The state governments of these five States do not tax any goods, but the local governments (municipal governments) in the state will levy shopping consumption tax. For example, the local tax in Alaska can be as high as 7%, and the local tax in New Hampshire can be as high as 3%. In order to promote consumption, some States in the United States implement tax exemption policies on specific dates every year.
On the tax-free day, it is completely tax-free to buy goods of the specified category. Common duty-free goods are: school equipment, clothes, shoes, energy-saving products and so on. Most states in the United States exempt agricultural products (such as vegetables, fruits, eggs, milk and grains).
Prescription drugs are taxed only in Illinois. For over-the-counter drugs (nutraceuticals, such as vitamins), there are five tax-free states, including new york, Oregon, Texas, Virginia and Pennsylvania.
Clothing goods, Minnesota, New Jersey, Pennsylvania and other States are tax-free; Massachusetts/kloc-clothes under $0/75, new york/kloc-clothes under $0/10, and Villemon/kloc-clothes under $0/00 are tax-free. Tax refund for tourists shopping in the United States There are two states in the United States that allow foreign tourists to refund taxes, namely Texas and Louisiana.
Among them, Texas also allows American citizens to refund taxes, provided that you can provide evidence that the purchased goods will be taken out of the United States for use.
Extended data
American tax system
I. Tax management system
The federal, state and local governments in the United States implement a thorough tax-sharing system according to the division of powers and responsibilities. The federal and state legislates separately, and local taxes are determined by the state. The three levels of taxation are separated and managed separately. This tax-sharing system began to take shape in the early days of the founding of the United States. The basic tax law at the federal level is the Internal Revenue Code promulgated in 1939, which was revised in 1954 and 1986 respectively.
The legislative power of taxation shall come into effect after the tax laws and decrees proposed by the Senate and the House of Representatives and the Ministry of Finance are passed by the National Assembly and approved by the President.
Second, the tax collection and management agencies
In the United States, the agency responsible for managing federal tax laws and regulations is the Office of the Assistant Secretary for Tax Policy established by the Ministry of Finance.
This department assists ministers and vice-ministers in formulating and implementing international tax policies, liaises with Congress on tax bills, analyzes the economic situation affecting tax revenue, provides estimates of future tax revenue for the President's budget report, and participates in the negotiation of international tax agreements.
The specific tax collection and management agencies are the Internal Revenue Service and the Customs Service. The Internal Revenue Service is responsible for collecting federal internal taxes and implementing internal revenue bills, and the Customs Service is responsible for collecting customs duties.
The Director of Internal Revenue Service is appointed by the President and reports directly to the Minister of Finance. Under the leadership of the director, the IRS has two departments: the administrative department and the legal department. The three deputy directors respectively lead three types of work in the administrative department: the deputy director in charge of business leads the examination and inspection of tax returns, tax collection, supervision of tax exemption and cooperation with the judicial department to investigate and deal with tax crimes;
The deputy director in charge of policy and management is responsible for making long-term financial management plans, studying and handling the security secrets of the internal revenue service, supervising the distribution of tax publications and employee training; The deputy director in charge of data processing is responsible for processing tax return data, collecting statistical background data, designing information circulation system, and supervising and inspecting the computer system of the internal taxation bureau.
The legal department is headed by the chief consultant. This department drafts detailed rules according to the decrees passed by Congress, issues public or private rulings on special cases of tax law, and participates in litigation on behalf of the Internal Revenue Service in courts all over the country.
The headquarters of the internal taxation bureau only gives general guidance and instructions on the collection work, and the actual collection work is the responsibility of the seven regional taxation bureaus established nationwide. The local tax bureau has the right to decide the problems in the collection and management by itself, without the approval of the General Administration. The regional bureau consists of several regional bureaus, which directly manage the collection and payment of taxes.
Since the United States implements a tax system based on voluntary declaration and payment of personal income tax, the actual work below the regional bureau is mainly to review tax returns.
References:
Baidu Encyclopedia-American tax system