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In all jurisdictions, sale taxes (taxes on sales) are just that: taxes imposed on, and collected from, the seller of goods. Such taxes appear on buyers' sales receipts only because, in most instances, the tax cost to seller is passed on to the buyer. But, it is always only the seller/merchant upon whom the burden to account for the sales and pay the taxes is imposed. The common notion that sellers act as tax collectors on behalf of government is false, although, in practical terms, that usually turns out to be what happens.

When merchants run promotions promising to pay customers' sale tax, that is not exactly truthful. Such merchants are simply discounting the merchandise by an amount equal to the tax. Equally deceptive, the tax they (the merchants) pay on those discounted prices is less than what they would have paid (is less than what they purport customers would have paid) at the non-discounted prices. So, when one sees such promotions, one should figure what the merchant actually pays in taxes on the reduced prices in order to determine the true/authentic value of the discount being offered.

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Q: Who has to pay sales tax on merchandise purchased?
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