use tax
- A tax charged by a state to make up for the lost sales tax when an item purchased elsewhere gets used within the state
- After purchasing the car from a tax-free state, he was surprised by the use tax when he registered it in his home state.
- Since she purchased her furniture out-of-state and had it shipped home, she will have to pay a use tax.
- To avoid double taxation, his state credits the sales tax paid to another state against the use tax owed for his new boat.
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