Why do we have to pay sales tax on the full retail value of a cell phone in California?

[amarone]

@RealityChuck

No. If an item is on sale, it’s paid on the price you pay for the item. If there’s a rebate or a coupon, however, it’s paid on the full purchase price.

Only if it is a manufacturer coupon, as the coupon is a form of payment. A store coupon is a price reduction and sales tax is charged only on the price after the coupon.

[SCSimmons]

@Leaffan

Mind you some provinces have now combined the provincial tax and the federal tax into one all-encompassing Harmonized Sales tax (HST) which applies to just about everything but raw food and air.

Who wants to start a pool on when the first air tax will be implemented?