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RadioShack $149 deal is more like $205

celmail

Lurker
Feb 22, 2011
4
0
Hi,

I've just picked up my Atrix at the local RadioShack. They added sales tax of more than $50 (based on the $599 non activated price). I should have ordered on amazon (unfortunately the Atrix is on backorder there).

Do AT&T, Costco, BestBuy etc. do the same?
 
Hi,

I've just picked up my Atrix at the local RadioShack. They added sales tax of more than $50 (based on the $599 non activated price). I should have ordered on amazon (unfortunately the Atrix is on backorder there).

Do AT&T, Costco, BestBuy etc. do the same?
yup, that tax rate is set by the state. So that phone from AT&T would cost you around $250 after taxes.

Is this even legal? I thought you pay sales tax on the actual cost you pay for an item. This is ridiculous.
Some state, like CA, tax you on the retail price of the phone, not on the subsidized price that you can get if you sign a contract.

Beware California's hidden cell phone tax
 
Upvote 0
As stated earlier- CA, and possibly others, charge based upon the full price. Don't blame anyone but your politicians. And of course the sales rep that sold it to you since they should have mentioned it.


bingo!

Walmart for some reason gets away with this though. I've lost some sales because people found out walmart doesnt get taxed off the full retail price. How they get away with this i dont know (this is for california at least)
 
Upvote 0
As stated earlier- CA, and possibly others, charge based upon the full price. Don't blame anyone but your politicians. And of course the sales rep that sold it to you since they should have mentioned it.

This should be a sticky on every cell phone forum on the internet. Every single time a new phone is released, the topic of CA's sales tax comes up.
 
Upvote 0

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