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They're not stopping Tesla from advertising gas savings, they're stopping them from pre-subtracting it in the advertised price of the car.
by wlesieutre 8y ago
They're not stopping Tesla from advertising gas savings, they're stopping them from pre-subtracting it in the advertised price of the car.
- ehnto 8y agoMakes sense. Advertising the price as the amount that will come out of your pocket is important, and it's coercive to do otherwise. It's the same way for most consumer products, no reason cars should be any different. There are ways to advertise the savings that won't be coercive. By coercive I mean getting you in the door and beginning the sales process when you otherwise would not have.
- cma 8y agoIronically, many governments dictate that you can't include government charges like sales tax in price advertisements.
- FireBeyond 8y agoWhere? The US/Canada? Most other countries I've lived in/visited require the price advertised to be inclusive of all taxes.
- benj111 8y agoAgreed. In the UK you're skating on thin ice if you advertise to consumers, sales tax free prices, partially on the basis it looks like tax evasion. Plus the principle of being able to pay the advertised price. Now its slightly different in shops for the trade where the pre-tax price is front and centre, the post tax price does still need to be displayed though I think.
- fyfy18 8y agoThis is an EU wide directive. The price advertised should be inclusive of all taxes and additional charges. It is so that the buyer (consumer or business) has clear information about exactly how much something will cost them, and so they can compare prices to other suppliers. https://europa.eu/youreurope/citizens/consumers/shopping/pricing-payments/index_en.htm https://europa.eu/youreurope/citizens/consumers/shopping/pri...
- benj111 8y agoAgreed. There have been cases around vat free sales, and 'we pay the vat' promotions that have been pulled up by advertising standards though. That as far as I understand isn't an EU specific thing.
- mhdhn 8y agoIt’s mixed in the US. Some things have taxes included by law, e.g., gas at gas stations and airline tickets.
- ehnto 8y agoInteresting, my country has it the other way around, you must include taxes in the price as well. The amount you pay at the counter is the amount that's on the price tag.
- makomk 8y agoThis isn't generally the case in Europe - all prices on sites and in stores aimed at ordinary consumers are meant to have VAT included by law.
- cma 8y agoI think it is mostly the US with sales tax. Employement tax (social security/medicare) is also halfway hidden (half never makes it to your paycheck and is paid by the employer, the other half you have to explicitly pay). Tariffs are hidden in the US, though you probably couldn't say for sure with any one product as it might come from different origins with different tariffs.
- mcv 8y agoWhat are the "many governments" that dictate this? I'm only aware of the US allowing advertising in a price that's lower than what you end up paying. Well, in Europe there's an issue with budget airlines advertising tickets for ridiculously low costs that don't include all the costs you're likely to incur when you want to use that ticket. And of course buying houses is complex. But everywhere else, the price advertised has to be the price you pay on purchase. Anything else is deceptive.
- pooya13 8y agoCan you give me an example? All emails I have received from Tesla states the sales price as the sales price and does not state price minus gas savings as the sales price.