Evening star., 1947-07-03
Star Staff Photo.

the part OF a washington business
man to collect a use tax on mer-
chandise sold to a Maryland con-
sumer?
A. All I can do is read you the
use tax law, under which any one
selling tangible personal property
for use or storage in Maryland
without a license is subject to fine
of from $25 to $1OO.
@. I operate mems clothing
store in Washington. Do I register
with the State controllers office in
Baltimore and collect the use tax
on goods I sell to Maryland buyers?
A. We hope so. But if John
Doakes walks into your store and
buys a suit and tells you to ship it
to him and you ship it by common
carrier, all we can do is look up
John Doakes and try to get the
use tax from him.
@. Suppose a Washington store
keeper makes a sale to a District
resident but the goods are delivered
to the customers friend or relative
in Maryland, are they taxable?
A. Yes.
@. If customer lives in WASH
ington at the time he buys an article
in a District store but moves to
Maryland before delivery is made
and final payment is received, is
the article subject to the use tax?
A. I suppose you mean a situation
in which the buyer pays $50 down on
a 5000 article while living in Wash
ington and pays the remainder
after moving to Maryland and ac-
cepting delivery there. If that is
true, then the article is subject to
the use tax and the storekeeper must
collect it on delivery.
@. If I take an order for land
scaping work in the District and the
material comes from Maryland, is
that subject to the sales tax? 9,
A. No. There is no tax unless the
purchaser actually takes possession
of the materials in Maryland.
@. If we sell merchandise to
Maryland for resale there by a
dealer, must we get resale Ger
tificate from the dealer each time
we make sale?
A. A blanket certificate will be
sufficient. Each time the dealer
orders from you, he will repeat the
of the certificate. When
the dealer sells the material to the
consumer, he will collect the tax.
@. I am in the wholesale distri-
button of newspapers and magazines.
You mention that newspaper sub
scriptions are exempted from the
sales tax. Are magazines also ex-
A. Sale of magazines on news
stands are taxable. In supplying
as a wholesaler, you
don't collect the tax since you are
selling for resale.
@. Are sales to the Federal Gov
ernment taxable?
A. No.
@. Are deposits on soft drink or
beer bottles taxable?
A. No.
@. Are sales to the University of
Maryland or to Maryland or any
of it's counties taxable?
A. No.
G. I am a subcontractor and buy
material in Washington for con-
struction in Maryland Do 1 pay the
use tax or does the man for whom
the work is done?
A. If you are doing the job on
lump sum basis, you are considered
the consumer and you pay the tax
@. If some one buys a hot dog at
an amusement park and walks away
to eat it, is that considered pur-
chase for consumption on or oil the
premises?
A. We consider the entire park as
the premises and we think the sale
is subject to the sales tax since the
hot dog probably will be eaten some
where in the park.
@. Are sales at post exchanges
taxable?
A. No.
@. Our merchandise is made in
Virginia factory, shipped to our Of
fee in Washington and sold in
Maryland. Who pays the use tax?
A. You should collect the use tax
from the buyer in Maryland.
@. If Maryland resident refuses
to pay the use tax when he buys an
article in a Washington store, does
the storekeeper have to pay it?
A. You have the same resource
at law as you have for any refusal
On the part of the customer to pay
any portion of his bill. You may pay
the tax yourself, however, and when
you apply to us for a refund of the
tax, we will get the customers name
from your report and get after him,
so he might as well have paid it
to you.