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Old Aug 29, 2013, 01:41 PM   #26
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The phone is not on sale you are still paying the full price, what you are paying at the register is in essence the down payment.
If I pay full price for the phone am I not still paying the same amount in contract fees? So the phone is on sale. I still need to sign a 2 year contract for service.
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Old Aug 29, 2013, 01:55 PM   #27
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If I pay full price for the phone am I not still paying the same amount in contract fees? So the phone is on sale. I still need to sign a 2 year contract for service.
Depends on your service provider..I brought my 8830 with me to Verizon my $99 every flat plan went to $60 something because I brought my phone.
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Old Aug 29, 2013, 01:57 PM   #28
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Depends on your service provider..I brought my 8830 with me to Verizon my $99 every flat plan went to $60 something because I brought my phone.
Do you pay month to month or under contract?
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Old Aug 29, 2013, 02:07 PM   #29
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Do you pay month to month or under contract?
Contract
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Old Aug 29, 2013, 02:09 PM   #30
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Contract
So how much did you really save by buying a phone unsubsidized.
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Old Aug 29, 2013, 02:14 PM   #31
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So how much did you really save by buying a phone unsubsidized.
A lot being that it wen through two contracts, my iPhone 4 contract is up and I'll go another 2 years on it.

But that's not what were taking about, you pay tax on the full price of the phone whether you're making payment on it or not, just like a car.
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Old Aug 30, 2013, 07:32 AM   #32
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Just buy it in a different state.
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Old Aug 30, 2013, 02:36 PM   #33
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Just buy it in a different state.
New Hampshire wants any money it can get from Mass (many people from Mass come to NH to shop since NH doesn't have a sales tax) .
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Old Sep 2, 2013, 06:55 PM   #34
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New Hampshire wants any money it can get from Mass (many people from Mass come to NH to shop since NH doesn't have a sales tax) .
second that. That's why the apple store in Nashua is about 50 foot beyond the NH border. I shop there a lot. I don't mind some sales tax but 40 bucks on top of a iPhone makes it worth to stop by in Nashua. I'm there quite often so cost for gas and driving time are not an issue.
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Old Sep 3, 2013, 01:26 PM   #35
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So I guess I'm confused.

Your getting a ~$700 phone whether you pay that up front of during your contract. Why is it you shouldn't be taxed as if it's a ~$700 phone? The price doesn't change the payment terms do.
Because you'd be getting double-taxed. You would have to pay the tax on the full amount of the phone. Plus the subsidy is included in the monthly service fees and you'd be taxed on that as well. It's the same argument we all had when AT&T and VZW announced their plans to separate the cost of the device from the cost of service.
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Old Sep 3, 2013, 01:33 PM   #36
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Because you'd be getting double-taxed. You would have to pay the tax on the full amount of the phone. Plus the subsidy is included in the monthly service fees and you'd be taxed on that as well. It's the same argument we all had when AT&T and VZW announced their plans to separate the cost of the device from the cost of service.
No your taxed on the service and the phone..

The subsidy is separate it's been separate since they started offering them in the mid 90's
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Old Sep 3, 2013, 01:45 PM   #37
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No your taxed on the service and the phone..

The subsidy is separate it's been separate since they started offering them in the mid 90's
Well it's not like they make it easy to read the bills, which is probably intentional.

In any case, they don't charge on the full, unsubsidized price in WA state.
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Old Sep 3, 2013, 03:44 PM   #38
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Well it's not like they make it easy to read the bills, which is probably intentional.

In any case, they don't charge on the full, unsubsidized price in WA state.
They do not charge tax on the unsubsidized price in Kansas as well.
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Old Sep 4, 2013, 11:18 AM   #39
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The phone is on sale, and you are paying it back with a service contract.

If you buy something on sale do you pay taxes on the full retail price or the sale price
It's not really on sale. The carriers found a loop-hole to charge you for the phone, but make it look like you were paying for something else that is non-taxable (the service contract).

The carriers are charging you more for the service contract than the true cost (plus) profit. It's basically 'cost of contract'+'profit on service contract'+'extra profit that just happens to cover their cost of the phone'. This allows them to sell you the phone at a "loss", but to then recover their loss by using the 'extra profit' they build into the service contract payments.

The people who get really robbed are the ones who just buy the service contract without getting a phone, since they are paying for a phone they don't receive.

All that state is doing is closing that loop-hole.
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Old Sep 4, 2013, 11:51 AM   #40
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No fair. Buy the phone for $199, must pay sales tax on $650.

Just thought those of you who don't have this situation might enjoy feeling good about where you live.
Doesn't really work here in Ireland, the tax on a $199 purchase here would be over $45 (more than you're paying); or if applied to the $650 would be $149.

Booooh!
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