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1,200 R.I. businesses face closure over sales tax
The Providence Journal ^ | July 30, 2009 | Cynthia Needham and Katherine Gregg

Posted on 07/30/2009 8:21:23 AM PDT by Cheap_Hessian

PROVIDENCE — State tax officials have put more than 1,200 businesses across the state on notice this week that they are out of business unless they pay their overdue sales taxes immediately.

For most, that action came in the form of a personal visit from the state Division of Taxation, ordering business owners to lock their doors at once.

By Wednesday, a line of people had queued up inside the Department of Administration building on Smith Hill, waiting their turn to plead their case to a state revenue agent. Some were angry. Others frustrated.

“I understand the state needs money, but to put pressure on the small guy or the moderate guy that’s struggling, it’s not going to do any good,” said Mike Suriani, who owns an electrical supply company in South Providence.

In Suriani’s case, it may have been a bookkeeping error that landed him in the three-hour line. Suriani says he paid his taxes in full — albeit a little late –– and had copies of the cancelled checks from the state showing he had indeed turned over the sales taxes he collected.

But that didn’t keep taxation officials from appearing at his door Tuesday demanding that he close up shop.

“Yes, the rules state that we have a responsibility to pay our bills every quarter. But when your customers come in and they don’t pay you for a month, and then another month, and another month, businesses have no choice [in] the eyes of the state but to close up and get out,” Suriani said.

(Excerpt) Read more at projo.com ...


TOPICS: Business/Economy; Front Page News; Government; News/Current Events; US: Rhode Island
KEYWORDS: business; economy; money; smallbusiness; taxes; taxincrease
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To: mosaicwolf; matginzac

Yep. Use the Obama approach and “get in their face”.


21 posted on 07/30/2009 8:40:26 AM PDT by Carling (Gatesgate: Obama's Waterloo)
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To: johnnycap

Good point...let’s just hope it isn’t Haven Brothers.


22 posted on 07/30/2009 8:42:06 AM PDT by NMEwithin
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To: Cheap_Hessian
"Petty larceny on the part of the individual is theft. Grand larceny on the part of the government is economics."
The Golden Rendezvous (Alistair Maclean)

---------------------------------------------------------------------------------------------------------------------


RESISTOR

Swear allegiance to the flag, whatever flag they offer;
Never hint at what you really feel.
Teach the children quietly for, someday, sons and daughters
Will rise up and fight while we stood still.

Der Elite Møøsënspåånkængrüppen ØberKømmändø (EMØØK)

23 posted on 07/30/2009 8:43:09 AM PDT by BlueLancer (I'm getting a fine tootsy-frootsying right here...)
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To: Cheap_Hessian

This islike the old concept of debtors prison. Obama is anti-business, pure and simple


24 posted on 07/30/2009 8:43:38 AM PDT by 1000 silverlings (Everything that deceives also enchants: Plato)
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To: 4yearlurker
Here in Indiana one local flea market simply melted away after tax official visits because the "vendors" were mostly ordinary people selling personal items .

The situation is retrograding to the system of the Middle Ages ,where nothing was permitted with paying a tax or bribing an official.

25 posted on 07/30/2009 8:44:40 AM PDT by hoosierham (Waddaya mean Freedom isn't free ?;will you take a credit card?)
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To: matginzac

My guess is that her attitude is “if only Obama KNEW!” Like the Soviets used to say when uncle Igor was taken away in the night: “if only Stalin knew.” Irony in both.


26 posted on 07/30/2009 8:45:18 AM PDT by RobbyS (ECCE homo)
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To: Daveinyork

Why do you say that? I always thought the “Fair Tax” was the way to go.


27 posted on 07/30/2009 8:47:05 AM PDT by pctech
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To: mosaicwolf

I’m an “out law” so I tread lightly...I just let their W-2s do the talking and commiserate when they bitch about how tough it is...too bad, so sad...


28 posted on 07/30/2009 8:47:51 AM PDT by matginzac
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To: Cheap_Hessian

I’m no economist... but if they close all the businesses won’t that decrease the state’s tax revenues?


29 posted on 07/30/2009 8:48:19 AM PDT by The Good Doctor (Democracy is the only system where you can vote for a tax that you can avoid the obligation to pay.)
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To: Cheap_Hessian

well, that’s one way to vault ahead of Michigan in the unemployment numbers with one stroke of the pen...


30 posted on 07/30/2009 8:54:02 AM PDT by Buckeye McFrog
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To: Cheap_Hessian

“For most, that action came in the form of a personal visit from the state Division of Taxation, ordering business owners to lock their doors at once.”

Yep. Once they lock those doors, that’ll generate lots more sales tax revenue for the state.


31 posted on 07/30/2009 8:54:33 AM PDT by sitetest (If Roe is not overturned, no unborn child will ever be protected in law.)
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To: RobbyS

Way ironic - and you only hope they “wake up” before it’s too late! I love saying, “I told you so...” as much as the next person but things will be too horrible for words by then...


32 posted on 07/30/2009 8:54:53 AM PDT by matginzac
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To: 4yearlurker
Here in SW Pennsylvania the sales tax officials have been hitting the flea markets telling the vendors they must have a tax number and collect sales tax...

And the pathetic part is, in the big picture far more money could be saved if they just fired the bastards who personally have time to go around and try to squeeze nickels & dimes out of the destitute flea market & yard sale crowd. I guarantee their government salaries & the transportation costs they incur amount to much more money.

33 posted on 07/30/2009 9:01:14 AM PDT by MCH
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To: Arkansas Toothpick
I don’t really have an easy answer about collecting overdue taxes, but I do know that shutting down businesses won’t help end recessions. Of course, I guess this goes back to the problem of taxation in the first place.

It's a bit like debtor's prison. Lock them up until they pay. It's hard to earn money to pay if you're in prison (or your business is shutdown).

34 posted on 07/30/2009 9:06:15 AM PDT by Myrddin
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To: 4yearlurker

They’re just starting to catch up with the PRNJ. The Jersey tax Nazis will add up everything on your table and charge you the full tax on everything they see. You’re getting taxed on what you HOPE TO SELL, not what you’ve sold, and they get to make up the prices. This is nothing new, they’ve been doing it for years.


35 posted on 07/30/2009 9:08:15 AM PDT by Fresh Wind (When the going gets tough, the tough go out for ice cream.)
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To: Arkansas Toothpick

Mostly I don’t care, Because the businesses were collecting sales taxes from the customers, so they should turn it over to the state. They certainly shouldn’t keep it to help them survive, it’s not their money.

However, the one guy had a good point — if the business decides to sell on credit to customers who can’t pay, the state shouldn’t collect the sales tax until the business is paid.


36 posted on 07/30/2009 9:11:42 AM PDT by CharlesWayneCT
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To: Cheap_Hessian

This should be good for another 200 points up on the DOW.


37 posted on 07/30/2009 9:14:13 AM PDT by MeneMeneTekelUpharsin (Freedom is the freedom to discipline yourself so others don't have to do it for you.)
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To: Fresh Wind

Do they do this at Berlin & Columbus flea markets?


38 posted on 07/30/2009 9:14:25 AM PDT by 4yearlurker (The ground at Arlington is moving & shaking.)
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To: nutmeg

bookmark


39 posted on 07/30/2009 9:15:57 AM PDT by nutmeg (Obamunism is destroying America)
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To: Eric in the Ozarks
according to -12bama it is their patriotic duty to pay taxes !

ROFL

40 posted on 07/30/2009 9:20:09 AM PDT by TexasFreeper2009 (Obama lied, the economy died)
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