Sales taxes are taxes that businesses must collect on the goods and services they provide to customers. Every state has its own sales tax law. Most states require that businesses collect sales tax and remit it to the tax collector for each taxable transaction.
In some states, there are exemptions from the sales tax. These states allow some items to be exempt from the sales tax. These include many food products such as fruits, vegetables, cereals, milk, and eggs.
Some states permit medical and dental products such as bandages, surgical tools, and X-ray equipment. In some cases, pharmaceuticals are subject to sales tax.
There are different ways of calculating sales tax and Arizona charitable tax credit sometimes it may not make sense to charge sales tax for products. For example, if you sell a refrigerator to someone, but you don’t sell anything else, why would you be required to collect sales tax on the refrigerator?
Also, in some states, some items such as tires, fishing rods, musical instruments, and clothes are not subject to the sales tax. In some states, a person may not have to pay the sales tax on the amount of money the business receives for the sale of certain products, as long as those amounts were spent on the acquisition of other exempt products or services. This is called the use tax.
