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<p>[QUOTE="justafarmer, post: 2970176, member: 3926"]Several States levy Gross Receipts Tax as opposed to Sales Tax. Some states impose their tax on the seller while others impose their tax on the purchaser with the seller burdened to act as tax collecting agent for the State. </p><p><br /></p><p>Generally speaking Sales Tax is levied on the actual good or service while Gross Receipts Tax is levied on the proceeds generated from the exchange of a good or service. </p><p><br /></p><p>Again generally speaking (absent of statute to the contrary) in matters concerning tax the 1st exception is the levy. Meaning in disputes of tax the State is first burdened with establishing the levy. Exemption from a tax are exceptions to the levy. Meaning in disputes of tax the taxpayer is burdened with establishing an exemption. </p><p><br /></p><p>Confused? </p><p><br /></p><p>One State may levy tax on the retail sale of tangible personal property while another State may levy the tax on the sale of all tangible personal property and then provide an exemption to taxpayers for items sold for resale. </p><p><br /></p><p>Both of the above levies basically tax the same transaction but there is a shift of burden as to what has to be established by who.[/QUOTE]</p><p><br /></p>
[QUOTE="justafarmer, post: 2970176, member: 3926"]Several States levy Gross Receipts Tax as opposed to Sales Tax. Some states impose their tax on the seller while others impose their tax on the purchaser with the seller burdened to act as tax collecting agent for the State. Generally speaking Sales Tax is levied on the actual good or service while Gross Receipts Tax is levied on the proceeds generated from the exchange of a good or service. Again generally speaking (absent of statute to the contrary) in matters concerning tax the 1st exception is the levy. Meaning in disputes of tax the State is first burdened with establishing the levy. Exemption from a tax are exceptions to the levy. Meaning in disputes of tax the taxpayer is burdened with establishing an exemption. Confused? One State may levy tax on the retail sale of tangible personal property while another State may levy the tax on the sale of all tangible personal property and then provide an exemption to taxpayers for items sold for resale. Both of the above levies basically tax the same transaction but there is a shift of burden as to what has to be established by who.[/QUOTE]
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