Which statements about sales taxes are true? Check all that apply. They are collected by state and local governmentsThe tax rate changes from state to state and city to city.Failure to pay sales tax can result in the government seizing the property. The more something costs, the greater the dollar amount paid in sales tax. Sales taxes are taxes on purchased goods.
Answer
A
They are collected by state and local governments
B
The tax rate changes from state to state and city to city.
C
Failure to pay sales tax can result in the government seizing the property.
D
The more something costs, the greater the dollar amount paid in sales tax.
E
Sales taxes are taxes on purchased goods.
Explanation
Sales taxes are collected by state and local governments, and their rates can differ among states and cities. Since sales tax is generally calculated as a percentage of a purchase price, a more expensive item usually means a larger dollar amount of tax. Sales taxes apply to purchased goods. The statement about the government seizing property for failure to pay sales tax is not generally true of a consumer’s sales-tax obligation at checkout.
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