Question

Say that you are about to make a major purchase and would like to save money on sales tax. Which of these is a viable way to reduce the amount you will pay on sales tax?
a.

Sales tax is a tax like any other, so you can claim additional dependents and get a deduction on it.

b.

Businesses are allowed to charge a 1% fee for automatically calculating sales tax for you, so you should calculate the sales tax out yourself.

c.

Sales tax varies by state, so you can travel to a state with a lower tax rate and make your purchase there.

d.

If you buy an item on credit, the credit bureau must pay the sales tax instead of you, so you should make your purchase using a credit card.

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Answer 1

Answer: c.) Sales tax varies by state, so you can travel to a state with a lower tax rate and make your purchase there.

Step-by-step explanation:

Sales tax rates vary significantly from state to state, so you can save money if you know what state has a lower sales tax rate, so you can travel to that state and make your purchase there.

There is a list of states with lower sales tax rates:

1. Alaska 1.43% Sales tax rates

2. Hawaii 4.41% Sales tax rates

3. Wyoming 5.36% Sales tax rates

4. Wisconsin 5.44% Sales tax rates

5. Maine 5.50% Sales tax rates

6. Virginia 5.65% Sales tax rates

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