Are rebates for cars and electronics just a scam to collect more taxes?
I wanted to buy a car its price was $25,000 plus 8.25% tax. thats $2062.50 more. but there was a rebate of $3000 so i would only pay $22,000 for the car, but the dealership said i had to pay taxes on the whole $25,000. that means that i had to pay an extra $247.50 in taxes on money i was going to get back!
!
so i told the guy, "if you are going to give me $3000 back, why do i have
to pay taxes on it. why not just sell it to me for $22,000 and only pay taxes on that?"
well, he would not take my offer. so is this a scam? a way to make more money that they will not send to the irs???
or is the irs in on it to collect more money from us???