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J E F F4
Whatta Ya Think About Dat?
Premium Member
join:2004-04-01
Kitchener, ON

J E F F4 to BonezX

Premium Member

to BonezX

Re: The elusive penny

They could, but once a person buys an orange or banana or some bulk food. Another problem, after 2 or more items are added, the tax not longer adds up.

Example: Item at 1.02 + tax = $1.15 (in ontario)
Example: Above item 7@ 1.02 + tax = $8.07

It would only work with an item or two...

BonezX
Basement Dweller
Premium Member
join:2004-04-13
Canada

BonezX

Premium Member

said by J E F F4:

They could, but once a person buys an orange or banana or some bulk food. Another problem, after 2 or more items are added, the tax not longer adds up.

Example: Item at 1.02 + tax = $1.15 (in ontario)
Example: Above item 7@ 1.02 + tax = $8.07

It would only work with an item or two...

tax per item would solve that pretty quickly. and works out cheaper in the end(about 2c by your example)

Gone
Premium Member
join:2011-01-24
Fort Erie, ON

Gone

Premium Member

said by BonezX:

tax per item would solve that pretty quickly.

So you're saying different tax rates for different products merely so that everything rounds to 0 or 5?

If that's what you're saying, I don't think you fully grasp the ramifications of trying to implement something like that for people who actually have to track and report on the taxes they collect and the products they sell.
BrianON
join:2011-09-30
Ottawa, ON

BrianON

Member

Would like to see the nickel and quarter go leaving just the dime. Easy to round change to the nearest 10c. Could make a cheap plastic holder for nine dimes so they are kept together and you can see the total value easily. Nobody wouold have to spend time counting nickels, dimes and quarters to give the cashier or digging around in a purse, wallet or pockets. You either give some of your nine dimes or get some to put in the holder.

J E F F4
Whatta Ya Think About Dat?
Premium Member
join:2004-04-01
Kitchener, ON

J E F F4 to BonezX

Premium Member

to BonezX
As Gone See Profile said, that wouldn't work as tracking taxes would be made impossible. And in all cases, the retailter would make sure everything rounds into their favour. It's simply better to leave it as is. People will figure it out in a bit of time.

nitzguy
Premium Member
join:2002-07-11
Sudbury, ON

nitzguy to Gone

Premium Member

to Gone
said by Gone:

said by BonezX:

tax per item would solve that pretty quickly.

So you're saying different tax rates for different products merely so that everything rounds to 0 or 5?

If that's what you're saying, I don't think you fully grasp the ramifications of trying to implement something like that for people who actually have to track and report on the taxes they collect and the products they sell.

You COULD roll it into the price showing . I don't know with the the HST being in effect, but again I've said it before I'm 100% positive that retailers could choose to roll the prices in, but choose not to because of what I like to call "optics".

Maybe now its time for retailers and other small businesses to re-think that strategy with the penny disappearing.

Show the price is $1.30...HST included. That way you always balance at the end of the day. I mean, gas stations do it already so it must definitely be possible and must not be completely "financially ruinous" to do so.

Just food for thought. Might save some small businesses some hassle. Tell your client, its this price, tax already included...again, for retailers maybe not, but most, if not all small businesses shouldn't have to worry about a client worrying about 3 or 8 cents....

Just my thoughts on the matter, my $0.05.

Black Box
join:2002-12-21

Black Box

Member

In my birth country it is the law to post the full price the customer pays. Most retailers also post on the label the price without the VAT included (essentially what is posted here) too.

nitzguy
Premium Member
join:2002-07-11
Sudbury, ON

nitzguy

Premium Member

said by Black Box:

In my birth country it is the law to post the full price the customer pays. Most retailers also post on the label the price without the VAT included (essentially what is posted here) too.

Because of an obscure provision in the Constitution Act of 1867, the Federal government cannot enforce what they wanted, as this "power" is delegated to the provinces, which have decided to keep it optional...

Thank you 1867 people for making things difficult today.

Black Box
join:2002-12-21

Black Box

Member

Doesn't have to be enforced federally. The provinces could enforce it themselves. The effect would be the same.

J E F F4
Whatta Ya Think About Dat?
Premium Member
join:2004-04-01
Kitchener, ON

J E F F4 to Black Box

Premium Member

to Black Box
said by Black Box:

In my birth country it is the law to post the full price the customer pays. Most retailers also post on the label the price without the VAT included (essentially what is posted here) too.

That was done here when the GST first came out, Woolco marked all prices with GST added. Didn't work out too well for them though, and they changed it back within 3 months.

Black Box
join:2002-12-21

Black Box

Member

If I'm understanding it right, it was just one company. It needs to be regulated so everybody does it the same. We need a level playing field.

donoreo
Premium Member
join:2002-05-30
North York, ON

donoreo to J E F F4

Premium Member

to J E F F4
said by J E F F4:

said by Black Box:

In my birth country it is the law to post the full price the customer pays. Most retailers also post on the label the price without the VAT included (essentially what is posted here) too.

That was done here when the GST first came out, Woolco marked all prices with GST added. Didn't work out too well for them though, and they changed it back within 3 months.

Yes, I remember, retailers had the option. People wanted to see the price without tax.
IamGimli (banned)
join:2004-02-28
Canada

IamGimli (banned) to J E F F4

Member

to J E F F4
said by J E F F4:

That was done here when the GST first came out, Woolco marked all prices with GST added. Didn't work out too well for them though, and they changed it back within 3 months.

Funnilly enough one of the last retailers to still mark prices that includes all taxes is the SAQ in Québec, the Government-owned liquor store chain.

J E F F4
Whatta Ya Think About Dat?
Premium Member
join:2004-04-01
Kitchener, ON

J E F F4 to Black Box

Premium Member

to Black Box
said by Black Box:

If I'm understanding it right, it was just one company. It needs to be regulated so everybody does it the same. We need a level playing field.

Well, there are still huge difference between Canada and the Euro community:
quote:
The coins are issued in €2, €1, 50c, 20c, 10c, 5c, 2c, and 1c denominations. In order to avoid the use of the two smallest coins, some cash transactions are rounded to the nearest five cents in the Netherlands (by voluntary agreement) and in Finland (by law).[18] This practice is discouraged by the Commission, as is the practice of certain shops to refuse to accept high value euro notes.
So they still use, for the most part, 1c and 2c. So the prices might include VAT, they're not rounded to the nearest 5c or 10c.

Also, by adding including HST in the price, and rounding to 5c or 10c. it still makes sale tax submissions nearly impossible. Here's an example:

Dollar Store sales everything for $1.15 ( $1.02 + 13c in taxes)

They sale 2 million items:

$1.15 * 2 million equals $2,300,000 in sales.

HST store actually collects: 2 million * 13 cents is $260,000
HST actually owing: $2,300,000 / 1.13 = $264,603.80

Not a lot, but no one comes out the winner. Except the government.

And then you know why tax collection is an issue in Europe.
J E F F4

J E F F4 to IamGimli

Premium Member

to IamGimli
said by IamGimli:

said by J E F F4:

That was done here when the GST first came out, Woolco marked all prices with GST added. Didn't work out too well for them though, and they changed it back within 3 months.

Funnilly enough one of the last retailers to still mark prices that includes all taxes is the SAQ in Québec, the Government-owned liquor store chain.

Same with the LCBO....price includes all taxes and deposits..