Thursday, March 25, 2010

State cracking Down on Photographers?

Dann Coffey, a commercial photographer based in Edwards, is protesting a recent state audit. He doesn't charge customers sales taxes on his photography because it's a service, he said.

But state auditors said he owes up to $3,000 in taxes, interest and fees on his resale of stock photos from previous shoots going back to 2006. Coffey said he's selling a license to use the images and he retains the copyright, so the resales shouldn't be taxed; the state said the transactions constitute the taxable sale of tangible property.

2 comments:

calanan said...

I'm looking forward to seeing this post updated with any updates on Dann's progress.

Also if there's anything I can do as a photography business owner please have Dann contact me.

calanan said...

p.s. I've made a comment (moderation pending) about Dann's case on the following PhotoShelter tax-related article referencing this blog post.

PhotoShelter: The 7 Common Tax Mistakes Made By Photographers