How often does Cash get you out of sales tax?

[MAJOR METAL]

How often has Cash gotten you out of sales tax on buying a bass in state?. Did you have to really push it to work the deal?. Thanks.

[d8g3jdh]

i got my amp/head free of tax because i paid cash, and he suggested it because he knew i had monetary issues. ended up being a pretty good deal!

[Blackbird]

I have been wandering around my local pawn shops for so long now people know my face, and I know some employees by name, so they're always willing to cut me a deal. I've even brought a friend once and cut a deal for him. (FYI, MIJ Fender J Special for $250 out the door). I had my eye on that bass myself, but since my friend has it, there's a better chance I'll get my greasy mitts on it someday.

[BillyB_from_LZ]

Technically, unless you're buying one in Oregon (or another State with no state sales tax (not sure if it's still the case)), you never avoid paying tax...the shop gives you a discount equal to what the tax would be so it just looks like you avoided paying tax...

Same with "free shipping", "no interest payments" etc. If you're handing over money, you're paying for it despite the word games. The big joke in my home is the "free guitars" that Sam Ash gives me when I spend my kid's inheritance there...

[BurningSkies]

Cash doesn't do the trick, but I do push the "I'll pay x dollars for that INCLUDING TAX" haggle.


I never mention payment type or trades until after the deal has been struck. I will pull the cash deal on occasion when I'm not getting the price I want. A line of hundred dollar bills can overcome a seller's reluctance when all those Benjamins sing together.

[MJ5150]

Originally Posted by MAJOR METAL

How often has Cash gotten you out of sales tax on buying a bass in state?. Did you have to really push it to work the deal?. Thanks.

Pretty much everytime. It was not hard to make it work either. I just looked the salesperson right in the eye and let them know the value of the gear they were selling and the total amount of cash in my wallet.

-Mik

[MAJOR METAL]

I have noticed it seems harder in NY with our 8.5 % sales tax to push a tax free cash deal.

[cheezewiz]

You ALWAYS pay tax. You may get your gear discounted by the amount of the tax, but the store (and subsequently you) will pay the tax.

[Aaron Saunders]

I gotta say, these are getting less and less philosophical, Major...

[Phil Smith]

Originally Posted by cheezewiz

You ALWAYS pay tax. You may get your gear discounted by the amount of the tax, but the store (and subsequently you) will pay the tax.

Not really, if you buy an item for $100 and pay $100 and not 108.25 in say NYC you have not paid tax on the item, or better yet the merchant hasn't collected tax on the item from. This is like saying that when you purchase an item in a private sale that you pay tax for it or if you buy mail order you are paying tax for it. Now if you're saying you pay tax everytime you spend money that becomes an entirely different notion altogether.

My experience has been that with cash you have more ability to negotiate because the credit card company doesn't get a piece of the action and depending on the merchant neither does the City and or State.

[NJL]

Originally Posted by MJ5150

Pretty much everytime. It was not hard to make it work either. I just looked the salesperson right in the eye and let them know the value of the gear they were selling and the total amount of cash in my wallet.

-Mik

They do that because you probably scare the crap out of them.

[MJ5150]

Originally Posted by NJL

They do that because you probably scare the crap out of them.

Yeah, I think that is it most of the time. Sometimes I feel bad about it, other times I don't.

I do know that I have never tried to take advantage of someone when buying. If the item is worth the asking price, I'll pay it.

-Mike

[cheezewiz]

Originally Posted by Phil Smith

Not really, if you buy an item for $100 and pay $100 and not 108.25 in say NYC you have not paid tax on the item, or better yet the merchant hasn't collected tax on the item from. This is like saying that when you purchase an item in a private sale that you pay tax for it or if you buy mail order you are paying tax for it. Now if you're saying you pay tax everytime you spend money that becomes an entirely different notion altogether.

My experience has been that with cash you have more ability to negotiate because the credit card company doesn't get a piece of the action and depending on the merchant neither does the City and or State.

The merchant STILL pays tax based on the amount of the sale. Its only semantics to say you "don't pay tax". In your scenario, the merchant just discounted the item $8.25

[MJ5150]

Originally Posted by cheezewiz

The merchant STILL pays tax based on the amount of the sale.

I'm with you on this. I used to work retail in a shop that sold hot tubs. We could have sales all month long with our prices down 20% and sometimes 30%. We would sell maybe two or three extra tubs during the sale.

The minute we had a "NO TAX" sale, people came pouring in the door. All it amounted to on our end was lowering our prices 7.4% at the time. Our tax rate is 8.6% now. People would line up to buy from us, and they would always comment how awesome it was for us to pay the tax, and how great the deal was. The general buying public are suckers.

-Mike

[Bluez Dawg]

Originally Posted by MAJOR METAL

How often has Cash gotten you out of sales tax on buying a bass in state?. Did you have to really push it to work the deal?. Thanks.

every time even on pedals, and cables, an so on.

[Akami]

We don't have sales tax except in SE Alaska!

[AxtoOx]

Originally Posted by cheezewiz

The merchant STILL pays tax based on the amount of the sale. Its only semantics to say you "don't pay tax". In your scenario, the merchant just discounted the item $8.25

He's right, unless your in a state w/ no sales tax they have to pay it to the state, they may sell you an item discounted for that amount but the business has to pay tax on every sale unless the customer has a resale #. I've ran a small business for 10 years and been through 2 franchise tax board audits. If you think the IRS is bad, you ain't seen nothing. If they are suspisious they will sit there and go through every invoice.
If you do get away w/o paying sales tax from a small shop, the money went in someones pocket and it's a dummy invoice. I have seen that.

[Nick man]

If they dont pay tax on the bass they sell you then they will get a rude awakening from the IRS.

FYI, Cash, credit card, check, debit, etc... makes virtually no difference to the sales associate at any large chain store since they get paid the same regardless. If anything they'd probably prefer credit cards since its quicker and easier to handle without mistakes, plus people spend more money when its on a card.

[Bassic83]

I usually get around 40% off. That should take care of the tax.