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There's cost involved with handling cash and checks not to mention the risk costs. Checks can bounce and have to be transported to a bank. Cash can be stolen a
by adrr 14y ago
There's cost involved with handling cash and checks not to mention the risk costs. Checks can bounce and have to be transported to a bank. Cash can be stolen and requires secure transportation to a bank. Cost of doing business should be factored in the price. We are moving towards a pricing structure where the advertised price is not the price you pay. Just look at your cell phone bill.
- geuis 14y agoMy info is limited to San Francisco, but here many smaller businesses prefer cash. The processing fees are too high to make accepting cards profitable. I see this policy mainly in smaller restaurants, coffee shops, bars, corner butcher shop, etc.
- yuhong 14y agoIt depends on the amount of cash, I think.
- gmac 14y agoWe are moving towards a pricing structure where the advertised price is not the price you pay. I'm from the UK, but my limited experience in the US says: that ship has well and truly sailed. I'm never quite able to get used to sales tax added at the checkout, and substantial and essentially-mandatory tipping across many services. In Europe you basically always pay the advertised price in a shop or pub, and you can do so at a push in a bar/cafe/restaurant. (In France, I believe even a service charge is included in restaurant menu prices).
- saurik 14y agoIs VAT (which, from the standpoint of a consumer purchasing something at retail, acts as a "very large sales tax") not added at checkout? Is it normally listed on the sticker prices throughout the store?
- gst 14y agoIn most (all?) European countries VAT is included in the sticker prices. If the price on the sticker says €5 you also pay exactly €5 for it.
- kryptiskt 14y ago> Is it normally listed on the sticker prices throughout the store? Unless it is a catalog with products strictly aimed at businesses, VAT is always included.
- rahim_nathwani 14y agoYes. In the UK, sticker prices or advertisements aimed at consumers must include VAT where applicable. This is not so if the sticker/ad/whatever is aimed _solely_ at businesses (many of whom can claim back the VAT). Further info: http://www.hmrc.gov.uk/vat/sectors/consumers/basics.htm http://www.hmrc.gov.uk/vat/sectors/consumers/basics.htm Service charges are a different matter. Some restaurants advertise a mandatory service charge (e.g. 15%) on all bills, or for parties of x (e.g. 6) or more people. Although it may seem like increasing prices by the amount of the mandatory service charge would make life easier for everyone, services charges (even mandatory ones) are treated differently for tax purposes: if they are distributed to employees, they are not subject to VAT (revenue tax) or Corporation Tax (profits tax). They are, however, subject to payroll taxes (PAYE Income Tax and NIC): http://www.hmrc.gov.uk/paye/payroll/special-pay/tips.htm#1 http://www.hmrc.gov.uk/paye/payroll/special-pay/tips.htm#1
- vidarh 14y agoIn some European countries, not only is the VAT included price legally required to be the most prominently displayed price for any products advertised at consumers, but a consumer can legally demand to pay the most prominently displayed price even if it is VAT exclusive, and the seller will be on the hook for the VAT. It acts as a very effective deterrent for companies to try to play games with VAT exclusive pricing.
- lostlogin 14y agoYes, and how did it ever come to be any other way anywhere? No value matters except what comes out my pocket - why tell me any other number?