Being dragged to court... Here we go again.

[mgmine]

One problem here in the US there is a lot of DIYers that work under the table for cash. Otherwords no licenses and pay no taxes. What they don't realize this is hurting them in the longer run as their SS payments are basic on their income that is reported. Also not paying taxes just make it harder on those that do. Not collecting sales taxes and paying them is crime, not paying business income taxes is another one. Beside our taxes could be reduced if only everyone paid their fair share. Not like the millionaires and billionaires. The one currently in the White House paid only $700 on over a million income through so called tax write-offs of his the last time he was in office.

BTW in my area if you are running a shop and tax people find out you are not paying they will sooner or later depending who you piss off they will come after you. I have been check twice in the last 10 years because I insisted on customers paying their bills.

 

[mgmine]

It would be nice if everyone paid their fair share. Unfortunately, 45% don't pay any tax at all and, in fact, get money back. The millionaires and billionaires pay everything that the law requires them to pay. Yes, they use every exemption in the tax code that Congress has given them. But then again, don't you? Why not just go with a consumption tax and pay a larger sales tax on everything we buy. Doing so would make everyone pay something, and since more would be paying it could end up that those who d pay income tax would actually in the end pay less. Canada has the following PLUS an income tax which is why they can have free health care which ends up costing about $19,000 per person.

• GST only (5%)
• GST + PST (e.g., 5% + 8% = 13%)
• HST (a single combined tax, e.g., 13–15%)

 

[Peva]

"...Honestly it is looking like I am going to close my business because of the dictator in Washington. I lost over half of my normal business because of him..."

Sorry to hear you might have to close. Lost half your normal business? What in particular caused that?

Well let's see a lot was lost due customers pulling back because of the tariffs, their budgets became tighter, then the darn government shutdown hit me during the peak Fall season. People switching to battery powered equipment didn't help either. Hoping things will come in the Spring.

And with their budgets tightening it is like last time a lot of them are doing repairs under the table. Last time I was in the scrape metal business, things got to a point where they coming to blows over a piece of metal, I quit that line of work as thieves got involve causing laws to be passed restricting could be process without major licenses. I got at three DIYers right close to me that now that I got to fix their screw ups. It bad enough that four brick and shops local have closed their doors in local towns.

Small businesses like mine are really hurting to the current market turn down around here. In a way it is shame that the mom and pop businesses are closing down. A lot good talent going down the tubes.

Thanks for the explanation.

I hope that things do pick up in the spring for you so you don't have to close.

 

[Tiger Small Engine]

I am not familiar with how the warranty works. With a car, the dealer is reimbursed for any warranty work. The work can be done at any dealership. If that's the case with the lawnmower, why didn't you do it?

The warranty work you are talking about is on newer vehicles. Warranty work for a newer car under warranty cannot be performed at any shop. The shop has to be set up to perform that make/model etc. car warranty, so they can get paid, from the manufacturer ie: Ford, Chevy.

I do NO warranty work on newer outdoor power equipment at all. Example: There is a three year warranty from Kohler (Relhko), and the shop does the warranty work, and gets reimbursed from Relhko, not the customer. I think in this thread, some people are not clear on warranty.

As far as do it yourself (DIY) that work under the table, that ain’t me. I have liability insurance, pay all state, federal, and sales taxes. I have a business license and initially went through local planning and zoning. That whole nightmare of a process took 6 months.

A large part of the reason I am so busy is because I do great work, have nothing but integrity, and the majority of my business is based on repeat business and referrals.

I don’t worry about what other shops do. I am aware of it often from customer feedback. Everyone does business a little differently. I just concern myself with my business and how I take care of the customer.

 

[StarTech]

Here is something I have wondered about GST and VAT taxes is my thinking it is only on the increase value amount added or is on the whole amount? I do it gets past along to the end purchaser.

So either way tax is cumulative depending on how middle men is involve right?

Here in the US most business are tax exempt on purchases as long we have the exemption certificates. It is the final consumers that pays the tax on the retail amount. Therefore there is no real hidden sales taxes which to pay taxes on too. Then at the end of year we pay income taxes on our net profits and companies that sale to my business pays on their net income. So normally all businesses pay some taxes from the OEM to the final shop. Thus this why we have set profit margins as this to our wages and the business expenses including taxes.

Our sales tax structure seems to be simpler to work with but most times it is just a matter of learning how things are done. Here it is 9.5% county wide on materials and labor because we have no state income tax. In Alabama each town/city has their own sales tax add to the county and state sales tax. No tax on labor the last time I checked because they have a state income tax.

 

[StarTech]

Tiger is correct about small engine warranties as the shop has to be an authorize warranty center and usually means you have to be an authorize dealer also. Personally I just let those shops deal with headaches of trying to collect on warranties. The only warranty I provide is on equipment I repair or sale and I usually end up writing the warranty related repairs I do which is very rare.

 

[Auto Doc's]

Two stories about: Everybody, Somebody, Anybody and Nobody

www.smart-words.org

 

[GasNSteering]

I have a customer who filed a court claim on me because I refused to warranty repair their broken-down machine.

Sounds crazy, but there is a catch.

This John Deere Z-920 came to me with a crankcase full of fuel. they had been running that way spitting plumes of smoke out of the exhaust for about a week. There was raw fuel spitting out of the exhaust when it arrived. I drained it and changed the oil, then ran it to clear up the smoke. Corrected the bad carburetor needle and test ran it to confirm repairs. There are no further issues

Now the customer is claiming by a lawsuit I need to buy them new mower for their negligence. He has not even picked up the machine and ran it.

Have people gotten that stupid?

Edit:

For the record, they are not getting the machine back until this thing plays out. I told him to have his attorney talk to mine and I would not discuss anything further. Meanwhile costs can climb because he wants to play the victim.

Perhaps having the customer sign a repair order that includes a couple of disclaimers that you are not acting on behalf of any manufacture and not a repair center for a particular brand. you aren’t responsible for consequential losses including loss of income, down time etc and other nuisance things to avoid. You can’t eliminate but you can reduce Them.

 

[rjohnsen]

still whining "because of the dictator in Washington"; hmmm, last I heard that person is voted into their position by We the People, i.e. customers..... maybe you should put up a sign stating you only service the equipment of democrats. Try that and get back to us!

"...hmmm, last I heard that person is voted into their position by We the People..."

That didn't stop him from becoming a dictator, though.

 

[StarTech]

"...hmmm, last I heard that person is voted into their position by We the People..."

That didn't stop him from becoming a dictator, though.

We got to remember what he said while campaigning. That was "I be a dictator on day one.". So maybe those voters got what they asked for. I keeping my head down hope the midterms turns things around. Maybe, maybe not; who knows for sure until the last vote is counted.

At least I saw thru his lies and believe my own eyes as to what has been done to all of us. But some people will believe a lie before they believe truth and that what he is banking on both figuratively and real.