this post was submitted on 12 Oct 2023
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FTC lays out new rule that could end hidden fees | The agency is proposing a new rule that could require businesses, from hotels to ticket sellers, to provide clear disclosures on costs and whether...::The US Federal Trade Commission is proposing a new rule known as the Trade Regulation Rule on Unfair or Deceptive Fees that it hopes will stop businesses from charging consumers hidden fees.

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[–] [email protected] -4 points 1 year ago (16 children)

Doubtful. Sales tax code is far more complex.

[–] [email protected] 6 points 1 year ago (13 children)

Meh, we computers that can do the math, and the labels are all printed. There is no reason why the labels can't be sales tax included these days. I understand it is harder when running commercials or billboards, but in store there is no excuse.

[–] [email protected] -1 points 1 year ago (12 children)

Online you’d need to input your address before ever seeing pricing which I personally don’t care for. In-store would be easier from that perspective but there are so many exemptions and jurisdictions it would take a ton of work to switch over. Some tax code would have to be rewritten. Possible, but far more work than what the FTC is currently talking about.

An example of one of these complexities. In 13 states, sales tax is collected on a Milkyway but not a Twix.

[–] [email protected] 2 points 1 year ago (1 children)

The register can figure that out, why can't the label maker?

[–] [email protected] -2 points 1 year ago (2 children)

It’s not an issue of can or can’t, it’s an issue of the consumer not knowing why a Milky Way is $1.07 vs a Twix at $1.00. On the receipt they can see one is taxed and the other is not.

[–] [email protected] 3 points 1 year ago (1 children)

Does that matter to the consumer? Shouldn't they know that a Milky Way cost 7 cents more than a Twix when picking their candy?

[–] [email protected] 2 points 1 year ago

Shouldn’t they know why? Does it just cost more or is it because the government is doing it?

[–] [email protected] 1 points 1 year ago (1 children)

No one’s saying you don’t show the tax on the receipt. It’s not like no one has figured it out yet.

The EU requires tax to be included in prices displayed to customers, and each country has their own specific country regional and local tax codes. They manage just fine, so can the US.

[–] [email protected] -1 points 1 year ago (1 children)

The VAT rate doesn’t change inside each country does it? The US doesn’t have VAT, and the federal government doesn’t have sales or use tax.

[–] [email protected] 2 points 1 year ago (1 children)

Yes VAT does change from country to country. Also VAT is more complex than sales tax in that it is applied to various consumer goods as well as some services.

[–] [email protected] 0 points 1 year ago (1 children)

inside each country. For example is there a different VAT in Paris than Cannes?

[–] [email protected] 1 points 1 year ago* (last edited 1 year ago) (1 children)

That doesn’t actually matter. You are making excuses for why the tax system is too complicated to include tax, and I’m telling you they’ve already solved the issues of different tax rates across one currency. In the EU, where most counties share the same currency, companies are required to include tax in the displayed price and show the customer how much of the purchase is tax.

I work with Point of Sale companies and know this problem is solved. It is not too difficult to achieve from a technical or practical perspective, so you’ll have to dig up some other reason this is somehow unachievable.

[–] [email protected] 0 points 1 year ago

I’m not making excuses, I’m explaining how it’s complex and isn’t something you can’t snap your fingers and resolve. If you want to start a movement to change it, I’m not going to stand in your way. It doesn’t matter to me either way.

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