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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › Recovering sales tax from purchases
Could you help me understand exactly the logic behind why businesses that become customers of other business and purchase from them (so incurs the sales tax in the price paid) can get the sales tax they paid recovered?
I get the sales as they are the agent and it’s not there’s to keep.
Thank you.
Because if that didn’t happen, tax would be being charged twice.
I explain exactly why this is happening in the first of my free lectures on sales tax.
okay thank you
You are welcome 🙂