Tax Exempt for Native Americans

[ltricarico]

I live in New York State and did my first show on the Seneca Reservation. I want to make sure I submit this show correctly. The host and some guests are Native American, some are not. I have the Native American Purchases form that I filled out for all the guests that are Native American.

In P3, for the host I manually set the tax rate to 0%, so then each guest's tax rate defaulted to 0% as well.

The 2 guests that are not Native American are doing direct shipping to their homes (which are not on the Reservation) so their tax rate is set properly for New York State and they are paying tax.

The rest of the guests, who are Native American, are shipping to the host on the Reservation so all have tax rates of 0% (and I have their info on the Native American Purchases form).

I tried to submit the show this morning through P3 (and then I was going to fax in the Native American Purchases form tomorrow morning), but I received an error saying "Error: an order must have a tax rate that is equal to or greater than the tax rate for the state to which the order is shipped", and it won't submit the show.

What am I doing wrong? Can anyone help or provide any insight here?

 

[yankeeinontario]

Call tech support. I'm not sure you can submit this via PP. You may have to phone the order in and do it with a CSR. Good luck!

 

[ChefPeg]

I've never heard of this Native American tax exempt thing, and I'm NA myself! Is this a state-by-state thing or something else? I don't believe we have this in Alaska.

 

[nikked]

I don't know how it works, but I know here in NM, there are Native American lands all around, and my SD does a lot of shows with them. There is always paperwork to be filled out.

 

[Sheila]

Page 7 of the policy guide:

Tax on Native American Reservation Orders

Sales tax must be remitted with the order. To be eligible for a sales tax refund, the customer must be a member of a Native American tribe and the products have been shipped to a Native American reservation. States that have Native American reservations, issue all members of a tribe identification showing they are a member of a Native American tribe.

To request a refund on taxes paid, the customer must submit a Native American Tax Reimbursement form available at [pamperedchef.com] See above section for additional details.

And the "above section" (which starts on page 6 of the policy guide) reads:

TAX-EXEMPT ORDERS

Sales tax must be remitted with the order and will be reimbursed when all documentation is received and validated by the Solution Center. If a sales tax-exempt organization is purchasing products, follow these steps:
• Calculate sales tax based on where the products are being shipped.
• Scan and email or fax a copy of the organization’s tax-exempt certification or letter issued by the State Taxing Authority, confirming their tax-exempt status. The tax-exempt number alone is not sufficient.
• Submit to the Home Office for reimbursement. Reimbursement will be issued based on the original method of payment. In the case of check or cash paid to the Consultant, a refund check will be issued.
• Individual members of an organization may not claim tax-exempt status at Fundraiser Shows. All individuals must pay sales tax. See Fundraiser Shows for additional details.

 

[scottcooks]

Scroll down on Consultant's Corner "downloads" and you'll see the form. You then get each person's tribal ID number and include it on the form with their name. Your name as consultant and your consultant number, plus host's name and show number.Fax, PDF or send it to PC (HO gives you the numbers) and you're good to go. If you don't complete this before you send the show in, they take the taxes out of your commission, then pay you back consequently.I do shows for members of the Chehalis tribe in WA and it's not a difficult process. Good luck!