- use tax
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use tax n: a tax imposed on the use of personal property and esp. property purchased in another state; specif: a one-time tax imposed on the exercise or enjoyment of any right or power over tangible personal property that is incident to the ownership, possession, custody, or leasing of ita law allowing the payment of a sales tax to be credited against the amount of use tax duethe manufacturer became liable for a use tax when items were withdrawn from inventory for internal use
Merriam-Webster’s Dictionary of Law. Merriam-Webster. 1996.
- use tax
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A tax imposed by a state to compensate for the sales tax lost when an item is purchased outside of the state, but is used within the state. For example, you buy your car in a state that has no sales tax, but you live across the border in a state that does have a sales tax. When you bring your car home and register it in your state, the state taxing authority may bill you for the sales tax it would have collected had you bought the car within the state.Category: Business, LLCs & Corporations → Business Accounting, Bookkeeping & FinancesCategory: Business Cash Flow Problems & BankruptcyCategory: Business, LLCs & Corporations → Business Tax & DeductionsCategory: Personal Finance & Retirement → Taxes → Tax Audits
Nolo’s Plain-English Law Dictionary. Gerald N. Hill, Kathleen Thompson Hill. 2009.
- use tax
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A charge imposed on the use or possession of personal property.
Dictionary from West's Encyclopedia of American Law. 2005.
- use tax
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A charge imposed on the use or possession of personal property.
Short Dictionary of (mostly American) Legal Terms and Abbreviations.
- use tax
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n.a state tax on goods purchased in another state for use in the taxing state, to make up for local sales tax. Example: Bill Buyer, who lives in California (which has a sales tax), orders a freezer from a company in a state with no sales tax. California will attempt to charge a "use" tax equivalent to its sales tax.
Law dictionary. EdwART. 2013.
