AT&T sales tax, why so much?

[istorm]

I just ordered a 32gb 3GS on AT&T website. The phone cost $299, activation is $36, total $335, and the tax is $61.16, which is 18% of $335. I thought $36 activation fee is tax free?

Anyone know why is the tax so high?


PS. I live in LA

[sunshinejenn03]

Where do you live?? The tax on mine was 17.94 and they waived my activation fee.

[cpjr]

Yeah you got screwed.

[chief-j]

I think they charged you the tax you would have paid on a $599 phone, but didn't account for your price reduction. I paid $499 and paid $29.94 sales tax, and I live in MD.

[cpjr]

Appearantly in some states they can legally charge sales tax on the full retail price of the item. So thats what your paying

[istorm]

Where do you live?? The tax on mine was 17.94 and they waived my activation fee.

How do you get them to waive your activation fee?

[Cer0]

I live in Minnesota and my tax was 7.25%, which was 28.93$. So it did the correct tax against the 399$ iPhone.

[sunshinejenn03]

How do you get them to waive your activation fee?

I dunno, they just did it. She was ringing me up, and said "oh and we're waiving your activation fee." I was like, "Oh. Sweet."

However, they did not waive my boyfriend's activation fee (we're on a family account but he bought his for $499 the next day from the Apple store). I'm going to call AT&T and see what they can do for us. You could probably get them to waive the fee if you call them up and nicely ask. After all, you did just buy a new phone when you didn't have to, thus giving them more years of your business.