Ariz. Admin. Code § 15-5-129

Current through Register Vol. 30, No. 50, December 13, 2024

Section R15-5-129 - Discounts, Refunds, and Coupon Redemption

A. Cash discounts allowed the purchaser for timely payment are permissible as deductions from the sale price.

B. Refunds in cash or credit given on returned merchandise are considered to be a reduction of sales.

C. When coupons issued by a manufacturer are redeemed by a retailer the amounts refunded to the purchaser are not permissible as deductions from the selling price of articles sold by the retailer. In these cases, the gross selling price is taxable.

D. Coupons issued by a retailer and later redeemed by the retailer as a discount on the price of merchandise sold by him are considered a reduction of the selling price. In such cases the net selling price is subject to tax.

Ariz. Admin. Code § R15-5-129

Renumbered from R15-5-1840 effective August 9, 1993 (Supp. 93-3).