Why did the iPhone 4S cost me $473?

[illegalprelude]

Hey everybody. So I live in LA with a tax of .0875% and the iPhone 4S 64GB costs $399 + Tax. Why is it that Apple charged me $473 and not say like $435ish?

 

[alphaod]

$35 activation fee?

Not sure really—what does your receipt say?

 

[jenzjen]

CA charges tax on the non subsidized price regardless of the price you actually paid

 

[illegalprelude]

$35 activation fee?

Not sure really—what does your receipt say?

Well I figured if anybody would charge me that, it would be AT&T and not Apple right?

Edit:

Mystery solved. At the bottom of the receipt

*In CA and RI sales tax is collected on the unbundled price of the iPhone.

That's right, in CA, they charge you tax based on the actual price and not the subsidized price.

 

[DerekTS]

CA charges tax on the non subsidized price regardless of the price you actually paid

^ This is correct. I know because I live in CA and was taxed for the unsubsidized amount as well.

 

[alphaod]

CA charges tax on the non subsidized price regardless of the price you actually paid

That's interesting to know.

 

[LivingLarge]

Hey everybody. So I live in LA with a tax of .0875% and the iPhone 4S 64GB costs $399 + Tax. Why is it that Apple charged me $473 and not say like $435ish?

Yeah, that sucks. Having to pay the 8.75% tax on the $849 price of the phone.