Customers Paying Sales Tax On Regular Price, Not Sales Price

It's certainly that time of year, lots of shopping and most of us are looking for sales. But a News 9 viewer came to us when he noticed he was charged sales tax on the original price NOT the sales price.

We took this to the Oklahoma Tax Commission who said this is actually legal in some cases. But when you are looking for those deals this holiday season this is something you may want to be aware of.

Bill Grownos prides himself on his ability to save money. So he was pretty excited when he found a deal at Sam's Club for two Google mini's at almost half price. Until he realized something was amiss with the amount of sales tax he was paying.

“I look at it and it’s over 10% so I get out the calculation and it’s 16% sales tax,” he recalled. “And I’m like wow that’s pretty bad. The deal is no longer really good, it’s an okay deal.”

Bill did some searching online and saw a posting from another Oklahoma City man who had the same thing happen to him.  He said he ended paying an extra $25 in sales tax for a TV. 

“It doesn’t seem right,” said Bill. 

Paula Ross, with the Oklahoma Tax Commission however said that is Oklahoma law. She explains If something's on sale, you pay sales tax on the sale price. But if there is a manufacturer rebate or coupon, they collect sales tax on the full price.

“If the store is going to get the total amount, then the state wants the citizens to get the total amount of sales tax,” she said. 

Bill said he understands that. But, “I couldn’t find anything where they said this was going to happen.”

In Maryland, there is a class action lawsuit against Sam's Club over that very issue. Those suing the company say Sam's Club intentionally misrepresented the sales price before by not disclosing they would have to pay more in sales tax.

News 9’s attempts to contact Sam’s for comment were unsuccessful.