Re: International pricing discrepancy

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Michèl Alexandre Salim wrote:
> AFAIK US sales tax does not apply in most states if
> the selling company is located across state
> boundaries.

Actuall it does. For a long time the individual
was *supposed* to pay the tax on their own, but no one
did when the purchase wasn't in person.
So if you bought from a catalog, TV add, or online
the tax wasn't paid. Before the web, thes sales
were small, in the grand scheme. When the Web took off,
local retailers complained about lost sales , since it
cheaper to buy without sales tax in many cases. That got
the governments attention (lost tax revenue), so they
changed the law. Now if the business has a physical
presence in the state, the MUST collect the taxes.
And in many cases businesses collect taxes for every
state.

It's a real pain for sellers, since the state tax rates differ.
And may town have extra local taxes(that are currently
ignored). Then 50 tax bills have to be sent, one for each state.


> VAT applies throughout the European Union :). And
> tends to be higher than sales tax.

Is the tax paid to the locality where purchased, or where dilivered?
The price listed includes tax buy law. That should be added here.

Aren't they goods and services that are exempt for VAT?

	-Thomas



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