Jacoooooooo, Jul 16, 2019.

  1. Jacoooooooo

    Jacoooooooo Heavy Load Member

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    I own my truck and it’s registered under carrier’s authority. My name is listed as an owner on the registration, they are the registrant.
    When buying parts how do I go about not paying sales tax?
    Am I even sales tax exempt?
    I do have an EIN number, don’t have MC or DOT - they belong to the carrier.
    Which number goes on the sales tax exemption certificate supplied at part stores?
    Thanks in advance for claryfying.
    Jacek
     
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  3. xsetra

    xsetra Road Train Member

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    I would use their MC
     
    stillwurkin Thanks this.
  4. Pedigreed Bulldog

    Pedigreed Bulldog Road Train Member

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    Yup. Use their MC#. As long as you're operating under their authority, you're good to go.
     
  5. Jacoooooooo

    Jacoooooooo Heavy Load Member

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    What if they ask for EIN? Had it happen twice, they asked for a tax number or specifically for ein.
     
  6. tnevin225

    tnevin225 Road Train Member

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    As a sole proprietor leased to a carrier you are not tax exempt. Why come on here just to get a bunch of misinformation, there are plenty of tax professionals out there that can give you the correct info.
     
  7. Rideandrepair

    Rideandrepair Road Train Member

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    I never have, even when purchasing a Truck, wether I’m leased or under my #s. If you don’t have an ein, I’ve used the Carriers mc#, When I probably should have used my ein. I believe ein is optional for interstate commerce and a few other designations on the form, I just filled one out.
     
  8. Jacoooooooo

    Jacoooooooo Heavy Load Member

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    As I said above, I do have EIN.
    Question is if providing EIN when I don’t have transportation authority is a good idea for sales tax exemption?
    I do pay 2290 under this ein.
     
    Last edited: Jul 16, 2019
  9. Expeditor

    Expeditor Medium Load Member

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    As I understand it you must pay tax. Having a ein number does not excemp you from paying tax. If you had a business that resold those items you purchased without paying tax, them you must charge customer then send tax money to state.Example would be if I have my own authority with ein number, go into Sams or Costco and buy items for my self or truck, that is not tax exempt. On the other hand if I own a grocery store and buy items to sell in my store, I would not pay tax to Sams or Costco but I would be required to charge tax from my customers and send that tax to state quarterly.
     
  10. Expeditor

    Expeditor Medium Load Member

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    One other thing, if you are a mechanic you are excemp from paying taxes if that part will be sold to a customer and then you must charge customer tax and send to state.
     
    FlaSwampRat Thanks this.
  11. Jacoooooooo

    Jacoooooooo Heavy Load Member

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    We’re talking about different exemptions.
     
    stillwurkin Thanks this.
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