Chacha P asked:
Cannot get a straight answer on why. When you purchase something on sale you pay tax on sale amount not the price on pre-sale amount. Arbonne charges you retail tax on bonus products or if the products are discounted. So if you are a wholesale member you will pay tax on retail prices.
Cannot get a straight answer on why. When you purchase something on sale you pay tax on sale amount not the price on pre-sale amount. Arbonne charges you retail tax on bonus products or if the products are discounted. So if you are a wholesale member you will pay tax on retail prices.
October 27th, 2009 at 13:37
You have two choices:
If Arbonne has agreements with each state government, which they should, you can make your claim to Arbonne for any overpaid taxes. I’m sure that you sell wholesale to your downline and then they end-up collecting taxes at the point-of-sale. In this case, you should charge your downline the same taxes you pay, and let them deal with it.
If you sell products at retail for less than the amount that Arbonne computes, then you can make a claim to Arbonne for the difference. This would also apply to items that you consume for personal use or product demonstrations.
If Arbonne requires you to be set-up as a Resale Vendor with your state (I highly doubt that this is the case), then you can claim your refund (if any) with them.
Good luck.
My understanding is that Arbonne is a great company with good potential. I have no ties to them, but I wanted to express this, in case you thought that I might have a bias in either direction.
October 28th, 2009 at 13:53
Taxes vary from state to state, country to country. Here in ND, tax is 6%, but some places it is less. Arbonne doesn’t have control of this- its just the law!
October 28th, 2009 at 15:09
Unless you have your own Sales Tax ID number, Arbonne is required to collect and remit sales taxes on sales. Arbonne then reports on that collected tax and is responsible for forwarding to that state’s taxing authority. Arbonne has to assume that you will be selling those products for their retail price and thus must collect the full tax amount.
IF you did not wish to remit sales tax through Arbonne may obtain, and furnish Arbonne with, a sales tax ID number. In these cases, it becomes your responsibility to collect and remit sales taxes directly to the locality. Contact your local tax authority for information.
Arbonne is trying to simplify the process for consultants so they do not have to track sales tax on their own and have to remit it to their tax authority.