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

Inflation does increase sales tax revenue, something most states experienced in the past few years, and New York especially should be using this extra revenue as an opportunity to reform rather than giving it away as a one-time benefit. —The Editors, National Review, 12 Dec. 2024

The street redesign is projected to boost the area’s property and sales tax revenue in a key corridor for the city, according to a release. —Josephine Stratman, New York Daily News, 9 Dec. 2024

The $3 billion program would be funded by surplus sales tax revenues, largely driven by inflation's impact on consumer prices. —Paul Du Quenoy, Newsweek, 9 Dec. 2024

The government imposes a 10% general sales tax on new residential properties. —Kathleen Peddicord, Forbes, 3 Dec. 2024

Word History

First Known Use

1921, in the meaning defined above

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