Posted by JD Seller on September 07, 2014 at 11:12:02 from (208.126.198.123):
I am looking at a tractor that is on a dealers lot in Mississippi. The salesman is telling me that I will have to pay sales tax on this tractor unless I have resale tax exempt number. He said even though I lived outside of Mississippi I still had to pay the tax.
I do have a resale tax number as I have to charge sales tax here in Iowa on all lawn an garden transactions and the labor on farm equipment repairs.
Paying sales tax on farm equipment kind of surprised me. Iowa used to charge sales tax on farm equipment but that was dropped in the 1970s if I remember correctly.
The sales tax would add about $1500 to the cost of the tractor. I would think this would be a big disadvantage to selling large equipment across state lines.
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