Finance

New Hampshire has no state sales tax, which affects real estate transactions in that:

AReal estate commissions are exempt from any taxation
BBuilding materials for new construction are generally purchased without state sales tax, potentially reducing construction costs✓ Correct
CAll real estate services are taxed at the federal rate only
DProperty taxes are replaced by a sales tax on services

Explanation

New Hampshire has no general state sales tax. This means building materials purchased in NH for construction projects are not subject to state sales tax, which can reduce construction costs compared to neighboring states.

Related New Hampshire Finance Questions

Practice More New Hampshire Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free New Hampshire Quiz →