[Videolib] No more Kino sales in Indiana

Jessica Rosner (jrosner@kino.com)
Wed, 24 Jan 2007 14:35:52 -0500

We just ran into a problem that means we can no longer sell or rent films to
any government institution in Indiana and I wonder if it will involve more
states soon. We received a letter from Indiana Dept of Revenue telling us to
register with them since were renting a film to Southern Indian Univ.
According to the form since we did business with a state financed
institution they want to tax every transaction in the state THOUGH those to
non profits like SIU are except. Sadly because we have a MUCH larger
consumer sales business this will force to no longer accept any business
from Public libraries, colleges HS etc in Indiana. Our consumer business is
many times what we sell direct to institutions and more importantly we are
not set up to track and pay tax on sales by state ( We have to do it NYC &
CA and it literally costs of many thousands IN TIME excluding the tax). For
the most part it shouldn't effect any institutions ability to buy a Kino DVD
as they can just go to Mid-West tape or Facets etc. However it is fairly
insane
Does that mean that for instance Facets and Amazon will not process orders
that come from Indiana institutions ? The sad part is that I also can not
rent or license any films there now so if any school wants to show GREAT
DICTATOR ( which we just got back) DAUGHTERS OF THE DUST or OLD JOY , they
can't. It is frustrating but for the small amount we would make on these
rentals we can't set up a system to track and pay taxes on all of our
consumer & retail business in the state.
As I said this is becoming more common ( our situation in CA is similar but
involved storage ) and there is no question that Kino would have to cease
doing business with any state/government entities in any state were it
occurred which is somewhat unsettling to me personally as that is much of
what I do.

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