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In Business / College | 2025-07-04

Sales tax amounts are generally established by which of the following?

A. State and local rates
B. Federal and state rates
C. Federal and local rates
D. Business and federal rates

Asked by caliban23

Answer (2)

Sales tax amounts are established by state and local rates, which can vary by region. States set their base rates, while local authorities may add additional taxes. The federal government does not impose a sales tax, highlighting the state-local structure of sales tax systems. ;

Answered by GinnyAnswer | 2025-07-04

Sales tax amounts are primarily determined by state and local rates, as the federal government does not set sales tax. States establish a base rate, which can be augmented by local governments for specific areas. This allows different regions to have varying sales tax rates based on their economic needs and priorities.
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Answered by Anonymous | 2025-08-13