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kai2k1

Sales Tax on jumps WTF???

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I couldnt believe what i heard at the DZ today...

It seems that the wonderful state of Missouri has instituted a sales tax on skydiving saying it is classified as a recreational/amusement activity and is subject to the 7.45% sales tax.

I think this is the biggest bunch of BS that has ever been established. I could see it for tandems or AFF jumps but essentially aren't we as experienced jumpers, jumping our own equipment which we have already paid tax on just renting space on the plane and covering the cost of fuel which is already $2.85 a gallon for AV gas???

I know the DZ's are just doing what they are told to do by the state. I was just shocked when i put $40.00 in my account and had to pay $42.99 since some jackoffs in Jefferson city dont see it as we do. What's next? Personal property tax on your rig??

Do you have to pay sales tax on jumps anywhere else in the US?

There's no truer sense of flying than sky diving," Scott Cowan

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Yikes! First I've heard of it.

Skydiving is a sport - trust the morons in the "show me state" government to screw it up. **shaking head**
Life is short! Break the rules! Forgive quickly! Kiss slowly! Love truly, Laugh uncontrollably. And never regret anything that made you smile.

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That's bullshit, sorry to hear that!

I didn't know there were enough skydivers in Missouri for this to effect their tax base substantially. Why don't they put a special tax on Golf instead? That sounds like a better idea to me.

We aren't paying sales tax on jumps in florida, yet, but with Dubya's little bro as our govenor, I'm sure that it will happen any day now. ;)
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I'm trying to find the regulations under the missouri tax code, but its buried somewhere. I did see the form that was sent to all Missouri DZ's saying it is taxable. I wish i could find it, even google cannot find this one.

There's no truer sense of flying than sky diving," Scott Cowan

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Luckily, here in OK, labor can't be taxed. And that's essentially what the flight to altitude is, paying for someone's labor to get you into the air.

Of course, now they'll probably try to loophole it as an "airline passenger" tax or something if they tried to do that here.[:/]
Sky, Muff Bro, Rodriguez Bro, and
Bastion of Purity and Innocence!™

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I'm trying to find the regulations under the missouri tax code, but its buried somewhere. I did see the form that was sent to all Missouri DZ's saying it is taxable. I wish i could find it, even google cannot find this one.


If you could get your dzo to scan it as a pdf file and pm it to me I'd really like to see it.

Edit: You probably won't find what you are looking for in the tax code. It is likely to be found in tax law.

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It seems that the wonderful state of Missouri has instituted a sales tax on skydiving saying it is classified as a recreational/amusement activity and is subject to the 7.45% sales tax.



Sounds like that much more a reason to jump at Archway. ;)



I got a strong urge to fly, but I got no where to fly to. -PF

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What if you bought your jump tickets over the internet from a out of state middle man that allowed you to pay with a Credit card and sent you a lift ticket in the mail for the local DZ.

Would you still have to pay sales tax.:S

:o[:/]:S:P:D:D:D.

Middle man could be located and bonded in Nigeria.

R.I.P.

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i put $40.00 in my account and had to pay $42.99

What is this world coming to. That extra $2.99 could have bought you a beer. First the price hike on jump tickets and now there taking our beer money for taxes. Were all going to be so broke we will have to start brewing our own since we can no longer a ford to buy it.


CSA #699 Muff #3804

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[sarcasm]
Ahhh, isn't it wonderful that skydiving is commercialized now to the point where the government is taking notice? Isn't it wonderful how people can actually (sort of) make a living as instructors, etc.?
[/sarcasm]

Well, we asked for it! By "we" I mean the "industry". We saw that growth of skydiving in the 90's and got dollar signs in our eyes, started taking celebrities on skydives, started putting up billboards showing the general public how "big" and professional we are.

And when you are big and professional you make a lot of money, right? So a tax (or tax to pass on to your customers) is no deal deal, right?

Plus, those Tandem jumps are just a "ride" aren't they?

(This is something for us to all remember when we take people on those Tandem carnival rides. It only takes a small change of verbiage to get the attention of the government.)

Maybe we had better stick to calling it "instruction" in a "sport" huh?

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[sarcasm]
Ahhh, isn't it wonderful that skydiving is commercialized now to the point where the government is taking notice? Isn't it wonderful how people can actually (sort of) make a living as instructors, etc.?
[/sarcasm]

Well, we asked for it! By "we" I mean the "industry". We saw that growth of skydiving in the 90's and got dollar signs in our eyes, started taking celebrities on skydives, started putting up billboards showing the general public how "big" and professional we are.

And when you are big and professional you make a lot of money, right? So a tax (or tax to pass on to your customers) is no deal deal, right?

Plus, those Tandem jumps are just a "ride" aren't they?

(This is something for us to all remember when we take people on those Tandem carnival rides. It only takes a small change of verbiage to get the attention of the government.)

Maybe we had better stick to calling it "instruction" in a "sport" huh?



My thougths 100%.

We asked for it, now we got it.
"No free man shall ever be debarred the use of arms." -- Thomas Jefferson, Thomas Jefferson Papers, 334

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My thougths 100%.

We asked for it, now we got it.



Yup, exactly.

There's a couple of DZs fighting this in TX right now and quite honestly it pisses me off that other DZs have been attacked and they just took it instaed of fighting it. Now that makes it harder for the rest of the DZs around the country to fight it.

Thank's for fucking it up for everyone else guys.

In TX they (tax folks) are stating that we fall under the same tax laws as amusement parks, which we don't and that tandems and all video sales should be taxed as such. That will effectively double the price of both of those. They go on to compare non-aff jumps as the same and want to tax similarly. Which will effectively double lift ticket prices.

Thus far, as far as I've been able to keep up with it, the DZ involved with this is doing well in the fight against it. We've got to keep our fingers crossed that other DZs don't just buckle to it, since every time someone just says "ok, well that sucks, but we have to do it" it sets a standard that we have to fight against.

Tell your DZOs not to give in to this bullshit!
--"When I die, may I be surrounded by scattered chrome and burning gasoline."

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I'm taking up hang gliding again. Skydiving is just getting too expensive to do on a regular basis. Hang gliding only costs the money it takes to get up the hill... Let's see here... $2 in gas to get up the hill, divided by 4 pilots in the car, multiplied by 4 hours in the air.... Hmmmm... Verne! You're gonna save twenty thousand dollars on a fifteen hundred dollar glider! I don't know how them boys stay in business...
Green Light
"Harry, why did you land all the way out there? Nobody else landed out there."
"Your statement answered your question."

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Hm, how do you come up with "double" lift ticket prices?????
In Denmark we have the highest sales tax (I think) in the world 25%, and that is far from doubling the price.

It is ok that you whine a bit, but please be serious.

Jacques

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In TX they (tax folks) are stating that we fall under the same tax laws as amusement parks, which we don't and that tandems and all video sales should be taxed as such. That will effectively double the price of both of those. They go on to compare non-aff jumps as the same and want to tax similarly. Which will effectively double lift ticket prices.

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I couldnt believe what i heard at the DZ today...

It seems that the wonderful state of Missouri has instituted a sales tax on skydiving saying it is classified as a recreational/amusement activity and is subject to the 7.45% sales tax.

I think this is the biggest bunch of BS that has ever been established. I could see it for tandems or AFF jumps but essentially aren't we as experienced jumpers, jumping our own equipment which we have already paid tax on just renting space on the plane and covering the cost of fuel which is already $2.85 a gallon for AV gas???

I know the DZ's are just doing what they are told to do by the state. I was just shocked when i put $40.00 in my account and had to pay $42.99 since some jackoffs in Jefferson city dont see it as we do. What's next? Personal property tax on your rig??

Do you have to pay sales tax on jumps anywhere else in the US?



At a commercial DZ you buy a service (the lift to altitude) and of that transaction you pay sales tax. What is the problem? everyone seems to want skydiving to be as commercial as possible, so now you have it, but you don't like to have what comes with it. It sounds like whining to me.
However, in a skydiving club it is a completely different matter.

Jacques

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For the most part in the US, we pay taxes on goods, not services. If your car is worked on, you're only taxed on parts, for example.

I've noticed in CA that videos are getting taxed, but not tandems. Not sure why that would be - perhaps that you get a disc as the end result makes it a good.

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we've paid 17.5% on pretty much everything, including EVERYTHING skydiving related, in the UK for almost ever. now that sucks...:P
Phoenix Fly - High performance wingsuits for skydiving and BASE
Performance Designs - Simply brilliant canopies

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Hm, how do you come up with "double" lift ticket prices?????
In Denmark we have the highest sales tax (I think) in the world 25%, and that is far from doubling the price.

It is ok that you whine a bit, but please be serious



I am serious and that is what I have been informed as to what is going on.

I'm not the type of person to blow smoke up your ass, I'm telling you the truth.

So quit doubting and judging a situation that's not even in your country.
--"When I die, may I be surrounded by scattered chrome and burning gasoline."

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17.5% on pretty much everything,



And hence socialized health care....which we don't have here....ya pay extra here and there...we pay extra here and there...just all in different places...

Marc
otherwise known as Mr.Fallinwoman....

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Hm, how do you come up with "double" lift ticket prices?????
In Denmark we have the highest sales tax (I think) in the world 25%, and that is far from doubling the price.

It is ok that you whine a bit, but please be serious



I am serious and that is what I have been informed as to what is going on.

I'm not the type of person to blow smoke up your ass, I'm telling you the truth.

So quit doubting and judging a situation that's not even in your country.



Oh dear, I am not judging you at all (just being mildly amused at your expense). I am just questioning how 7.45% can manage to double the price. If that makes sense to you I would love to hear it. If it really manages to add up to doubling the price, there is something totally messed up in the US tax system.
If it is a simple 7.45% added to the price and not 100%, I would like to repeat that you whine.

Jacques

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>It seems that the wonderful state of Missouri has instituted a sales tax
>on skydiving saying it is classified as a recreational/amusement activity
> and is subject to the 7.45% sales tax.

>I think this is the biggest bunch of BS that has ever been established.
>I could see it for tandems or AFF jumps but essentially aren't we as
> experienced jumpers . . .

. . . . just doing it for recreation? Yep.

>jumping our own equipment which we have already paid tax on . . .

?? I paid sales tax on my car. Does that mean I shouldn't have to pay gas taxes, or tolls, or registration fees?

> just
>renting space on the plane and covering the cost of fuel which is already
>$2.85 a gallon for AV gas???

I bet if your DZO declared himself a nonprofit business he could get a break on the sales tax.

>Personal property tax on your rig??

Skydiving - mainstream, not extreme! The dream of many is now becoming a reality. People are starting to see skydiving as a mainstream sport. That means more coverage in the news, more use of skydiving material in the media, more attention from rulemakers and more attention from politicians. If it's really as mainstream as, say, scuba diving, why shouldn't a skydive be taxed like a dive trip?

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