Frugal Florida Divers

[tekkydiver]

Always reading threads about how to save money diving in S. FL.

Just back from picking up tanks and had to wait behind a guy complaining that there shouldn't be sales tax on tank fills. "Your're Just Repackaging Room Air!" was his arguement. LOL

 

[iamrushman]

too funny.....

 

[Bob DBF]

Could be he has an issue with the interpretation of applying sales tax to that service. I don't know whether the service is actually taxable under Fl tax code, as it as convoluted as most. Out here in CA, I have run across a few places collecting state tax when they shouldn't.

Repackaging room air is a service not a product.


Bob

 

[kelemvor]

Always reading threads about how to save money diving in S. FL.

Just back from picking up tanks and had to wait behind a guy complaining that there shouldn't be sales tax on tank fills. "You're Just Repackaging Room Air!" was his argument. LOL

I am pretty sure I've never been charged tax on fills in FL. I think it's a service rather than goods, most services aren't supposed to be subject to tax in Florida. There are a few exceptions, such as repair services on tangible personal property. That would include scuba equipment repairs if the repairs included replacing any part (such as an O-ring).

That said, I don't think I'd bother arguing with a shop over 7% tax on something that was what.. $5?

 

[Johnoly]

....Repackaging room air is a service not a product.....

I can't find the actual letter but it was one time addressed by FL-DOR. Lots of legaleze and examples (like haircuts) but the funniest and most compelling statement was:

If the customer brought their "own air" into the shop to be compressed, then it would be considered a service.

So how big is an 82 cubic foot balloon, LMAO !!!

 

[Trace Malinowski]

I needed a laugh.

 

[Divin'Papaw]

The shops I use charge tax down here on fills. I've never given it a second thought. I am clearly buying breathable gas that I didn't possess previously so I guess I expect it would be taxed. I'm also not one of the uber-penny-pincher types and wouldn't ever have thought to ask the question.

 

[Bob DBF]

If the customer brought their "own air" into the shop to be compressed, then it would be considered a service.

Ya got to love it. Now I have to work on a way to take advantage of the private ownership of the atmosphere.

Heinlein would love it.


Bob

 

[kelemvor]

I'm also not one of the uber-penny-pincher types and wouldn't ever have thought to ask the question.

That's where I'm at on the issue. We're talking about 35 cents in tax for a $5 fill. Maybe 70 cents if the shop is charging a high price for an air fill.

 

[Jonny Wishbone]

Its not like its a 100% profit. Theres compressor maintenance, filter replacement or the materials to repack them, theres electricity, Captain Clerk filling your tank dont work for free and then there is liability insurance the shop has to have. Uncle Sam gotta get a piece of the pie. How about this; the shop buys filters, compressor oil, filter media, fittings and adaptors to put it all together right. When the shop buys these things, they pay sales tax on the goods they buy. Then they use it to put together a service like filling your tank where Uncle Sam charges you sales tax again. So the shop passes the first tax along to you in their airfill price and then you pay more tax on the final sale of your airfill. Uncle Sam's hand goes deeper in your pocket than you think.....