Purchases on Amazon for Church activities

[crowleyal]

Hi, we are trying to make a purchase on Amazon for a ward activity and would like to leverage the Church's tax exempt status. However, it looks like Amazon wants you to set up an account for the tax exempt organization. Does anyone have any idea if it's possible for members to make tax exempt purchases on Amazon like we can do in brick-and-mortar stores (by showing the local tax exempt certificate)?

[nmahler2]

I have no experience with that. If you knew of a way to do that I would love to here how. Where did you get the tax exempt certificate you show to local brick and mortar stores?

[eblood66]

I can't answer those questions myself but I do know that sales tax exemptions vary from state to state. In UT and NC, you pay the tax as normal and the church headquarters reports the amount paid and gets a refund back from the state. Here in GA, purchases by churches are not exempt. Here is some information from the church: https://www.churchofjesuschrist.org/too ... s?lang=eng

You'll probably need to contact the Tax Administration office and ask them for details on your state. They may know (or can figure out) how to deal with Amazon as well. I think the best way to get to the Tax Administration office is to first contact the Global Service Department. They should be able to either transfer you or give you appropriate contact information.

[BrianEdwards]

I have no experience with that. If you knew of a way to do that I would love to here how. Where did you get the tax exempt certificate you show to local brick and mortar stores?

I've had success going into a couple of different stores we often made purchases at, and asking them for the form to fill out. Many stores are aware of how to work with charitable organizations, and (if you talk to the right manager) can provide you with the form themselves.

[nathangg]

Not necessarily the answer you are looking for:

It appears that taxes are not deducted from an organizations budget (just the amount of the item(s) purchased).

So, although the desire to avoid having to pay the taxes is great (since the purchase is being done for a charitable organization), we've advised those in our ward to make sure that the receipts they submit are clear and accurate so that we record the information properly. (Having members carry around tax-exempt certificates isn't something we've done in our ward).

The member gets reimbursed for the full amount, but the organization budget only decreases by the cost of the item(s) and excludes the taxes.

[garystroble]

Not necessarily the answer you are looking for:

It appears that taxes are not deducted from an organizations budget (just the amount of the item(s) purchased).

So, although the desire to avoid having to pay the taxes is great (since the purchase is being done for a charitable organization), we've advised those in our ward to make sure that the receipts they submit are clear and accurate so that we record the information properly. (Having members carry around tax-exempt certificates isn't something we've done in our ward).

The member gets reimbursed for the full amount, but the organization budget only decreases by the cost of the item(s) and excludes the taxes.

Only true in Utah and maybe a few other states.

[russellhltn]

If someone has a tax exempt certificate, the temptation for abuse would be great.

[nathangg]

Not necessarily the answer you are looking for:

It appears that taxes are not deducted from an organizations budget (just the amount of the item(s) purchased).

So, although the desire to avoid having to pay the taxes is great (since the purchase is being done for a charitable organization), we've advised those in our ward to make sure that the receipts they submit are clear and accurate so that we record the information properly. (Having members carry around tax-exempt certificates isn't something we've done in our ward).

The member gets reimbursed for the full amount, but the organization budget only decreases by the cost of the item(s) and excludes the taxes.

Only true in Utah and maybe a few other states.

Wait, what? Does the Church give wards outside of Utah more money to cover the increase in cost to organization budgets? (Since I imagine many members buying items for organizations aren't carrying around tax exempt certificates).

[russellhltn]

Wait, what? Does the Church give wards outside of Utah more money to cover the increase in cost to organization budgets? (Since I imagine many members buying items for organizations aren't carrying around tax exempt certificates).

Not likely. I don't think they change the amount based on local Cost of Living either. Same amount for Dayton, Ohio as Manhattan, New York.