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Sales tax on Coupons?

Hi!  I have a question. I have a friend who has recently fallen on hard times and was approved for food stamps. She uses coupons, and used them as normal at her first shopping trip to walmart. All she bought was food items, and after her coupons, owed not one cent for tax. She then stopped at Publix, and was informed that even tho she bought only food items, due to the tax on the coupons, she owed sales tax. Is this new or has this something that just was under my radar?

Comments

  • brigi2tebrigi2te ✭✭✭

    I think for food, tax is charged on things that have already been prepared.  Like bread from the bakers or rotisserie chicken.  Have you tried to google sales tax in FL, or whichever state your friend is in?  I don't even try to keep track of what items get charged tax.  I keep my shops to about $30 each and just figure a couple dollars for tax at the most.

  • n77n77 ✭✭✭

    I agree, I'd check the law in your state.  I've never heard of a tax on coupons.  That would be like a tax on a form of payment, like cash.  It does not make sense but they do look for anything they can possibly tax.

  • tonu42tonu42 ✭✭✭



    Hi!  I have a question. I have a friend who has recently fallen on hard times and was approved for food stamps. She uses coupons, and used them as normal at her first shopping trip to walmart. All she bought was food items, and after her coupons, owed not one cent for tax. She then stopped at Publix, and was informed that even tho she bought only food items, due to the tax on the coupons, she owed sales tax. Is this new or has this something that just was under my radar?

    -robinnbama



    She'll be charged tax on prepared foods. I know right now there are coupons for subs, despite food stamps eliminating the tax on a sub, any coupon usage involving subs or say gatorades, taxable beverages, or candy she will be charged the tax based on the coupon amount.

    It's totally weird for a coupon to charge her more, but I guess the government says oh you're getting a better deal because of the coupon so the little extra cents is fair for your friend to pay. I'm pretty sure this is a government related affair and Publix isn't intentionally charging her more. I think, just my opinion. I'll research more and respond. Maybe ask on facebook?

    Found a great post on thekrazycoupon lady. Google "florida tax coupon food stamp" its the first link.

    Publix Cashier
    Everything I say is my opinion
  • n77n77 ✭✭✭

    You also could put a call in to your Congressman, on a state level.  They will do the research for you, if you're really curious and can't find an answer.  If it is a new tax, it could be hard to find. 

  • johnejohne ✭✭✭

    There is no state sales tax in Georgia on food. However, most counties charge a sales tax on everything(including food). Where I live it is 2%. On non food items (or prepared food) we pay 4% state sales tax and we are charged the extra 2% on top of that for a total of 6%. Some counties are higher. We are charged tax at the precoupon amount (including Publix coupons). Competitor coupons and the amount of a coupon that is doubled(if this applies) is also not taxed because it is treated as a store discount(like a sale). This is why 50 cent MQ's that double are really preferable to $1 MQ's. I really don't understand why Publix coupons are not treated this way, but they aren't. I understand that Floridians are charged tax on the post coupon amount and are not taxed at all on food(except for prepared foods-like at restaurants or subs at Publix). If this is true, this is a big advantage that you all have. It is not enjoyed by most of the country.


    Acworth, GA feedback http://iheartpublixforum.com/discussion/3826368/johne#latest I request not to be sent coupons that have been bought from clipping sites or ebay.
  • I'm in Florida, and while it's true that we are not taxed on MOST foods, there are some foods that are taxed.  Soda, little debbie snack cakes, and ice cream come to mind as food items that are taxed. 
     

    Stacie
  • shawnzishawnzi ✭✭✭




    ...I understand that Floridians are charged tax on the post coupon amount...

    -johne

    Whatttt I had no idea. So THAT'S why I keep mis-figuring tax and it being way less than I had planned for at checkout (which isn't a bad thing, it's a pleasant surprise). But if that is true, why is there still tax on free (after coupons) items? Off topic..

  • kloriklori ✭✭✭

    If you buy a $1 taxable item and you have a $1 cpn, you still pay 7 cents for tax. 
    If you buy with EBT food items that are taxable, the tax is "forgiven". 

    Retired to coupon in Riverview! Feedback: http://iheartpublix.vanillaforums.com/discussion/17194380/klori
  • n77n77 ✭✭✭
  • n77n77 ✭✭✭




    Whatttt I had no idea. So THAT'S why I keep mis-figuring tax and it being way less than I had planned for at checkout (which isn't a bad thing, it's a pleasant surprise). But if that is true, why is there still tax on free (after coupons) items? Off topic..

    -shawnzi

    I think this is on topic... "Sales tax on coupons."   BTW, the taxes are not charged the same at every store.  They should be, but they are not.  I'm not sure why.

  • It seems that tax (in Florida, at least in Leon Co) is on pre-coupon amounts.  For example, if you buy $10 of ice cream (one of the taxed foods), but use $5 in coupons, you will still pay tax on the full $10. 

    I agree also, that not all stores are set up the same - for example:  Mios are taxed at publix, but not at Walgreens. 

    Trade Feedback - iheartpublix.lefora.com/2012/12/14/fltwarrington/

    ISO: Protein products
  • Taxes are a weird bug. The cashiers at quiktrip tell me theirs not supposed to be a tax on newspapers but then I go to Publix and they charge tax on papers!

    Vinings
  • kloriklori ✭✭✭

    EBT is the new name for food stamps. You get a debit card that they fill once a month with your allotted amt for the month.

    Retired to coupon in Riverview! Feedback: http://iheartpublix.vanillaforums.com/discussion/17194380/klori
  • n77n77 ✭✭✭

    Oh, I didn't know that.  Thanks.

  • tax is charged on EBT purchases that are paid for with coupons in the state of Georgia.

  • I have EBT here in Florida and all tax on my food items even with coupons have been taken off every transaction I have. Now if I combine my non-food items with the food and use coupons I am always charged a higher cash payout. So I separate into 2 transactions so my cash payout isn't higher than I planned. HTH

    Heather - Orlando
  • tonu42tonu42 ✭✭✭

    I have EBT here in Florida and all tax on my food items even with coupons have been taken off every transaction I have. Now if I combine my non-food items with the food and use coupons I am always charged a higher cash payout. So I separate into 2 transactions so my cash payout isn't higher than I planned. HTH

    -hcr76

    The reason being is because coupons say on them, customer is responsible for tax. The reason you pay less when you separate them is because, the computer thinks most coupons apply to food. Example

    Buy $10 food
    Buy $10 non-food items

    Coupons used
    $5 on food items
    $5 on non-food items

    The computer thinks the coupons pay for the the food items, therefore EBT will not apply any money at all in this case, despite the person originally buying $10 worth of food, or even $5 after coupons. But the non-food coupons clear the cost of the EBT, making the balance of food zero.

    Publix Cashier
    Everything I say is my opinion
  • shawnzishawnzi ✭✭✭

    Can anyone explain why, when I factor in say...$2.34 for tax in my trip, why it is only say, $.57 when all is said and done? Every single time it's more than double less what I was expecting it to be. Not when I get overage or anything, too, so I don't think it's the coupons absorbing the tax.
    Is there not tax on both items in a BOGO deal or something?! Even when I only factor in tax for the one item, and do not count tax on the "free" item, it always ends up being less than I had planned.
    Not complaining, just curious. I'll make a note of what I think tax should be for my trip today and mention the difference for instance, later this morning.

  • shawnzishawnzi ✭✭✭

    For instance I am using my Wisk RC today.
    $6.49 should have $.42 tax in %6.5 land, right? Or am I a dummy at math?
    So, if both are taxed in a BOGO deal, it should be $4.20 tax on 10 bottles. But, I know there is NO way the tax will be that high at checkout. I'll note how much it was on those when I come back, because I'm doing them in their own transaction. 

  • maggimaggi ✭✭✭

    Shawnzi, When in true land of BOGO (instead of half price) you are only taxed on the item you are charged for; the store (retailer) pays sales tax to vender at time of purchase.  Coupons are not taxed but instead viewed as payment by consumer; therefor, tax is added to the retail value before coupons are applied.  In your scenario if the store if offering an item BOGO and you take 10 of those items to checkout you will only be charged sales tax on 5 items.  However,  If you were to  buy 10 items at regular price but use a BOGO coupon you have to pay sales tax on all 10 items.  HTH

  • shawnzishawnzi ✭✭✭

    Ohhh I thought someone here said a while back that you were charged on both. That makes more sense then. Thank you!

  • maggimaggi ✭✭✭

    Perhaps they were charged on both because they were not in the land of true BOGO but where a store advertised BOGO and then charge half price for both; in that instance they would have to pay tax on both.  Have fun on your shop today, hope it's a great one :))

  • Another thing that I've seen affect tax is how the cashier inputs a WD (if you use them).  If they enter them as 'non-food' it will take 0.38 tax off of your total.

    Trade Feedback - iheartpublix.lefora.com/2012/12/14/fltwarrington/

    ISO: Protein products
  •     Another thing that I've seen affect tax is how the cashier inputs a WD (if you use them).  If they enter them as 'non-food' it will take 0.38 tax off of your total.

    -fltwarrington

    Yes, this, or any other competitor's Q, depending on how the cashier does it.  I've even sometimes had negative tax when I'm buying only food items and the cashier inputs it as described above.

    I would like to say that I've seen a couple people mention that ice cream is taxable.  Ice cream in the larger containers (half gallon or close to it) like Breyer's and Edy's is not taxable (I'm in FL).  If you are buying pints or smaller like Starbucks or B&Js...those are taxable.  As well as all bars or multipacks.  I am not sure on quarts as I haven't purchased that size for a long time.

    A little funny tax story.  Probably about a year ago, I purchased some Bailey's Irish Cream flavor creamers. Upon checking my receipt before leaving the store, I noticed I was charged tax on them (coffee creamers are not taxable).  I went up to the service desk and explained, and because there was nothing they could do as the tax is not coded at the store level, they called the store manager.  The manager tried to tell me that because alcohol is taxed and because the Bailey's creamers CONTAIN ALCOHOL, that is why I was being taxed!  I told him no wonder those creamers are such a hot seller!  LOL!  Long story short, he refunded me the tax I paid (yes, I insisted because I know for a fact that creamers are not taxed) and he called corporate the next day.  He found out that they accidentally put the Irish Cream in as taxable.  He called me to let me know I was right and to thank me for bringing it to his attention so it could be corrected.  I still get a chuckle though that he thought those creamers contained alcohol!




  • Yes, this, or any other competitor's Q, depending on how the cashier does it.  I've even sometimes had negative tax when I'm buying only food items and the cashier inputs it as described above.I would like to say that I've seen a couple people mention that ice cream is taxable.  Ice cream in the larger containers (half gallon or close to it) like Breyer's and Edy's is not taxable (I'm in FL).  If you are buying pints or smaller like Starbucks or B&Js...those are taxable.  As well as all bars or multipacks.  I am not sure on quarts as I haven't purchased that size for a long time.A little funny tax story.  Probably about a year ago, I purchased some Bailey's Irish Cream flavor creamers. Upon checking my receipt before leaving the store, I noticed I was charged tax on them (coffee creamers are not taxable).  I went up to the service desk and explained, and because there was nothing they could do as the tax is not coded at the store level, they called the store manager.  The manager tried to tell me that because alcohol is taxed and because the Bailey's creamers CONTAIN ALCOHOL, that is why I was being taxed!  I told him no wonder those creamers are such a hot seller!  LOL!  Long story short, he refunded me the tax I paid (yes, I insisted because I know for a fact that creamers are not taxed) and he called corporate the next day.  He found out that they accidentally put the Irish Cream in as taxable.  He called me to let me know I was right and to thank me for bringing it to his attention so it could be corrected.  I still get a chuckle though that he thought those creamers contained alcohol!

    -cubedword200

    hahahaha, great story! 

    I don't usually pay much attention to tax, but I know for sure the Fruttare were taxed. 

    http://www.iheartpublix.com/index.php/forum/new-forum/#/discussion/4440493/catiemidd

    Darling I'm right in the middle of being fantastic... can you bother me later?

    "Keep Calm and Coupon"
  • Florida tax confuses me. How is it you guys don't get taxed on some foods but taxed on other food items??? How is all that stuff even defined? ScratchHead . I prefer ga tax where I always know my food stuff is 2%

    Vinings
  • Alabama has the same tax on food as anything else.  Pre-coupon tax is paid on everything.

    Depending on where you are, tax could be as low as 5%, but as high as 10% in select cities (state plus county plus city tax).

    aka tn_native == AL/TN border with 50¢ Doubles (for now) and Half price BOGOs
  • kloriklori ✭✭✭

    stores do not pay sales tax to their suppliers.  They collect tax for the state.
    Publix does not pay tax to anyone.  I worked for the original Kash and Karry years ago, and worked their inventories and purchasing invoices. Publx, Sweetbay, and WD purchase from a merchant or supplier and then they sell the item with tax to us. If you look at cs desk, you should be able to see copy of tax certificate on wall. we pay tax on bogos. The store may give us bogo pricing, but the purchase is still on the receipt. Promo takes the second price off, not tax.

    Retired to coupon in Riverview! Feedback: http://iheartpublix.vanillaforums.com/discussion/17194380/klori
  • I would like to know exactly what is going on here as well. I used a $1 coupon for a non-taxable item (a bag of apples) at a store today on an all-food order in which there were no other taxable items. I paid with my EBT card and was then told I owed .07 cents, and that it was a TAX on the coupon! What the heck??? Now people who use EBT are not allowed to save as much with their coupons as everyone else???
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