Sales Tax Rules & Pick Ups Only

To my wonderful Colorado customers,

I have an update on the new Colorado State sales tax regulations.  I’m sorry to say it’s not good news, which is why after a lot of research and thought I have decided to change my shipping policies for customers within the state of Colorado effective December 1st 2018.

The state of Colorado has changed regulations in a way that clobbers small businesses like mine.  They now require the submission of sales tax returns based on point of delivery.  In the past we only paid sales taxes for state and shared city or counties, but we are now required to know and understand the sales tax regulations for every point of delivery within the state including cities, counties and special districts not shared with the seller.  Sales tax returns must be filed monthly for each point of delivery occurring within that month.  Since we are also a home rule state, many of those cities are home rule which means we must submit returns for them separately.  They can’t be included with our state sales tax return.  The number of returns I would be required to submit every year would increase more than 10 fold.

The sad thing is that sellers outside of Colorado are being held to a $100,000 nexus requirement which means they only have to file sales tax returns if they sell over $100,000 in goods, but in-state sellers are required to submit on EVERY SALE even if it is only ten cents.  The Denver Post ran an article about these new rules and how they will harm small businesses in the state.  Hopefully their political clout will pressure law makers to change the rules so that Colorado citizens are held to the same rules as out of state sellers, but for now we have to make do.

Unfortunately my head injuries limit my ability to comply with something this complicated and I don’t have the finances to pay a 3rd party to keep track of sales and file for me.  As a result I am in the process of removing shipping options and adding a “pick up” only option for those in Colorado who still wish to buy and are willing to drive to Westminster Jeffco for pick up (effective December 1st 2018).  If you would like to have a courier service pick up and deliver your package, I would just need to know who is coming and when so I can have your package ready.  The couriers I’ve checked into charge about $20-$50 for same day delivery within Denver metro, so I’m not sure that would be a viable option for most.

The gov’t is holding another hearing on this topic on November 30th. Since I am unable to attend I did submit comments about my situation for them to consider but I fear small home businesses like mine might be considered nothing more than collateral damage in their grand plan, but if you would like to attend the hearing or submit comments click here for more details: https://www.colorado.gov/pacific/sites/default/files/102618%20rule%20making%20rescheduled.pdf.

I’m so sorry for any inconvenience this may cause. If the rules change I will post an update here. OK?

Take care and God Bless!
Phyllis
Rosaries by Speziale

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