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I just bought a tundra CM and got the $2000 cash back, but when they wrote it up, I noticed that they calculated the Connecticut sales tax of 6% on the sale price before the cash back was applied.

when I questioned it, he said that is how it is in CT.

Seems pretty stupid way to structure their pricing so that I pay extra sales tax for no reason. why not just reduce the sale price by $2000 and save me the tax?
 

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Probably the way your STATE sales tax code reads. They mandate how and what is taxed. Google your sales tax statute or code and double check the dealer. It's Dept of Revenue down here.
 

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I just bought a new cell phone. Regular price: $249, promotional price: $19.95. CA state tax: $45.37. (Guess which amount the tax was calculated on?)

Taxes suck (and they're on their way up).:bs:
 

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I just bought a new cell phone. Regular price: $249, promotional price: $19.95. CA state tax: $45.37. (Guess which amount the tax was calculated on?)

Taxes suck (and they're on their way up).:bs:
WOW!:scared:
If it is calculated on $19.95 then you are screwed big time my friend:crazy3d:
But if on $249 it is still high:angrywife:
You should consider Delaware:behindsofa:
 

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2 Dixie cups and some string. OUCH
 

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It varies by state but also on how the sales slip is worded. In New York if its stated as rebate then you pay tax on the full amount before rebate. If you buy out of state, some dealers will only list the discounted price in which case you would only pay tax on what you actually paid.
 

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Here in Maryland it is the same way. Sales tax on vehicles are calculated on the FULL price of the vehicle... they don't even discount the trade in price! So, for a $35K vehicle you pay full says tax - incentives/discounts - trade-in value - cash down payment... that is how they effectively raise the tax...
 

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I just bought a tundra CM and got the $2000 cash back, but when they wrote it up, I noticed that they calculated the Connecticut sales tax of 6% on the sale price before the cash back was applied.

It's done the same way in MA.
 
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