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Taxation of Sales and Use

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Multiple Choice

What is the difference between a sales tax and a use tax?

  1. A sales tax is imposed on the seller, while a use tax is imposed on the buyer.
  2. A sales tax is imposed on the sale of goods, while a use tax is imposed on the use of goods.
  3. A sales tax is imposed on the sale of goods and services, while a use tax is imposed on the use of goods and services.
  4. A sales tax is imposed on the sale of tangible personal property, while a use tax is imposed on the use of tangible personal property.
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