"False Advertising"

[stickycoins]

An older lady came into my store tonight and asked for Newports. I rang them up, $4.08 with tax. She says I charged her too much because the sign outside said $3.89. I told her the sign was right and that was the price BEFORE tax. I showed her another sign inside that said the same thing. She mumbled and grumbled some and then said, "Well, that's false advertising, you know". Now this woman was at least 60 and definitely American and should know that advertised prices don't include tax(wish they did!). Maybe she just felt like complaining.....who knows?

[repsac]

I used to see this all the time. If it wasn't "false Advertising" it was "Bait and Switch."

B&S happened most of the time when corporate sent us stuff for a one day sale. Problem is people don't always get the paper on the same day, so the ad for the One Day Sale, would still crop up nearly a week after the sale had ended. People wouldn't read the date, come looking for the sale items and then claim it was a bait and switch when they couldn't find the one they wanted but found something more expensive.

[JustaCashier]

I often get Customers questioning the total of the item(s) they bought, and once I point out that the tax was a significant factor in the total, they usually understand.

But, I cringe everytime, because I'm afraid an SC is going to claim it should be the advertised pre-tax price.

Mike

[scruff]

Why do the prices shown not include tax? Does the tax change often?
*confused brit*
Our shops usually include tax in the advertised prices, or show both with and without tax prices on the same ad. Makles life easier.

[friendofjimmyk]

Why do the prices shown not include tax? Does the tax change often?
*confused brit*
Our shops usually include tax in the advertised prices, or show both with and without tax prices on the same ad. Makles life easier.

Good question! If someone has the answer, I'm an American and I don't even know. Advertising with tax would be awesome.

Well, as I sit here and think about that, I wonder if it's because they want to show the base price. When things go on sale or are advertised as a certain price, people often buy quantities and the tax changes with the quantity? I don't know.

If it's something that is a base of something else...like say, a computer. They sell the computer for $599.00. That's the base price w/o tax. Maybe someone wants to add a printer/fax/scanner thingy which would increase the base price, thereby increasing the tax.

I don't know, I'm just thinking out loud!

[Gurndigarn]

Why do the prices shown not include tax? Does the tax change often?
*confused brit*

Not often. Rarely more than once every five years or so, and even then, it's only by (typically) a quarter percent.

Our shops usually include tax in the advertised prices, or show both with and without tax prices on the same ad. Makles life easier.

That would be logical. But it would make your prices look higher, and considering that some Americans would burn half a gallon of gas to save five cents on their purchases, there's no way the retailers are going to do it if they don't have to.

[Reyneth]

Different couties often have different tax rates, so it might be to discourage people from going to buy the "cheaper" items 20 minutes away, despite it only being a few pennies per item - therefore depriving thier county of needed revenue. Who knows.

Did this lady have dark hair and a slight accent? I think she was in front of me a month or so ago at a computer supplies store. She was arguing with the cashier that her software (some Windows update or such) wasn't that much. The sign said $299.99, that's the price it should be, why is this cashier charging her $20 more? The sign should include tax. Every other place does, she's shouldn't have to pay tax. etc She insisted that the sign was the final price she should be paying. It went on for FIVE minutes, she refused to move, she wouldn't go talk to CS or a supervisor. Eventually bought the damned thing (with another hundered dollar bill for the tax, might I add) and was making comments about returning it. I just gave the cashier one of those "It's fine, I've been there too" looks/comments. Poor girl.

[Argabarga]

Retailers will always look for a way to make the price appear as cheap as possible, (that's why they cut that penny off the end to make a $200 item $199.99, pyschologicaly, it's supposed to make you think it's a lot cheaper than it really is) So another way to do that is to advertize the pre-tax price for the same reason, the trouble obviously being non observant people who don't notice the (does not include tax) diclaimer on the ad

[Banrion]

Including the tax in prices would make national advertising next to impossible, since sales tax is decided by the state, not the feds, and sometimes even towns have additional taxes on top of the state ones. The only thing I have noticed that the tax is included in the price is gas, and thats something where prices are never advertised since they change daily.

[Becks]

I usually assume to myself that tax is not included...

I'm also occasionally pleasantly surprised when something I buy isn't taxed at all. Woo hoo. A few more pennies for me to save...until next time...

[MadonnaC]

Retailers will always look for a way to make the price appear as cheap as possible, (that's why they cut that penny off the end to make a $200 item $199.99, pyschologicaly, it's supposed to make you think it's a lot cheaper than it really is)

Actually, it stems from forcing the clerk to ring up the sale to give change, so the sale can be recorded, rather than receiving an exact amount and allowing the clerk to pocket the money.

Just goes to show management have never trused us

[Luna]

Sales tax is different everywhere, like someone else said sometimes even different towns within a state will have different sales tax. So a company making signs for 300 stores would have to make 300 seperate signs, it would be a marketing nightmare. I wouldn't want that job even if it were the last on earth. Heh.

It's funny, most of the tax arguements I encounter with SCs are with the older SCs who have been paying tax longer than I have been alive. So I can't understand why they are fighting with me over it. It's not like it's something new.

[repsac]

Just to explain the tax to the guys from across the pond, using my local area.

We have two taxes here. County, and state.

County tax is usually 3%. State, 4% Most of the time, that translates into seven cents on every dollar.

However, for a time, Savannah had a County tax of 6%, and state of 4%. So, it was ten cents on every dollar.

At other times, the tax may change county wise. At one point, I remember the county forgot to vote on it, and the tax went from being 7%, to a flat 5%. The difference was shocking!

[blaubent]

Why do the prices shown not include tax? Does the tax change often?
*confused brit*
Our shops usually include tax in the advertised prices, or show both with and without tax prices on the same ad. Makles life easier.

I think it is because you get these large companies who "run" off their ads in one state, but distribute them to every state (which, many have different sales tax). For instance, Walgreens prints their ads in California. They are distributed to every city but particular city within California (who knows why). It would not make sense for them make different editions of their ads. Cost too much money.

Luckily, I've yet to run into a tax horror story. Knowing Murphy's law, now that I've said it, on Tuesday I'll have some pity soul arguing over state tax.

[MadMike]

Now this woman was at least 60 and definitely American and should know that advertised prices don't include tax(wish they did!).

That would be nice, but as a few others pointed out, sales tax varies from state to state, or even town to town. About the only places I see the tax being included is some small mom-and-pop operations, where there would only be one location, and of course, one set of signs to be made.

I used to see this all the time. If it wasn't "false Advertising" it was "Bait and Switch."

Oh, I got this one from some crazy woman at the home improvements store once. She came in with her husband looking for a sale item which we were out of. Immediately, she starts screaming at me with the whole "Bait and switch" accusations.

I tried to point out that (a) we did offer rainchecks, which she could get at the office, so she would still be able to get the items she wanted at the sale price, and (b) I knew nothing about what she was accusing me of, as I wasn't even the person who did the ordering. Of course, it didn't help that the person who did do the ordering was out that day, otherwise I would have let him deal with her. Meanwhile, her husband just stood there silently rolling his eyes at his wife, obviously ashamed to be seen in public with her acting that way, but too chickenshit to say anything to her.