West Virginia Code of State Rules
Agency 110 - Tax
Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT
Series 110-15F - Sales Tax Holiday
Section 110-15F-13 - Rebates
Current through Register Vol. XLI, No. 38, September 20, 2024
13.1. Rebates generally occur after the sale and do not affect the sales price of an item for sales tax purposes. Even when the manufacturer's rebate is applied by the retailer at the time of sale, the rebate amount does not reduce the sales price of the item for sales tax purposes.
Example 1. A jacket sells for $130.00. The customer receives a $10.00 mail-in rebate from the manufacturer. The rebate occurs after the sale and does not reduce the sales price of the jacket. Tax is due on $130.00.
Example 2. A dress sells for $130.00. As a promotion for its new line of dresses, the manufacturer is offering an in-store instant rebate of $30.00, which the retailer allows at the cash register. Even though the net sales price to the customer is $100.00, the purchase is taxable and sales tax must be collected on $130.00. The money the retailer received for the sale was $100.00 from the customer plus $30.00 from the manufacturer.
