Sales tax is money that has to be paid to the government based on:
D. the cost of a product being purchased.
Here's why:
1. Sales tax is a consumption tax imposed by the government on the sale of goods and services. It is usually calculated as a percentage of the purchase price of the item being bought.
2. When you go to a store and buy something, the price you see on the tag is often without tax. The sales tax is added at the time of purchase and goes to the government.
3. The amount of sales tax you pay depends on the cost of the product you are purchasing. The higher the cost of the item, the more sales tax you will need to pay.
So, in summary, sales tax is based on the cost of the product being purchased, not on the number of cars a person owns, the value of a person's home or land, or the amount of money a person earns.
