Question
LeMond Incorporated, a Wisconsin corporation, runs bicycle tours in several states. LeMond also has a Wisconsin retail store and an Internet store that ships to
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LeMond Incorporated, a Wisconsin corporation, runs bicycle tours in several states. LeMond also has a Wisconsin retail store and an Internet store that ships to out-of-state customers. The bicycle tours operate in Colorado, North Carolina, and Wisconsin where Armstrong has employees and owns and uses tangible personal property. Armstrong has real property only in Wisconsin and logs the following sales:
Armstrong Sales
State Goods Services Total
Arizona $34,194 $0 $34,194
California 110,612 0 110,612
Colorado 24,913 356,084 381,997
North Carolina 16,721 225,327 242,048
Oregon 15,431 0 15,431
Wisconsin 241,982 877,441 1,119,423
Totals $444,853 $1,458,852 $1,903,705
Assume the following tax rates: Arizona (5.6 percent), California (7.75 percent), Colorado (8 percent), North Carolina (6.75 percent), Oregon (8 percent), and Wisconsin (5 percent). How much sales and use tax must LeMond collect and remit?
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