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Your Country's Tax Policy


bsmither

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Taking a survey:

 

How does your taxing authority tax the price of goods that are on sale?

 

* The tax is calculated against the actual sub-total paid?

* The tax is calculated against the product's normal selling price?

* There is a taxing difference between the product's price on sale vs. a coupon's discount?

 

 

There is a difference in some locales between a 'coupon' and an 'instant-rebate'.

 

A coupon has the price reduced before payment, with appropriate tax consequences, while a rebate has the merchant effectively returning some of the money you paid immediately back to you, perhaps with no tax consequences (really?).

 

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In Alabama, USA, coupons are subtracted before sale tax is calculated. When I buy something online from the US that has a rebate I pay sales tax on the full price (IF they charge it) and then get the rebate amount back - but do not get any adjustment for the amount I paid in tax.  Online sales tax laws are in the process of changing here in the US, though.

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