On Tue, 12 Jul 2005 19:27:43 GMT, "ticbol" wrote:


Bob,
What is sales tax then?

Tax on the merchant's selling price. This is standard US procedure and
may be different from European VAT. (If you know of a US place that
does it differently, let us know.)

Item sells for $10.00. Sales tax is 8.25% (here), or 0.83. Merchant
collects 10.83, sends 0.83 to the state government.

If you honestly thought it was calculated otherwise, this serves to
reinforce the point that a number of us made in response to the OP...
be sure you understand the question before answering it. People will
quibble over getting different answers, when the discrepancy was in
how they understood the question.

By the way, we do have an example here (California) of something like
what you tried. There is also a state gasoline tax -- which is
included in the regular selling price. The sales tax is calculated on
top of that. So sales tax is paid on the gas tax. But that is
something of a special case.

regards,

bob'

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