Still puzzled about sales tax (interest, money, salary, bank)

[Mooseketeer]

I never realised it was so complicated....

[mal_flisk]

Alaska has no sales tax. However, certain cities and towns do. And only certain items are normally taxed. There are municipal taxes on hotel rooms (hence the $79.95 single becomes the 86.44 bottom line after a night in a hotel room). I never understood why they call it a bed tax, as I have 5 of those suckers in my house and noone's ever tried to levy a tax on those!

[ellie]

And in some places sales tax is not charged on certain items like food and medicine, but it is not consistent. Some places charge taxes on food.

[ontheroad]

How I miss the European system of including tax in the purchase price. Simple, straight forward: you see the price; you pay the price.

Today I had a tiny little upset with a clark (clerk) in a museum gift shop. The price was sixty-odd dollars, and she rang up seventy odd dollars. Now, I am in a Tax-riot state, but just down the road, and 150 miles away, I wasn't taxed for a similar item.

It appears that even a county can have a different rule on taxation!

Originally Posted by Mooseketeer

Thanks, I had assumed tax was at a set rate as in Europe ! Talk about confusing... Don't Americans themselves get muddled?

[lionking]

Originally Posted by Mooseketeer

How on earth are you supposed to know how much things actually cost ? I definitely prefer the European system where I know exactly what I'm paying before I get to the till. Far easier...

well when looking at a item you basically just consider the tax above the price,at least that how I do it.

[HIF]

Reminds me of the guy who went to buy condoms. They cost $4.00. when he took them to the register, the clerk said, "That will be four twenty eight."

"Four twenty eight?" the guy asked. "What is the twenty eight cents for?"

"Well", said the clerk, " the twenty eight cents is for the tax."

"Tacks?!", said the guy. "Don't you have any that just slip on?"

[lorelei2873]

I live in a state that doesn't have sales tax. Yes, we do have property & income tax, but that's just kind of like a bill you get periodically. It's not the constant daily irritation of being reminded of paying tax to buy something. At least with the state income tax, they just take it out before you get your paycheck and whatever is leftover is yours. I'd hate to be reminded daily that I'm paying taxes. I like to avoid thinking about it between paychecks.

However, we do have some tourist towns that have a municipal sales tax.

[mainebrokerman]

we buy gas every day,,with all tax included... total price (per gallon)

i believe retailers resist,,,including the tax in prices,,because we have such competitive markets..take the grocerystore industry ,,,most people shop there once a week,,and 60% are price driven,,,meaning,,cherry-pickers,,will go to the cheapest place.. if the tax applied to everyone,,,how would it be different pricepoints??
well,,,,,every state has different tax rates,,,but beyond that,,,what foods are taxed,,and what foods arent,,maine has a snack tax,,
yet some sweets that are snacks,,dont get taxed at all,,,,,makes very little sense,

restaurants/hotels,,have ,,i believe a 7% tax in maine,,,when we see prices on a menu,,the taxes,,,are NOT included.....and there's actually a good reason to this,,its a mindset,,,why should a free market business,,,get penalised,,(perception of higher prices) because the state government is tax-raping all they can??

and we are funny creatures when it comes to purchasing different items,,,say i want to go buy a shirt,,,in my head,,im not going to pay over $30.00 ...if the pricetag says 29.99 , well, i'll buy it,,(then pay the tax extra),,if the price tag said 31.05, i wouldnt buy it....
and retailers know this,,,,,thats why they fight against it,,we all have benchmark prices in our heads,,,some folks wont buy a loaf of bread over a dollar,, etc,
it also separates the retailer,,and true price,,from what the state is taxing or screwing you, if it gets buried into the price,,,(like gas) well,,,retailers can say,,hey its out of my hands,,its taxes, (if prices go up)

do we all know what the federal and state taxes are on a gallon of gas???
most dont,, i believe in maine,,its 46.7 cents per each gallon is a combination of state and federal tax ,,think federal tax is around 18 cents a gallon and state pays the rest,,
why do i even bring this up?? because politicians are great to tax everything,,and not knowing,,(like a gallon of gas),,,it doesnt sound so bad if they bring up even more taxes,,on each gallon,,,,well if you know the difference,,of taxes that are already there, you are less likely to vote for a tax increase,,(ignorance is bliss for politicians)

[ontheroad]

I got clarification on my MA state tax dilemma--gifts (museums) and non-wearable items (leather goods, etc) are taxed; clothing is not taxed regardless of which town, city, county. I just needed a smart salesclerk to explain it.

Originally Posted by ontheroad

How I miss the European system of including tax in the purchase price. Simple, straight forward: you see the price; you pay the price.

Today I had a tiny little upset with a clark (clerk) in a museum gift shop. The price was sixty-odd dollars, and she rang up seventy odd dollars. Now, I am in a Tax-riot state, but just down the road, and 150 miles away, I wasn't taxed for a similar item.

It appears that even a county can have a different rule on taxation!

[Mooseketeer]

You are making my head spin, it's even worse than I thought !