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Originally Posted by JimmyJ
Anyone remember the FST? Used to be included in the price, but dumped when the GST came in.
Still paid PST on top though, so PST was essentially a tax on a tax...
I worked retail when the FST was still in effect, and when they changed to the GST, there was a huge overhead by the company to re-pricetag everything (it was a major now-defunct department store). With HST included in the price, companies would have to do the same everytime the tax changed.
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The price of products (sales, old, discontinued) changes more often than the tax rate. Most products are on and off shelves before the tax rate changes. When I used to work retail, we would get a weekly package from head office that would have a hundred or two price changes and sales in it and they would have to be up by the end of the next day. At least when the tax changes you have several months of preparation time.
Quote:
Originally Posted by red-paladin
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Doesn't mean that the BC legislature can't change the provincial law (like they did to adopt the HST) to have prices include applicable tax. Businesses just like to give the customer the 12% surprise after they've committed to already buying. You can't really go "oh gee, the tax is that much on my meal" after you've already eaten it. It's a subliminal tactic that actually works, just like using $9.99 instead of $10.