one dollar :)

Work and Travel – Sales tax – USA way :)

Have you ever tried to buy a new pair of Jordans in the USA and despite the price on the shelf 100 USD you had to pay 110 USD? Well, that’s how sales tax works in the USA.

Everybody heard the famous sentence that “in this world, nothing can be said to be certain, except “death and taxes”. One of the taxes that you will be mostly surrounded by on the Work and Travel program is the sales tax. Everytime you purchase some goods you have to pay the tax. Easy, right? Not really 🙂 Sales tax is added at the checkout – before that time you don’t know exactly how much you are going to spend.

Every state has different sales tax rate. On the average sales tax is around 8%-10% and can even vary from city to city as the tax is base on the “state tax rate” and “local tax rate”.

Four states have the sales tax rate set on the 0% – Oregon, Delaware, Montana, New Hampshire.

The highest sales tax is currently in Atlantic City, NJ – 12.875%.

The procedure in short:

  • you see the price
  • you take the item
  • you go to the counter
  • clerk adds the sales tax
  • you pay you can read more on wikipedia.

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