FAQ
- How should I send Purchase Orders to Neutronic Stamping & Plating (NSP)?
- How do I verify that NSP has received my order?
- What is a “Goods & Service Agreement” and do I need to sign it?
- What are copper and precious metal (Au, Pd, Ag) adders?
- How are the adders determined?
- Is there a way to set the final price at the time the order is placed?
- Does California sales tax apply for tooling even though our company is located in another state (or country)?
- Since my company has a resale/exemption certificate for tooling equipment (from another state) does this mean I do not have to pay the CA sales tax?
- Are prototypes taxable?
1. How should I send Purchase Orders to Neutronic Stamping & Plating (NSP)?
We accept Purchase Orders via Fax or email. If emailing please send to Carmen Pinedo at Carmen.pinedo@neutronicstamping.com. If faxing, please send to 714-965-2283
2. How do I verify that NSP has received my order?
NSP’s policy is to send a “Goods & Service Agreement” back to the customer within 48 hours. The reason it may take up to 2 days is that we may have to special order the needed raw material to produce the terminals. This will require NSP to verify a lead time prior to confirming the delivery date to the customer.
3. What is a “Goods & Service Agreement” and do I need to sign it?
The Goods & Service Agreement (G&S) is an agreement signed by both the customer and NSP and confirms the part numbers ordered, lead time, shipping method, price, payment terms and other misc. items. NSP must receive the signed confirmation back to process the purchase order.
The reason we have this step implemented into our system is to eliminate any confusion regarding price and delivery and ensure we meet our customer’s expectations each and every time.
4. What are copper and precious metal (Au, Pd, Ag) adders?
Due to the fluctuations in the copper and precious metal markets, NSP has devised a way to keep our base quotes to our customers the same and adjust for the copper and precious metal market at the time of shipment. This allows our customers to keep the same quote on file and also gives them a method for estimating the final cost based on current market conditions.
The base price reflects the market price of copper or the specific precious metal used in calculating the quoted price per thousand. The adder is the multiplier by which the difference in the base price and the market price is multiplied. The resulting number is the increase or decrease in price per thousand.
For instance, if the gold base price on the quote is $300, the market price on the day of the shipment is $945, and the adder is .0053 then:
Gold Adder = ($945 - $300) x .0053 = $3.41 / K
The $3.41 would then be added to the price per thousand resulting in the final invoice price. This process would also be repeated for any other applicable adders.
5. How are the adders determined?
The gold, palladium, and silver adders are determined based on thickness and square inches in the required plating zone. Copper adders are based on the quantity of pounds required to make 1,000 pins along with the percentage of copper in the requested alloy.
6. Is there a way to set the final price at the time the order is placed?
Yes. Although 90% of our customers let the price “float” and have the market determine the final price on the day of shipment we can set the price based on the current market at the time the order is placed. It is important to understand that the market may go down and the customer may pay a higher price then if they had they let the price float but the opposite may also hold true. It is essentially gambling with the direction of the market.
If the customer chooses to set the price based on the current market, NSP is willing to hold the price but the final product must ship within a 3-month period. This time period is subject to change based on the volatility of the copper and precious metal markets though thus far we have not had to adjust our policy.
Yes. According to California State Law, tax applies to the sale of manufacturing aids such as dies and tooling used in the manufacturing process even if the tool is subsequently delivered to the customer or held by NSP as the property of the customer.
Please visit www.boe.ca.gov for more information.
No. A resale/exemption certificate is not applicable in this type of transaction because the tax is not a Sales Tax but rather a Use Tax for the “use” of the tool at a particular location. Also, the tool, by itself, is the property of the customer and is not intended as a product for resale.
Yes, unless they are produced for resale.