Posts by Austin Brown4

I have a question regarding triangular trade, especially seeing the comments above about fraudulent three-way transactions.
1. Goods were shipped from Canada to the US, but I received the invoice from a company based in Canada. When I checked with Intrastat, they insisted I report it because the goods physically entered the US. However, I’m stuck on the sales tax implications. I called the IRS, and the agent told me that the Canadian firm needs to register either here in the States or back in Canada. My deadline for filing is this Friday, and frankly, I highly doubt I'll receive a corrected invoice in time. I'm at a complete loss as to how to proceed.
2. I also have a shipment originating in Slovakia destined for a customer in Canada. The Slovakian supplier invoiced me using my Canadian tax ID, while I issued my own invoice using an American tax ID to the Canadian buyer. It’s a total mess—the invoice was delayed, and to make matters worse, the parent company is actually based in Belgium, even though they operate the factory in Slovakia; consequently, the invoice uses a Belgian tax ID. It's pure chaos. My accountant suggested I shouldn't record these invoices in my main books, but rather book the supplier through some sort of clearing account that I can't seem to locate anywhere.
My core question is: how should I handle the bookkeeping when there is a delivery from one member state to another, but the goods never actually enter the US (for instance, if the invoice uses a Canadian tax ID and I'm filing in Canada)? I need clarity on both the ledger entries and the sales tax forms, especially since I noticed they've introduced a specific line item for triangular transactions.

Thanks,

Ethan Bailey18 said:First off, the Mexican supplier should have charged sales tax because the goods didn't properly exit Mexican territory, which is a prerequisite for transferring the tax liability.
Second, we are looking at a three-way transaction (using simplified procedures for transactions involving three USA member states). In this scenario, the initial supplier in Spain doesn't charge tax because the goods leave their country and ownership transfers to another taxpayer.
The first buyer (the US company) issues an invoice with sales tax to a US taxpayer, who then claims it as an input credit here in the States.
When they invoice the Mexican entity, they don't charge tax, but per the regulations, the invoice MUST include specific details under Section 79, Article 1.😛They need to cite the relevant provisions of the Directive and include a note regarding the transfer of tax liability, including the tax ID used for the acquisition and subsequent delivery, the recipient's tax ID in Mexico, and a clear statement that this is a three-way transaction. On the tax return, this is reported under section I.3 for intra-USA deliveries, and a supplemental filing is mandatory.
The Mexican party is responsible for calculating and remitting the sales tax.👍

It seems you're still trying to wrap your head around the situation. To clarify: a US firm is purchasing raw materials from Canada, but the goods never actually enter US territory—the final delivery point is a factory located in Canada. Essentially, I am sourcing materials from various places across the USA/Europe for production occurring in Canada, where the final product is also delivered. My question is: what happens with the invoices the US company receives? Should they include sales tax or not, and will I need to register for a tax ID in Canada?

We are looking at a rather convoluted acquisition process here. Let’s break down the first scenario: an American company is purchasing raw materials from a supplier based in the US. The American supplier issues an invoice without sales tax, yet the goods are actually being delivered directly to a different firm located within the US. So, the physical shipment stays within the US borders. Then there is the second case: an American company buys goods from a Spanish supplier and receives an invoice without sales tax from the Spaniard, but the actual delivery takes place in the US. This same merchandise is then invoiced to another company back in America, while the original supplier bills the American entity. In all these moving parts, what is the actual status regarding sales tax?

There it is again—that faint, barely perceptible pink line...
I’m honestly considering just heading over to the clinic tomorrow to have them take the biopsy out once and for all.

Robin Myers said:But if other people are seeing it too, then that’s likely your answer. Just try again tomorrow or in a few days using your first morning urine. Good luck... 👍

I honestly don't know how to handle this. I took the test this afternoon, and both my husband and I saw it—it's a faint line, but it's definitely there. It’s been 15 days since we were together... My temperature is sitting at 98.6, my breasts feel swollen though they aren't sore, and I've had some mild cramping, similar to what I feel right before my period starts. My stomach was acting up earlier, so I took some Pepto-Bismol... could that have any impact on the results? Ladies, if this is actually it, then I am living proof that you can conceive even with a zero count... though obviously, supplements help. I just can't believe it. A faint line, but visible nonetheless. I won't let myself get too carried away, lest I be disappointed. Best wishes to everyone. 🙂

Ladies, has anyone else here dealt with a pregnancy test giving you a false alarm? Specifically, I’m talking about those cases where a mini test shows a faint line that turns out to be nothing at all... just a shadow rather than an actual positive result.