Mixing cash & credit at EB

S

salmonaxxx

CAGiversary!
In my state, NY, when you buy something with trade-in credit, like with the Edge card, you don't have to pay tax. I have a PSP reserved that I paid for completely with trade-ins, so I don't have to pay tax.

Today, I spent a gift card to reserve a game. I guess the gift card (not Edge) counts as cash, because I got charged tax on that game.

So, if I have one cash pre-order, and one credit pre-order, will they stay separate? Will I have to pay tax on both items, or just the one paid for in cash? TIA
 
I think...I think what you mean by not paying tax is that you are not paying the tax out of pocket...because you paid it 'all the way off with trade ins'...this is probably because the employee is adding in what the tax will be into the final cost...49.99+tax=final cost, and you had enough trade ins to pay the final cost tax and all....I think that is what has happened there....I can't imagine NY EBs have stopped paying the state government their legally bound cut...just a guess...?

as for your second to last question two reserved items would stay completely seperate, no ones making you buy them as a set, but I am guessing you will find you have paid tax% on both in some manner when you get your reciept.
 
You don't pay tax to the government when you trade items. If you trade in 5 games and get $50 credit and use it to buy a $50 game it's an even swap. If you use it to buy a $100 item then you pay $100 - $50 (from your trade-in) + Tax on the difference because it is not an even swap.
 
[quote name='javeryh']You don't pay tax to the government when you trade items. If you trade in 5 games and get $50 credit and use it to buy a $50 game it's an even swap. If you use it to buy a $100 item then you pay $100 - $50 (from your trade-in) + Tax on the difference because it is not an even swap.[/quote]

huh, didn't know that...interesting...just a ny thing or everywhere? :lol:
 
I'm pretty sure this is everywhere, but some game stores do not go by it.

However, how is the Government going to tax trading? If you opened up a shop on the corner of your town and strictly traded rugs, video games, and clothing for other items, how is the Government going to decide to tax that? I think this is the rationale and it makes sense not to tax traded items.
 
I'm in SF in California and I always get taxed when doing the trade in deals or using my EB credit. Am I getting ripped off or something? Anyone in CA get tax free games?
 
The tax is YMMV, by state law, I think. I've never had to pay tax using trade-in credit here in NY. So, a $49.99 game costs $49.99 in credit... as a result, I have a lot of 1 cent remainders on my Edge card.

But what if I were to pay for a game half with credit, and the other half with cash? Would I have to pay tax on the whole thing, or just on the amount of cash I used? (I'll probably never do this, but I was just curious.)
 
You must log in or register to reply here.
bread's done
Back
Top