[LMB] Thor Power Tools, yet again

[Ed Burkhead]

> <snip>
> "THIS IS NOT TRUE. US publishers are *NOT* taxed on their 
> inventory. I know a great many editors have said this, but 
> they are *WRONG*. The people in their accounting departments 
> never bothered to explain clearly what had happened, and so 
> this is the impression the editors got, and they have
> spread it all over, and as a former accountant it drives me
> nuts."
> 
> Patricia C. Wrede

Hedwig,

You're sure welcome for forward it as far as I'm concerned.

But my bookstore owner just thought the tax law had changed.  He didn't say
that the publishers were *taxed* on their inventory.

Could it be that they just don't get the tax deduction from depreciating
them to nothing until they DO dispose of them?

Or, could they get a tax hit in some way by depreciating them, then selling
them for full price?

The downside is that, whether it's from being too dumb to understand tax law
or from a real change, publishers seem to have changed their warehousing
behavior for backlist book.

Ed