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One thing many of us feel we shouldn't have to pay any taxes to purchase is the American flag. Most of us already contribute a good chunk of our incomes in the form of income tax (and other federal taxes) to support our country's government, so it just seems unfair that those who want to display their love for the United States by proudly flying Old Glory should have to shell out even more in taxes to do so. This feeling has fostered a widespread belief that not only are U.S. flag purchases exempt from all sales taxes, but that some manufacturers label them as something other than flags (e.g., decorative banners), thus requiring the collection of taxes for their purchase: Much as we think it should be so, there is no blanket exemption of sales taxes on U.S. flag purchases. Sales taxes are primarily enacted at the state (rather than federal) level, so it's up to each state to set their own policy in that regard. Some states do exempt American flag purchases from state sales taxes, but only a minority of states (14 in all) have such exemptions in place. Moreover, those exemptions may only apply to a subset of flag sales, such as those made by government organizations or non-profit groups.
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