Sales Tax as a Vendor at Card Shows

OverstockDistri · 08-14-2025, 05:50 PM

I get it, most dealers/vendors likely aren't paying sales tax and are cash only. However, does anyone know the correct way sales tax is handled for those of us who are legit and put sales on the record?

I've had horrible experiences with CPA's messing up my returns, so choose to use Turbo Tax on my own now, so sadly asking an accountant isn't the easiest choice.

Large shows give sales tax forms. If you sell 10k at the National in Rosemont, the form would say you likely owe $1,000+ (10%+). Even if you took that $10k sale and bought and then sold another $10k, now you owe $2k because you did $20k in sales.

I just feel this is wrong and I'm screwing myself paying it. In reality if a seller doesn't charge sales tax, a buyer is supposed to report that on their end of year returns and pay "use tax." I bet there even are a few that do that, so it's ridiculous that I'm paying it as well.

There has to be something wrong with my thinking since some dealers claim to pay 90% of comps.. unless truly the vast majority simply are never paying sales tax or those selling tens/hundreds of thousands are simply lying saying they sold $1k and paying $100.

Thank you

PS: I'm a registered S-Corp (which is similiar to an LLC).

Budler · 08-15-2025, 05:07 PM

Over all the years of collecting and little selling off of the leftovers. I have found out you have to find the correct CPA to do your taxes when dealing with a S-Corp or LLC vs personal taxes.

1. Do your prices include the taxes or do you collection the taxes after the sell price??

2. So if you collect them after the sell (10K) you should show a sale of 10K plus collecting of 1K for sales taxes. You should have 11K in your pocket. You do not pay taxes on the money you collected as taxes.

3. If your sale tax is in the price. You do not really sell 10K more like 9.2K the rest was tax money.

4. As a business you should have a sales tax-exempt number, so you do not pay sales taxes on stuff you plan on reselling. This is where it gets hard and need to keep very good records.

5. As far as sales taxes it does not matter where you got the 10K for the second 10K of sales. You still had 20K of sales.

6. When you are talking about the buyer paying the use tax does not deal with most buyers only the ones that resell those cards again the tax exception number. User tax deals with income taxes not sales taxes. Why you need a good CPA who deals with this type of stuff.

7. As a business you can write off a lot of stuff BUT you do have to make a profit now and then or the IRS see it as a hobby making an income.

8. Yes there are a lot of people not being trueful about the way they are doing the buying and selling of cards. Up until a few years ago states never pay attention to sales taxes of cards or some other stuff. Just a few years ago you never paid taxes on stuff over the internet. Again some companies have their taxes included in the price.

auctionjmm · 08-19-2025, 10:03 AM

Here in Ohio we pay monthly, so saving anything for the end of the year isn't an option. Since I have an Ohio vendor's license, I get a reminder once per month to file my sales tax return. Even if I do zero shows in a month, I still have to file a return for 0.

So, for me personally, I pay what I owe. I'd rather be honest about cash sales and have a paper trail than to claim 0 every month and have someone wondering why I paid for a vendor's license in the first place.

Your 10k/20k example is irrelevant to SALES TAX. Sales tax is a tax on sales no matter how many times you reinvest the money into inventory. It's not the same as income tax which is a tax on profits.

f2tornado · 08-19-2025, 11:55 AM

Quote:

Originally Posted by OverstockDistri

Even if you took that $10k sale and bought and then sold another $10k, now you owe $2k because you did $20k in sales.

This is correct. Each retail sale is subject to sales tax. Your first $10k sale is subject to sales tax along with the second. Two retail sales = two taxable events. It's just a matter of if you're including tax in the sticker price or charging it in addition. Your acquisition of the cards would be sales tax exempt assuming you have a tax permit in that state.

Not to be confused with COGS for income tax purposes where the amount of money you invested in the product sold is generally deducted from your gross receipts on the Schedule C.

boxbuster7 · 08-19-2025, 04:33 PM

if you go to a yard sale they aren't charging sales tax

most people I've done business with at shows do not collect it. I was always under the impression that if it didn't come from a hobby shop the dealers don't have to collect it.

But who knows. And honestly the irs isn't going to come after you over a few hundred bucks.

If you're selling millions a year sure collect it. But anything less is a waste of time and resources imo.

glen87 · 08-19-2025, 04:43 PM

Quote:

Originally Posted by boxbuster7

if you go to a yard sale they aren't charging sales tax

most people I've done business with at shows do not collect it. I was always under the impression that if it didn't come from a hobby shop the dealers don't have to collect it.

But who knows. And honestly the irs isn't going to come after you over a few hundred bucks.

If you're selling millions a year sure collect it. But anything less is a waste of time and resources imo.

many states do not require sales tax on yard sales at all

theshowandme · 08-19-2025, 06:40 PM

Quote:

Originally Posted by OverstockDistri

I just feel this is wrong and I'm screwing myself paying it.

Budler · 08-20-2025, 01:56 PM

[QUOTE=boxbuster7;19996663]if you go to a yard sale they aren't charging sales tax. In my town you are allowed 6-yard sales per year. They enforce it very hard. If you have more you need a business license and have to fill out sales tax forms ever month. A couple of people I know had to pay fines. My one boss made no money one month and did not send in his sales tax form and got fine for it.

most people I've done business with at shows do not collect it. I was always under the impression that if it didn't come from a hobby shop the dealers don't have to collect it. By fine print of the law you are to show and pay taxes (both income and sales) on anything you sell, no matter who you are. True most dealers do not collect sales tax at shows but that does not mean they should not have. tax in the price.

But who knows. And honestly the irs isn't going to come after you over a few hundred bucks. The IRS come after my dad for $500 and my neighbor for $375 they were one of the few.

If you're selling millions a year sure collect it. But anything less is a waste of time and resources imo.[/ So if I sell $900,000.00 I do not need to worry??? I believe most of small sellers of cards do not really understand what it takes to run a real business. It is just not putting cards on E-Bay and getting the money.

He has a business, and he stated "those of us who are legit" Very few are completely legit.

There are 2 types of taxes noted here. State Sales tax and income tax he is talking only about sales tax.

IRS has nothing to do with Sales tax only the state/county/city in most states.

Crosby 87 · 08-20-2025, 02:01 PM

Consult TurboTax not a Blowout accountant

f2tornado · 08-20-2025, 02:25 PM

Quote:

Originally Posted by glen87

many states do not require sales tax on yard sales at all

Most, and perhaps all, states have an "occasional" sales exemption for the one or two-off garage sale. I was able to set up at my first card show a long time ago under this exemption but the promoter told me I'd need the tax permit to set up monthly. Consult your state lawbook for specifics. Odds are, if you're in the general business, you'll need the tax permit and would report card show receipts. I am starting to see more dealers take good sales notes and even take photos of the items for their records.

Quote:

Originally Posted by Crosby 87

Consult TurboTax not a Blowout accountant

Not so sure TurboTax is gonna help much with state sales taxes. Point should be taken though. Every state has different regs and rates... but I'm supremely confident a sale of $10k and a subsequent sale of $10k are both sales taxable events in the normal course of business. The state tax collector doesn't give two squats how you paid for the item to sell it. A sale is a sale.

boxbuster7 · 08-20-2025, 02:52 PM

[QUOTE=Budler;19997529]

Quote:

Originally Posted by boxbuster7

if you go to a yard sale they aren't charging sales tax. In my town you are allowed 6-yard sales per year. They enforce it very hard. If you have more you need a business license and have to fill out sales tax forms ever month. A couple of people I know had to pay fines. My one boss made no money one month and did not send in his sales tax form and got fine for it.

most people I've done business with at shows do not collect it. I was always under the impression that if it didn't come from a hobby shop the dealers don't have to collect it. By fine print of the law you are to show and pay taxes (both income and sales) on anything you sell, no matter who you are. True most dealers do not collect sales tax at shows but that does not mean they should not have. tax in the price.

But who knows. And honestly the irs isn't going to come after you over a few hundred bucks. The IRS come after my dad for $500 and my neighbor for $375 they were one of the few.

If you're selling millions a year sure collect it. But anything less is a waste of time and resources imo.[/ So if I sell $900,000.00 I do not need to worry??? I believe most of small sellers of cards do not really understand what it takes to run a real business. It is just not putting cards on E-Bay and getting the money.

He has a business, and he stated "those of us who are legit" Very few are completely legit.

There are 2 types of taxes noted here. State Sales tax and income tax he is talking only about sales tax.

IRS has nothing to do with Sales tax only the state/county/city in most states.

Are you trying to make my eyes bleed?

Budler · 08-20-2025, 03:19 PM

[QUOTE=boxbuster7;19997582]

Quote:

Originally Posted by Budler

Are you trying to make my eyes bleed?

I thought about doing it in blue so you would be blue eyed. but being a Nebraska Husker fan it is Go Big Red.

checkoutmydeals · 08-20-2025, 03:49 PM

My input, as a random guy on the internet. Most of this has probably been said previously in this thread.

* Sales tax is not income tax. Turbo Tax is for paying income tax, not sales tax.

* Sales tax is local, not national (yet). You remit it on the state level, and in some instances, on the city level and in some rare cases the county level.

The way sales tax is supposed to work:

* You get a sales tax license in the venue where you wish to conduct business.

* You collect sales tax from your customers when you sell them taxable items.

* You send the money you collected to the taxing authority.

* If you don't collect the money from your customers, or collect less than the sale should generate, then you are responsible for sending it in.

* You have to send in ALL of the sales tax money you collected, even if you accidentally overcharged your customers too much tax. If you collect more than you were supposed to, you still have to send in all of the money you collected.

* Some venues do not require sales tax to be collected on used items, or they might have different sales tax on different items.

* If you are buying for resale, you can sometimes provide your sales tax number to the person who is selling to you and not pay sales tax. For example, if you buy $1,000 worth of new card boxes from a store, and you have a sales tax number on file with that store, then you might be able to buy those items without paying sales tax, and then the store doesn't have to remit your tax if they file the relevant paper work.

* If you are buying off the street at a show, you can reasonably make the claim that you are buying for resale and don't have to pay sales tax on that purchase.

* If someone buys from you for resale, and presents a resale license, and if you are willing, you can take the number down and file it when you pay the tax. For instance, you would declare that you had $1,000 in sales to ABC Card Dork whose sales tax license is XYZPDQ42069, and then you don't have to remit the $0 you didn't collect.

08-14-2025, 05:50 PM	#1
OverstockDistri Member Join Date: Sep 2024 Posts: 6	Sales Tax as a Vendor at Card Shows I get it, most dealers/vendors likely aren't paying sales tax and are cash only. However, does anyone know the correct way sales tax is handled for those of us who are legit and put sales on the record? I've had horrible experiences with CPA's messing up my returns, so choose to use Turbo Tax on my own now, so sadly asking an accountant isn't the easiest choice. Large shows give sales tax forms. If you sell 10k at the National in Rosemont, the form would say you likely owe $1,000+ (10%+). Even if you took that $10k sale and bought and then sold another $10k, now you owe $2k because you did $20k in sales. I just feel this is wrong and I'm screwing myself paying it. In reality if a seller doesn't charge sales tax, a buyer is supposed to report that on their end of year returns and pay "use tax." I bet there even are a few that do that, so it's ridiculous that I'm paying it as well. There has to be something wrong with my thinking since some dealers claim to pay 90% of comps.. unless truly the vast majority simply are never paying sales tax or those selling tens/hundreds of thousands are simply lying saying they sold $1k and paying $100. Thank you PS: I'm a registered S-Corp (which is similiar to an LLC). Last edited by OverstockDistri; 08-14-2025 at 05:54 PM.

08-15-2025, 05:07 PM	#2
Budler Member Join Date: Aug 2014 Location: Longmont, Co Posts: 1,512 budler	Over all the years of collecting and little selling off of the leftovers. I have found out you have to find the correct CPA to do your taxes when dealing with a S-Corp or LLC vs personal taxes. 1. Do your prices include the taxes or do you collection the taxes after the sell price?? 2. So if you collect them after the sell (10K) you should show a sale of 10K plus collecting of 1K for sales taxes. You should have 11K in your pocket. You do not pay taxes on the money you collected as taxes. 3. If your sale tax is in the price. You do not really sell 10K more like 9.2K the rest was tax money. 4. As a business you should have a sales tax-exempt number, so you do not pay sales taxes on stuff you plan on reselling. This is where it gets hard and need to keep very good records. 5. As far as sales taxes it does not matter where you got the 10K for the second 10K of sales. You still had 20K of sales. 6. When you are talking about the buyer paying the use tax does not deal with most buyers only the ones that resell those cards again the tax exception number. User tax deals with income taxes not sales taxes. Why you need a good CPA who deals with this type of stuff. 7. As a business you can write off a lot of stuff BUT you do have to make a profit now and then or the IRS see it as a hobby making an income. 8. Yes there are a lot of people not being trueful about the way they are doing the buying and selling of cards. Up until a few years ago states never pay attention to sales taxes of cards or some other stuff. Just a few years ago you never paid taxes on stuff over the internet. Again some companies have their taxes included in the price. __________________ Looking for ALL players from Nebraska. Pro/College uniforms (mainly ones I do not have)

08-19-2025, 04:33 PM	#5
boxbuster7 Member Join Date: Aug 2016 Posts: 12,043 boxbuster777	if you go to a yard sale they aren't charging sales tax most people I've done business with at shows do not collect it. I was always under the impression that if it didn't come from a hobby shop the dealers don't have to collect it. But who knows. And honestly the irs isn't going to come after you over a few hundred bucks. If you're selling millions a year sure collect it. But anything less is a waste of time and resources imo. __________________ Psa 9 > psa 10

08-20-2025, 01:56 PM	#8
Budler Member Join Date: Aug 2014 Location: Longmont, Co Posts: 1,512 budler	[QUOTE=boxbuster7;19996663]if you go to a yard sale they aren't charging sales tax. In my town you are allowed 6-yard sales per year. They enforce it very hard. If you have more you need a business license and have to fill out sales tax forms ever month. A couple of people I know had to pay fines. My one boss made no money one month and did not send in his sales tax form and got fine for it. most people I've done business with at shows do not collect it. I was always under the impression that if it didn't come from a hobby shop the dealers don't have to collect it. By fine print of the law you are to show and pay taxes (both income and sales) on anything you sell, no matter who you are. True most dealers do not collect sales tax at shows but that does not mean they should not have. tax in the price. But who knows. And honestly the irs isn't going to come after you over a few hundred bucks. The IRS come after my dad for $500 and my neighbor for $375 they were one of the few. If you're selling millions a year sure collect it. But anything less is a waste of time and resources imo.[/ So if I sell $900,000.00 I do not need to worry??? I believe most of small sellers of cards do not really understand what it takes to run a real business. It is just not putting cards on E-Bay and getting the money. He has a business, and he stated "those of us who are legit" Very few are completely legit. There are 2 types of taxes noted here. State Sales tax and income tax he is talking only about sales tax. IRS has nothing to do with Sales tax only the state/county/city in most states. __________________ Looking for ALL players from Nebraska. Pro/College uniforms (mainly ones I do not have) Last edited by Budler; 08-20-2025 at 02:00 PM.

08-19-2025, 10:03 AM	#3
auctionjmm Member Join Date: Jul 2010 Location: Cleveland, OH Posts: 9,874 auctionjmm	Here in Ohio we pay monthly, so saving anything for the end of the year isn't an option. Since I have an Ohio vendor's license, I get a reminder once per month to file my sales tax return. Even if I do zero shows in a month, I still have to file a return for 0. So, for me personally, I pay what I owe. I'd rather be honest about cash sales and have a paper trail than to claim 0 every month and have someone wondering why I paid for a vendor's license in the first place. Your 10k/20k example is irrelevant to SALES TAX. Sales tax is a tax on sales no matter how many times you reinvest the money into inventory. It's not the same as income tax which is a tax on profits.

08-20-2025, 02:01 PM	#9
Crosby 87 Member Join Date: Jul 2021 Posts: 3,299	Consult TurboTax not a Blowout accountant

08-20-2025, 03:49 PM	#13
checkoutmydeals Member Join Date: Apr 2010 Location: USA Posts: 3,038 king-collect checkoutmydeals	My input, as a random guy on the internet. Most of this has probably been said previously in this thread. * Sales tax is not income tax. Turbo Tax is for paying income tax, not sales tax. * Sales tax is local, not national (yet). You remit it on the state level, and in some instances, on the city level and in some rare cases the county level. The way sales tax is supposed to work: * You get a sales tax license in the venue where you wish to conduct business. * You collect sales tax from your customers when you sell them taxable items. * You send the money you collected to the taxing authority. * If you don't collect the money from your customers, or collect less than the sale should generate, then you are responsible for sending it in. * You have to send in ALL of the sales tax money you collected, even if you accidentally overcharged your customers too much tax. If you collect more than you were supposed to, you still have to send in all of the money you collected. * Some venues do not require sales tax to be collected on used items, or they might have different sales tax on different items. * If you are buying for resale, you can sometimes provide your sales tax number to the person who is selling to you and not pay sales tax. For example, if you buy $1,000 worth of new card boxes from a store, and you have a sales tax number on file with that store, then you might be able to buy those items without paying sales tax, and then the store doesn't have to remit your tax if they file the relevant paper work. * If you are buying off the street at a show, you can reasonably make the claim that you are buying for resale and don't have to pay sales tax on that purchase. * If someone buys from you for resale, and presents a resale license, and if you are willing, you can take the number down and file it when you pay the tax. For instance, you would declare that you had $1,000 in sales to ABC Card Dork whose sales tax license is XYZPDQ42069, and then you don't have to remit the $0 you didn't collect.