Sales taxes in the United States

[25] State courts have often found that numerous transfers of intangible rights are to be considered subject to sales tax where not specifically exempted.

Airlines and hotels may be taxed on purchases of food to be provided as part of their services, such as in-flight meals or free breakfast.

[33] Many state tax administrators and courts look to the "true object" or "dominant purpose" of the transaction to determine if it is a taxable sale.

Some states do attempt to charge consumers an identical per-transaction use tax instead, but compliance is relatively low due to the difficulty of enforcement.

[77] Most non-prepared food products are exempt, as are prescription medications, all internet services, all magazine and newspaper subscriptions, and textbooks (for college students only).

A 10% tax is imposed on liquor sold for off premises consumption, 10% on restaurant meals (including carry-out) and rental cars, 18% on parking, and 14.5% on hotel accommodations.

These include a special-purpose tax (SPLOST) for specific project lists, a general-purpose LOST, a homestead exemption (HOST), and an educational one for public schools (ELOST) which can be put forth for a referendum by the school boards (the county's and any of its cities' must agree), instead of the county commission (in cooperation with its city councils) as the other taxes are.

Also, the city of Atlanta imposes an additional 1% municipal-option sales tax (MOST), as allowed by special legislation of the Georgia General Assembly, and last renewed by voters in the February 2016 presidential primaries until 2020.

[90] In April 2016, a November referendum for an extra half percent was signed into law for MARTA, but only for the city of Atlanta, after legislators from the wealthy northern suburbs refused to allow the bill to advance unless their districts were excluded.

Also, unlike other states, businesses are not required to show the tax separately on the receipt, as it is technically part of the selling price.

[98] Food purchases made through the Supplemental Nutrition Assistance Program are exempt from the excise tax by federal law.

The printer owes Service Occupation Tax on the value of the paper and ink transferred to the customer in the form of printed business cards.

An additional 1% is charged for prepared food and beverage purchases in the Loop and nearby neighborhoods (the area roughly bordered by Diversey Parkway, Ashland Avenue, the Stevenson Expressway, and Lake Michigan).

Untaxed retail items include medications, water, ice and unprepared, raw staple foods or fruit juices.

There is an additional 2% tax on restaurant sales in Marion County to pay for Lucas Oil Stadium and expansion of the Indiana Convention Center.

"[124] Maryland has a 6% state sales and use tax (raised from 5% in 2007) as of January 3, 2008, with exceptions for medicine,[125] residential energy, and most non-prepared foods (with the major exceptions of alcoholic beverages, candy, soda, single-serving ice cream packages, ice, bottled water [including both still and carbonated water], and sports drinks).

In Urban Enterprise Zones, UEZ-impacted business districts, and Salem County, sales tax is collected at 50% of the regular rate (currently 3.3125%) on certain items.

Additional exemptions include internet service,[181] newspapers, textbooks, disposable diapers, feminine hygiene products, toilet paper, wet wipes, prescription drugs, many over-the-counter drugs and supplies, oral hygiene items (including toothbrushes and toothpaste), contact lenses and eyeglasses, health club and tanning booth fees, burial items (like coffins, urns, and headstones), personal protective equipment for production personnel, work uniforms, veterinary services, pet medications, fuel for residential use (including coal, firewood, fuel oil, natural gas, wood pellets, steam, and electricity), many farming supplies and equipment, ice,[182] and tea[183] (including powdered, hot, cold, and flavored).

Additionally, signs posted in many places of business inform that South Carolina residents over the age of 85 are entitled to a 1% reduction in sales tax.

An additional 0.7% state tax (totaling 6.0%) is applied in the Northern Virginia region (Cities of Alexandria, Fairfax, Falls Church, Manassas, and Manassas Park; and Counties of Arlington, Fairfax, Loudoun, and Prince William) and the Hampton Roads region (Cities of Chesapeake, Franklin, Hampton, Newport News, Norfolk, Poquoson, Portsmouth, Suffolk, Virginia Beach, and Williamsburg; and Counties of Isle of Wight, James City, Southampton, and York), as well as Christiansburg, which currently has the highest meals tax in the United States at 12.8%.

Virginia's use tax also applies at the same rate for out of state purchases (food and hygiene items 1%, non-food 5.3% to 7%) exceeding $100 per year "from mail order catalogs".

The initiative repealed all taxes levied on candy, gum, snack foods, carbonated beverages, and bottled water that had been imposed by the state legislature on 1 June 2010.

[220] Since 1 April 2017, the sales tax in King, Pierce and Snohomish counties went up by 0.5 percent in order to fund the third phase[221] of Sound Transit light rail expansion.

[225] Since 2007, new residents of West Virginia no longer have to pay the 5 percent title privilege tax when bringing their own vehicles into the state.

The municipalities of Lake Delton, Wisconsin Dells, Bayfield, Stockholm (passed by legislature in 2013), Eagle River, and Rhinelander (as of 2017) have also been authorized to adopt an additional "Premier Resort Area Tax", due to their status as popular tourist destinations.

In May 2013, the Senate passed the Marketplace Fairness Act, which would allow states to collect sales taxes for purchases made online.

[237] The bill received support from retailers including Walmart and Amazon.com, who have claimed that it is unfair not to require online merchants to collect sales taxes.

[237] The National Taxpayers Union (NTU) spoke out against the bill,[240] along with The Heritage Foundation, which indicated that it would harm Internet commerce and small businesses.

[241] Online retailer eBay believes it will hurt some of its sellers and lobbied Congress to exempt businesses that have less than $10 million in out-of-state sales or fewer than 50 employees.

Solicitor General's representative, Malcolm L. Stewart, both posited that if the Court overturns the Quill decision that the ruling must be retroactive and not merely prospective.