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No, because each part of the chain has to cut a check to the government for the tax obligation created at their part of the chain, while in sales tax system, on
by xyzzyz 9y ago
No, because each part of the chain has to cut a check to the government for the tax obligation created at their part of the chain, while in sales tax system, only the final retailers have to do it. As a chair manufacturer, you don’t use the invoice from wood wholesaler to deduct their whole tax obligation, just a part of it.