If I use a U.S. Government-issued coupon to buy a converter box for my analog TV, do I have to pay tax on my purchase?
Yes. The U.S. Department of Commerce is issuing $40 coupons for consumers to apply towards the purchase of converter boxes for their analog television sets. The converter boxes allow analog TVs to work when the broadcasting industry switches to digital broadcasting in February 2009. Under Idaho law, the coupons dont reduce the price that the sales tax is based on. Although the federal government is exempt from tax, the consumer who buys the product is not. Therefore, even if a converter box is purchased using a government coupon, the sales tax is applied to the original sales price before the coupon value is subtracted. Contact us if you need more information.
Related Questions
- Do cable customers with analog TV sets have to buy or rent a set-top box (converter box) from their cable company? If so, how much will it cost?
- If I use a U.S. Government-issued coupon to buy a converter box for my analog TV, do I have to pay tax on my purchase?
- Do cable customers with analog TV sets have to buy a converter box from their cable company?
