How can video/car/appliance rentals be subject to sales taxes if they're not being sold to you? Why am I being taxed on something I'm expected to give back?
2007-11-25 03:30:46 · 4 answers · asked by G0ODOLBOY 1 in Business & Finance ➔ Taxes ➔ United States
You're being charged for the service.
It's similar to getting a hair cut. You pay sales tax on that also.
You can count on one thing, the government will get their money one way or the other.
2007-11-25 03:39:30 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Most states consider a rental similar to a short term lease. Your are the end user of the product for that short period of time and therefore pay the tax.
Because the tax is on the rental, the rental company doesn't pay sales tax when obtaining the product.
Contrary to what was listed above. A haircut is not taxable in most states. Most states on charge tax on tangible items, not services. Some states charge a gross income tax to businesses. The business then passes this along to the consumer, effectively making it a sales tax on everything including services.
2007-11-25 06:36:03 · answer #2 · answered by Tim 7 · 0⤊ 0⤋
Some states have a sales /use tax,but is generally listed as a sales tax.
Government at all levels are trying to get as much money as they can from the taxpayers.
If you want to get Constitutional about the issue;cities,counties and states can not set or raise taxes without a vote of the people who reside within each govt. level.
The people can actually vote to reduce or eliminate taxes,only the federal congress can tax without a vote of the people.
2007-11-25 04:04:58 · answer #3 · answered by Ralph T 7 · 0⤊ 0⤋
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2016-05-21 20:58:35 · answer #4 · answered by Anonymous · 0⤊ 0⤋