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This Week on the Life and Money Show

Mary Bach discusses consumer issues

by News Release

Please tune in to the Life and Money Show on Saturday December 8th at 10 a.m. as Doug invites Mary Bach, Chair AARP Consumer Issues Task Force for Pennsylvania to discuss how her lawsuit against K-Mart panned out.

Ms. Bach sued K-Mart because her $3.99 toilet paper purchase was incorrectly taxed (for 28 cents). Ms. Bach won, and under Pennsylvania's consumer protection law, K-Mart must pay $100 (357 times Ms. Bach's actual damages).

The bottom line is that the lawsuit is not so much about K-Mart as it is about our absurd sales tax situation.

According to the Tax Foundation, a non-partisan, non-profit research organization that has monitored tax policy at the federal, state and local levels since 1937, some 7,400 jurisdictions in the United States impose a sales tax, and most if not all of those taxes carve out exemptions and exceptions for politically-favored products. Keeping track of what's taxed and what's not in 7,400+ tax codes is a tough job, and if a business messes up, you face fines and lawsuits.

Do you know what is and what is not taxable in Pennsylvania?

The following items are among those exempt from Pennsylvania's sales tax: wrapping paper, toothbrushes, coal, coffins, horses (but only if shipped out-of-state or used for commercial racing), three kinds of trout (out of twenty!) gum, tourist promotional materials, and toilet paper.

Absurd, isn't it?

Hosted by financial professional Doug Keegan, the Life and Money Show airs on 960 WHYL Saturday mornings from 10 to 11 and broadcasts throughout Central PA. The show is streamed live at www.whylradio.com.

Archived programs can be heard at www.thevoiceofpa.net

Douglas A. Keegan, MBA, CFP®
Jacqueline L. Powell & Associates, Inc.
43A Brookwood Avenue, Suite 6
Carlisle, PA 17013
Phone: (717) 258-0751
doug@jpowellassoc.com
www.jpowellassoc.com