Coupons and Taxes

[4littlemonkeys]

Are taxes calculated before coupons or after? Thanks :)

[cpnmaniac44]

Are taxes calculated before coupons or after? Thanks :)

I believe it is before since I've used a $1/1 coupon on a $1 item and owed 1 cent which is the food tax in my state (1%) and maybe it is 1% in all states.

[tmsmalley]

This varies by state but I believe most of the time, you're taxed on what you purchase and the coupon is considered a form of payment. You have the same tax due if you pay with a coupon, cash, credit card or some combination.

My state has no sales tax on anything. California where we used to live is something like 9.5% (varies by county) but 0% for food, unless it is hot food which is different. So if you get a hot pastrami sandwich at the grocery store, taxed. Buy a roll and a slab of meat and some cheese at the same grocery store, not taxed. McDonalds, taxed. Starbucks, taxed.

You'll just have to experiment or do some research on your state and county to see how it works there.


Tess

[wildnutcase]

As a PP said, it can vary by state, you will really just have to try it out and see. I live in Texas, and it seems like it is after coupons. If I buy an item that will be free with my coupons I end up with $0 oop; I don't even have to pay the tax. I bought 10 boxes of Hefty One Zips at Target that were on a price cut for $1.02 I had 10 $1/1 Qs and paid 22 cents---tax on 20 cents.....HTH

[poorolrich]

It also depends on the product. I live in Tx also, the dog food was taxed on the gross but the Activia was not taxed at all. I also think it depends on the cashier, especially if she/him is not sure. I know the first time I got the dog food free I was not taxed but almost all the dog food since then (free) has been taxed, since it was up to the cashier to push the appropriate button.

[4littlemonkeys]

Thanks everyone! I never realized that it was different from state to state! :)

[cpnmaniac44]

It also depends on the product. I live in Tx also, the dog food was taxed on the gross but the Activia was not taxed at all. I also think it depends on the cashier, especially if she/him is not sure. I know the first time I got the dog food free I was not taxed but almost all the dog food since then (free) has been taxed, since it was up to the cashier to push the appropriate button.

we pay 1% on food,
and dog food is a non food product. I use EBT and it is only good on food products, paper products even something as ESSENTIAL as toilet paper is not food.
Here is the table from early 2008. It's old because our food tax is now 1%.
State Sales Tax Rates (http://www.taxadmin.org/FTA/rate/sales.html)

[wildnutcase]

It also depends on the product. I live in Tx also, the dog food was taxed on the gross but the Activia was not taxed at all. I also think it depends on the cashier, especially if she/him is not sure. I know the first time I got the dog food free I was not taxed but almost all the dog food since then (free) has been taxed, since it was up to the cashier to push the appropriate button.


I have not been taxed on any of the FREE dog food I have gotten. I have gotten both the Mighty Dog and the Chef Michael's. I have picked up the Chef Michael's at 4 different Targets, and the Mighty Dog at WalMart, HEB, Target, Handy Andy and Family Dollar--------have yet to pay any tax.

I have also used Qs to get 3M command hooks and KY products that were on clearance for the amount of my Q----as well as the Glade FREE 2 oz soy candles and have not paid any tax on any of it, no matter where I got the items at.

I also purchased the Carefree Ultra liners at WAGs and used a $1 MQ and only paid tax on the 99 cents that remained after the Q ($1.07 for each one) rang them up separately for the $2 RR.

HTH some of the shoppers in Texas.......also, maybe it is different in different parts of Texas :shrug7:

[cbgo]

I have not been taxed on any of the FREE dog food I have gotten. I have gotten both the Mighty Dog and the Chef Michael's. I have picked up the Chef Michael's at 4 different Targets, and the Mighty Dog at WalMart, HEB, Target, Handy Andy and Family Dollar--------have yet to pay any tax.

I have also used Qs to get 3M command hooks and KY products that were on clearance for the amount of my Q----as well as the Glade FREE 2 oz soy candles and have not paid any tax on any of it, no matter where I got the items at.

I also purchased the Carefree Ultra liners at WAGs and used a $1 MQ and only paid tax on the 99 cents that remained after the Q ($1.07 for each one) rang them up separately for the $2 RR.

HTH some of the shoppers in Texas.......also, maybe it is different in different parts of Texas :shrug7:

Here in Austin, I've only paid tax on the amount after coupons. HTH.:smile: