I am a resident of NY. I purchased a Charter Boat 9 years ago. Thinking that because it was to be used commercially, I did not pay the sales tax. I have now received a notice from NYS sales tax that I owe taxes on that purchase. It does not ask for a specific amount. The boat, right after purchase was placed under ownership by an LLC of which I am a member. The State sent the notice directly to me. Here's what I now know based upon research. The vessel is not subject to tax if engaged in interstate commerce or commercial fishing. While I regularly fish in Connecticut waters, I am not sure that would qualify as interstate commerce. I have on occasion worked for the USCG research division requiring me to engage in activities in Ct. waters. There are companies out there that have offered to represent me for exorbitant fees and I am not sure they can get my tax exposure reduced. I probably owe 13k plus interest and penalties. Now, I know NY has a Voluntary Disclosure Program which will allow one to pay the tax and interest without penalty as long as the tax department has not sent a bill. They in fact have not, but they have notified me that I didn't pay tax on the purchase.
5 questions:
1. Is a sales tax consultant potentially helpful in this situation
2. Could I avail myself of the Voluntary Disclosure Program or will they say I can't because the notified me (even though they did not send me a bill)
3. Is there a way to achieve a sales tax exemption on this purchase?
4. Since I can't afford to pay more than the original sales tax, do the sales tax people ever show some compassion if you meet with them and explain the dilemma?
5. Do these sales tax specialists have angles that help them negotiate these types of bills?

Thanks in advance
Ray