the facts about DP
on Tuesday the Ga Sales Tax Division came to dp to collect " uncollected sales tax on ride fees" since we opened
not anything we collected and did not pay to the state
DP opened in Jan 2002 migrating from a hunting club into a multi use facility we had no idea we need to collect sales tax on riding motor cycles no other facility in Ga did or currently does to my knowledge... we had no reason to begin doing so.... on about June of 2006 we had an audit by the sales tax division we gladly showed them what we were doing and had been reporting sales tax on the proshop as required
we were informed we owed sales tax on every bike that was left here and was sold for our customers we argued with them but agreed to pay it as well their field officer stood at the lodge and stated 3 times "do not begin collecting sales tax on ride fees" we compared it to other facilities and events horse back riding fishing hunting golf fairs etc so we added sales tax to cabins food and rentals and kept moving forward
8 months later we received a tax assessment for $270,000 for ride fees from 2003 thru July 2006 we then hired a sales tax consulting firm in Atlanta to handle the dispute over the next 6 months we had reviews and hearings with every dept in sales tax division most ruled in our favor
it went all the way to the attorney general office we thought we had a final agreement then they held another hearing with out dp present and ruled in favor of taxing ride fees
we have requested and was told we were allowed a trial in Greene county to get a final ruling by a judge
we were denied this opportunity
they claimed they have won and have a judgment on DP and showed up here and demanded $350,000 in cash or assets with 35 officers to load it up
now we have to go thru procedures to get it all back with court hearings and more lawyers
they promised a 12% return on my money......lol
but here is the bottom line
if they win this sets precedent to go to all facilities and destroy them as well .... they need a court hearing with a judge and case number clarifying the law it is taxable
with this in hand they have stated they will attack the entire industry and all facilities including any ride facility, any event that has an admission and all race events sorcs setra gncc as well for past taxes penalties and interest
I asked them why destroy the industry today when you can collect for the next 15 yrs their comment was we need money now times are hard... 3- 5 yrs we will be fine
I have been fighting this for over 2 yrs to keep them for attacking other facilities if I give up they win and we all lose
this same process hit the quail hunting plantations in 2000-2001 shutting down many of them finally enough politicians who hunted put a stop on it before it totally destroyed the industry now all charge the tax and pass it on
this is what we have asked for since day one notify all facilities and go forward with the tax do not go back and destroy all of them
they refused to do so
just so you know DP is still in full operation we are asking for an immediate court opportunity but they have 1 yr to respond.....
lets all hope this can be worked out fairly for both parties so it is a win win situation for the industry
thanks for your support
mike dp
on Tuesday the Ga Sales Tax Division came to dp to collect " uncollected sales tax on ride fees" since we opened
not anything we collected and did not pay to the state
DP opened in Jan 2002 migrating from a hunting club into a multi use facility we had no idea we need to collect sales tax on riding motor cycles no other facility in Ga did or currently does to my knowledge... we had no reason to begin doing so.... on about June of 2006 we had an audit by the sales tax division we gladly showed them what we were doing and had been reporting sales tax on the proshop as required
we were informed we owed sales tax on every bike that was left here and was sold for our customers we argued with them but agreed to pay it as well their field officer stood at the lodge and stated 3 times "do not begin collecting sales tax on ride fees" we compared it to other facilities and events horse back riding fishing hunting golf fairs etc so we added sales tax to cabins food and rentals and kept moving forward
8 months later we received a tax assessment for $270,000 for ride fees from 2003 thru July 2006 we then hired a sales tax consulting firm in Atlanta to handle the dispute over the next 6 months we had reviews and hearings with every dept in sales tax division most ruled in our favor
it went all the way to the attorney general office we thought we had a final agreement then they held another hearing with out dp present and ruled in favor of taxing ride fees
we have requested and was told we were allowed a trial in Greene county to get a final ruling by a judge
we were denied this opportunity
they claimed they have won and have a judgment on DP and showed up here and demanded $350,000 in cash or assets with 35 officers to load it up
now we have to go thru procedures to get it all back with court hearings and more lawyers
they promised a 12% return on my money......lol
but here is the bottom line
if they win this sets precedent to go to all facilities and destroy them as well .... they need a court hearing with a judge and case number clarifying the law it is taxable
with this in hand they have stated they will attack the entire industry and all facilities including any ride facility, any event that has an admission and all race events sorcs setra gncc as well for past taxes penalties and interest
I asked them why destroy the industry today when you can collect for the next 15 yrs their comment was we need money now times are hard... 3- 5 yrs we will be fine
I have been fighting this for over 2 yrs to keep them for attacking other facilities if I give up they win and we all lose
this same process hit the quail hunting plantations in 2000-2001 shutting down many of them finally enough politicians who hunted put a stop on it before it totally destroyed the industry now all charge the tax and pass it on
this is what we have asked for since day one notify all facilities and go forward with the tax do not go back and destroy all of them
they refused to do so
just so you know DP is still in full operation we are asking for an immediate court opportunity but they have 1 yr to respond.....
lets all hope this can be worked out fairly for both parties so it is a win win situation for the industry
thanks for your support
mike dp
