Navigating US sales tax laws and regulations can be a complex and challenging task for many businesses operating in the United States. This article explores sales tax exemptions, their scope and purpose, and the different criteria on which they are based.
What are exemptions in sales tax?
State sales tax laws often contain broad statements taxing large categories of transactions. However, within these broad categories of taxable transactions, states often carve out certain specific types of transactions and exempt these from sales tax.
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