Taxpayer's Antique Cars Subject to Use Tax in Washington

Monday, April 7th, 2014

 
 
Share
Link
Washington
General

The Washington Department of Revenue recently released a determination that a taxpayer's use of antique cars was subject to tax.

The taxpayer purchased two antique cars. Both cars were delivered to the taxpayer in Washington. The taxpayer had the first car inspected and serviced in Washington. He then displayed the car at events both inside and outside Washington. The taxpayer had the second car inspected and repaired in Washington and then shipped it out of Washington. The taxpayer later traded the second car to someone outside Washington.

Washington use tax applies to the use of tangible personal property in Washington. "Use" is an act by which a taxpayer takes or assumes dominion or control over the property.

The Department of Revenue decided that the taxpayer used the cars in Washington before sending them out of state. The taxpayer exercised dominion and control over the cars by having them inspected and serviced in Washington. It did not matter that the taxpayer likely did not drive the cars in Washington. Any act of dominion or control over property was enough to create use tax liability.

http://dor.wa.gov/Docs/Rules/wtd/2014/33_WTD_40.pdf


About TTR

Transaction (buying or selling things), Tax (the tax on this activity), Resources (our people, our website, our support services) - TTR, Inc.

TTR has a website that companies subscribe to and use daily. This website provides a list of everything that can be bought or sold in the U.S. It provides simple answers to whether buying or selling these items is taxable (subject to a sales tax or other tax), and it provides all the legal authority to support these tax answers.

TTR likes to keep things simple and fun, which is why it has great people who provide help to clients on any support questions they have about transaction tax issues.

Please visit TTR on the web at www.ttrus.com or call 866.578.8193.

Marketplace Facilitators of Software Products to be...

Friday, March 15th, 2019 -The Commissioner of Taxation and Finance in New York released an advisory opinion that determined third partie...

Arkansas Rules on Taxability of Repairs and Labor Related...

Wednesday, March 13th, 2019 -The Arkansas Department of Finance and Administration recently released an administrative decision addressing ...

Studio Room Rental for Photography Sessions is Subject to...

Wednesday, March 6th, 2019 -The Missouri Department of Revenue (DOR) has released a letter ruling addressing the taxability of studio room...

Unprocessed Sand Not Taxable in Texas

Monday, March 4th, 2019 -The Texas Comptroller recently released a private letter ruling that found the mining and selling of unprocess...

California to Require Additional Registration and...

Friday, March 1st, 2019 -California recently released a special notice for out-of-state retailers who are required to register with the...

Guided Hunting and Fishing Trips are Taxable in Washington

Wednesday, February 27th, 2019 -The Washington Department of Revenue recently published guidance stating that guided hunting and fishing trips...