Sales tax

From Tax Rates Wiki

Sales tax is a consumption tax typically collected by the seller from the buyer at the time of sale, usually by applying a percentage rate to the taxable subtotal. The seller usually is then responsible for remitting collected tax to a government entity. In the United States, this may be a state, county, city or other tax authority.

While the seller is typically the one who collects sales tax, if tax is not collected by the seller, the buyer may be required to submit the tax to the appropriate agency post-sale. This can be referred to as consumer use tax.

In Arizona, a Transaction Privilege Tax (TPT) is imposed instead of a sales tax, allowing the state to collect from the seller for their gross receipts. In turn, the seller may pass that tax onto the purchaser in the form of a sales tax to recoup the money to pay the TPT.