sales tax

noun

: a tax levied on the sale of goods and services that is usually calculated as a percentage of the purchase price and collected by the seller

Examples of sales tax in a Sentence

Recent Examples on the Web
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The plan would also include a sales tax exemption for construction materials. Alecia Taylor, Kansas City Star, 6 June 2025 Cupertino had cut close to $30 million over the past two fiscal years in order to compensate for a decline in its sales tax revenue. Stephanie Lam, Mercury News, 4 June 2025 Cities typically welcome a Costco due to the significant sales tax revenues its huge stores generate. Jonathan Lansner, Oc Register, 4 June 2025 Republicans criticized the use of one-time revenue streams to fill shortfalls, including the diversion of money from road projects by again delaying a shift of revenue from the sales tax on gasoline from the state’s general fund to the road fund, freeing up $171 million to spend on operations. Dan Petrella, Chicago Tribune, 2 June 2025 See All Example Sentences for sales tax

Word History

First Known Use

1921, in the meaning defined above

Time Traveler
The first known use of sales tax was in 1921

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Cite this Entry

“Sales tax.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/sales%20tax. Accessed 10 Jun. 2025.

Kids Definition

sales tax

noun
: a tax paid on the purchase of goods and services and collected by the seller

Legal Definition

sales tax

noun
: a tax levied on the sale of goods and services that is usually calculated as a percentage of the purchase price and collected by the seller

More from Merriam-Webster on sales tax

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