Pennsylvania use tax - Do you pay all your taxes?


The following are illustrations of transactions that give rise to Use Tax liability. All examples presume no Sales Tax was paid at the time of purchase, and the item will be used within Pennsylvania.

This one is not surprising:

Example 1. A resident of Pennsylvania purchases a computer from a New York supply house. He incurs Use Tax liability whether he brings it into the Commonwealth himself or has it shipped to him. 
This  one gets a little more interesting:
Example 3. A company has offices in New York and in Pennsylvania. It sends office equipment purchased in New York to its offices in Pennsylvania. The company incurs Use Tax liability on such equipment.
This one is off the wall:

Example 4. A New York firm has salesmen soliciting orders in Pennsylvania. It purchases advertising displays in New York, which it uses for promotional purposes in this Commonwealth. The company incurs Use Tax liability on such displays. 
And even more unreal:
Example 6. A resident of Pennsylvania has his truck repaired in New Jersey. He incurs Use Tax liability on such repair charges when he brings his repaired truck into Pennsylvania.
You may think: oh these taxes are absurd and no one will pay them. However, remember that America's bailout need to be paid with taxes, and U6 unemployment is now over 16%. When you're the only person with a job left, this is how taxes are going to feel:

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