[accmemberdiscussion] Breeder slapped with nonpayment of sales tax

  • From: Djsdosido@xxxxxxx
  • To: accmemberdiscussion@xxxxxxxxxxxxx
  • Date: Wed, 23 Jun 2010 08:36:24 EDT

Reported on my Scottie list this morning.  Just an FYI as to what  could 
happen in the future should all breeders be forced to get kennel  
licenses..........
 
Donna  & the Dosido Gang
Remlap, Alabama
Visit me at _www.doublenickellife.blogspot.com_ 
(http://www.doublenickellife.blogspot.com/)   and help support the Alabama 
Canine Coalition by 
shopping/searching through  _http://www.goodsearch.com_ 
(http://www.goodsearch.com/) 
 and _http://www.igive.com_ (http://www.igive.com/) 

Every year of  dog love is worth seven years of the human stuff. (Michael 
Rosen) 

Please  pass this information along to whomever you know that is not yet a
member of  IFDCO (Illinois Federation of Dog Clubs and Owners) so that they
will be  informed of this action on the part of our state. I never thought I
would  live so long to see "armed" escorts needed for dog breeders! Even
those  breeders who do not need to be licensed need to have meticulous
records  available in case of an investigation. I also question about the
sales tax  license being for "general merchandise" . If anyone has a CPA or
tax attorney  who can decipher the IL sales tax code please let me know.
IFDCO asked three  different CPA's about this when it first surfaced a few
months ago and  received three different answers. The only common advice for
breeders was to  keep good records.

While this is news for Illinois, those of you in other  states need to be
prepared as well, it's only a matter of time before this  kind of activity
hits your state.
Makes me feel all warm and fuzzy that  our revenue departments and criminal
investigation units have so much extra  time on their hands they can afford
to drive to every dog breeder to  "investigate" and collect sales tax. Craft
fairs, garage sales and lemonade  stands will be next for an armed visit.

Michele Kasten
ILLINOIS  FEDERATION OF DOG CLUBS AND OWNERSLegislative Liaison:
>Belle City Kennel  Club
Schipperke Club of America
Illiana Schipperke Club
Schipperke Club  of Greater St. Louis
GSD Club of Southern Illinois
Midwest Schipperke  Rescue
Schipperke Club of Greater St. Louis, President and Rescue  Chair
President and Co-Founder, Midwest Schipperke Rescue

RESPONSIBLE  BREEDER AND RESCUER, PROUD TO DO BOTH!

Permission to cross  post:

Attention:

It has happened here in Illinois. A Senior  Investigator and her armed 
escort
from the Illinois Department of Revenue  Bureau of Criminal Investigations
has shown up on the door steps of a person  who holds a Kennel License in
Illinois demanding to see their dog sales  records and accusing them of
criminal wrongdoing. The investigator knew  exactly how many dogs this 
person
had sold in the past 36 months. What they  didn't know is that most of the
dogs sold by this individual were sold to out  of state clients, so no sales
tax needed be collected on over 75% of their  dog sales. This is not a puppy
mill operation. This is a breeder of over 30  years who has quality dogs,
shows dogs, and has a boarding kennel. They are  just like you or I. The
Investigator forced this individual to show up in  Springfield, obtain a
sales tax license for the sale of general merchandise  and then proceeded to
go thru their records from the Department of  Agriculture for the past 3
years. By the end of the day, they had to pay all  back sales taxes, fines
and interest on their fines.

>We had heard  last year that the Illinois Department of Revenue had
requested a list of all  individuals who were licensed as dog breeders in 
the
state from the  Department of Agriculture - I guess it is true. This person
was made an  example. They were told that they were being made an example 
and
others would  soon follow.

>A person at the Department of Revenue told this  individual that they had
been instructed to bleed anyone to get money as the  state is so broke.

>What can you do? If someone knocks on your door  and shows you a business
card or a badge, have them wait outside and you  should call your accountant
and or your lawyer. Don't do anything without  legal representation. Think
about only selling your dogs out of state - so  that no sales tax needs to 
be
collected. Once they knock on your door, the  statue of limitations is 3
years that they can request your  records.

Steve Hayden
President, IFDCO


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