VAT: Should they display it?

Elmo

Should all shops across the EU be forced to display the rate VAT on all products.

E.g. Patatoes price with VAT = €5 and with VAT @ 0% = €5
Rice price with VAT = €1 and with VAT @ 13.5% = €1.13 etc

Sorry the poll is a bit bias

jor el

All consumer prices must include VAT. There's no requirement to display the ex-VAT price, or the VAT rate for a particular product.

Elmo

jor el wrote: »

There's no requirement to display the ex-VAT price, or the VAT rate for a particular product.

I am asking should there be a requirement?

I know VAT is included in all prices.

hedgehog33

I think the VAT amount and rate is usually on receipts isn't it? I don't think there is any real need to include it on price tags/labels, not sure what that would achieve?

Guy:Incognito

Why?What difference does it make if Vat is 0% or 80%? The price is the price.

wmpdd3

I think it should be shown especially on health and beauty and baby products.

Tampons and nappies at a luxury rate of 21%!!

Elmo

Stekelly wrote: »

Why?What difference does it make if Vat is 0% or 80%? The price is the price.

Just so that it is transparent to customers as to how much VAT they are paying. For example their are some items that don't carry VAT, and people show know which ones do and do not.

For example I am surprised that "Tampons and nappies at a luxury rate of 21%!!" but then I buy neither so perhaps it is a bit pointless :rolleyes: really they should be at 0%.

I really need to think about my arguments lol.

All I am saying it would be great to see how much the shop charges just in case they charge incorrectly.

Cool Mo D

It would be good because it would let people know how much tax they are paying.
VAT is a somewhat mysterious and invisible tax at the moment - it causes confusion when comparing prices with overseas too. I think it would be good for the debate on tax policy in Ireland if people had a better awareness of where the money was being raised was coming from.

Guy:Incognito

Elmo wrote: »

Just so that it is transparent to customers as to how much VAT they are paying. For example their are some items that don't carry VAT, and people show know which ones do and do not.

For example I am surprised that "Tampons and nappies at a luxury rate of 21%!!" but then I buy neither so perhaps it is a bit pointless :rolleyes: really they should be at 0%.

I really need to think about my arguments lol.

All I am saying it would be great to see how much the shop charges just in case they charge incorrectly.

Why not break down every chrge so? (import rates, cost from supplier etc)
You go to a shop and they have their price, you decide whether or not that price is acceptable. How the shop comes to have that price displayed is their own business.

Cool Mo D wrote: »

it causes confusion when comparing prices with overseas too. .

Only for people too lazy to do any research.

It often just gets in the way of people ranting anyway.

Elmo

Cool Mo D wrote: »

It would be good because it would let people know how much tax they are paying.
VAT is a somewhat mysterious and invisible tax at the moment - it causes confusion when comparing prices with overseas too. I think it would be good for the debate on tax policy in Ireland if people had a better awareness of where the money was being raised was coming from.

I think many people think that VAT is charged at 21.5% across all products and services.

Cool Mo D

Stekelly wrote: »

Why not break down every chrge so? (import rates, cost from supplier etc)
You go to a shop and they have their price, you decide whether or not that price is acceptable. How the shop comes to have that price displayed is their own business.




Only for people too lazy to do any research.

It often just gets in the way of people ranting anyway.

It's nothing to do with the shops - I don't think displaying VAT would help, or hurt retailers. It's more to create an awareness of where we are paying tax. I mean, VAT is as big a tax earner as income tax, but there is a real lack of transparency when you pay it, as you pay it.

Elmo wrote: »

I think many people think that VAT is charged at 21.5% across all products and services.

Indeed, and many don't think about it at all.

Elmo

Stekelly wrote: »

Why not break down every chrge so? (import rates, cost from supplier etc)
You go to a shop and they have their price, you decide whether or not that price is acceptable. How the shop comes to have that price displayed is their own business.

Breaking down every charge would be a bit pointless I understand that everyone has to make a profit on the product. The retailer makes a decision on the price and will consider VAT but in the main they hope to make a profit.

There are plenty of stupid rules on how shops display their prices, this idea wouldn't be half as stupid as the rest of the rules.

Remember all bars and restaurants must provided their menu on the front of their business why should they have to?

foggy_lad

wmpdd3 wrote: »

I think it should be shown especially on health and beauty and baby products.

Tampons and nappies at a luxury rate of 21%!!

i think the vat is zero on cloth nappies and only 21% on disposable nappies but could be wrong? also the price labels are cluttered enough in shops with product sizes etc and many shops already have trouble displaying the correct prices so having to display the ex-vat price also would probably lead to a deteroiation in service in shops?

Elmo

foggy_lad wrote: »

i think the vat is zero on cloth nappies and only 21% on disposable nappies but could be wrong? also the price labels are cluttered enough in shops with product sizes etc and many shops already have trouble displaying the correct prices so having to display the ex-vat price also would probably lead to a deteroiation in service in shops?

The price label should be separate to the size etc, it generally is. I am sure their are many shops that don't even know that cloth nappies are charged a 0% VAT time they start to take an interest.

Cabaal

Nah no need to show VAT %, if people want to fibnd out this info is easy find it out, its only a waste of money/time for shops to have to display iut and it doesn't make a different if people want it they'll have to buy it

so overall no advantage

MunsterCycling

loads of short sighted comments here. As has been said, people pay vat without thinking and as stealth taxes go its the biggest. Displaying the tax rate/amount on an sel would be a 15 sec software update and make people aware of just how much tax they pay on a daily basis. Perhaps only shops with a certain level of turnover should be included in the scheme.

MC

Elmo

Cabaal wrote: »

Nah no need to show VAT %, if people want to fibnd out this info is easy find it out, its only a waste of money/time for shops to have to display iut and it doesn't make a different if people want it they'll have to buy it

so overall no advantage

Well do you how much VAT is on Coffee? or Digestive Biscuits?

Blue_Wolf

Stekelly wrote: »

Why?What difference does it make if Vat is 0% or 80%? The price is the price.

Ya I don't really see the point of this post....

Elmo

Blue_Wolf wrote: »

Ya I don't really see the point of this post....

My point being that most people think that all rates of VAT went up in the last budget. People don't know how much VAT they pay on products and some shops could be charging VAT on products that don't require VAT. People should be informed and VAT should be transparent.

MysticalSoul

I voted no, as if they did, can see it ending up like it is in the States, where the VAT is added on at the till, so the price we see is not the price we pay :rolleyes:

Cool Mo D

MysticalSoul wrote: »

I voted no, as if they did, can see it ending up like it is in the States, where the VAT is added on at the till, so the price we see is not the price we pay :rolleyes:

That's because sales tax varies hugely across the states. There is no such thing as VAT - sales taxes are not levied by the US Government, but by individual states, counties and cities. There are thousands of rates across the states, so it's easier to label the one price across the country, and add tax at the till. That wouldn't be that case with this proposal.

jor el

I say no, because it makes no difference. You can't buy anything without the appropriate VAT, and I see no point in knowing what it is, other than to piss us off by knowing how much tax is on a choccy biscuit or a cup of tea (it's zero on tea). It serves no purpose at the end of the day.

It's not difficult to see the various VAT rates, and what they apply to. Putting it on the SEL labels in shops does nothing, IMO.

Cabaal

Elmo wrote: »

Well do you how much VAT is on Coffee? or Digestive Biscuits?

Info is available as already posted by other users, its not the shops fault people are too lazy to go find it out for themselfs

Shelflife

Instead of a shelf edge label there will have to be a book with each product, listing price , vat rate, country of origin , product description and cost per unit.

anything else you want? and maybe the shopkeeper should stand over them with a big stick untill they read all of this information.

too many people expect to be spoonfed everything thay want

darc

wmpdd3 wrote: »

I think it should be shown especially on health and beauty and baby products.

Tampons and nappies at a luxury rate of 21%!!

The standard rate of VAT is 21.5% - There's no "Luxury" rate.
There's a reduced rate of 13.5% & a special rate of 5%.

You can be certain the UK gov will increase the vat rate in the budget back to 17.5% and there will be substantial duty increases on alcohol, cigs & fuel (as announced last October by G Brown) - This combined with continued price reductions here shold see some of the bigger price difefrences fall back.

As for VAT on goods, I'd say a symbol beside each item & details of rates at bottom of receipt wuld be easy to implement for larger retailers.

Cabaal

darc wrote: »

As for VAT on goods, I'd say a symbol beside each item & details of rates at bottom of receipt wuld be easy to implement for larger retailers.

Maybe so but how about the smaller one's. it'll cost them money to implement such changes,

Elmo

Cabaal wrote: »

Maybe so but how about the smaller one's. it'll cost them money to implement such changes,

They have accountants who detail their VAT who know which VAT rate is on which product. Smaller retails simply write the following

Barry's Tea
€2
0% VAT
Total €2

Maxwell House Coffee
€2
13.5% VAT (It's 21% possibly)
Total €2.27

This isn't difficult. Just because you are educated in VAT rates and read boards does mean everyone does. The system should be as transparent as possible.

It would cost the retailer nothing extra since they already do it.

jor el

darc wrote: »

The standard rate of VAT is 21.5% - There's no "Luxury" rate.
There's a reduced rate of 13.5% & a special rate of 5%.

4.8% There's also 0% and Vat exempt (apparently not the same thing).

Elmo wrote: »

They have accountants who detail their VAT who know which VAT rate is on which product. Smaller retails simply write the following
...

It would cost the retailer nothing extra since they already do it.

The shop will know the VAT rates on everything, but that doesn't mean it'll be simple or free for them to get the tills, receipts, SEL printer to display them. It would depend on the system they use, and whether it allows them to print this information separately.

I still don't see why this would be a good idea though. I really don't care how much VAT is on the products that I buy, as I don't have a choice but to pay it.


Coffee is 0% too.

Elmo

jor el wrote: »

Coffee is 0% too.

Really I thought it had VAT as it is not consider essential from old.

Anyway I amn't talking about the receipt I am talking about price tags, just to let the customer know what they are spending in VAT. I don't think it should tot-up the amount you pay in VAT. Just what is on the specific product's price tag. But now that you say it

wmpdd3

The only thing I like about LIDL is that on your receipt it details how much VAT you paid on each item. But of course they don't sell everything so I only know how much VAT is on the items they do sell.

When the 15% rate was introduced in GB most chains did a VAT refund on the bottom of the receipt, they were in undated with customers crying fraud because the refund didn't show a refund for each item. People had no idea what VAT they were paying before that, but they do now...

And yes I think that's right cloth nappies are childrens clothing so no VAT, but disposable nappies are a cosmetic luxury so VAT!

parsi

What's the point ?

Cloth nappies are 0% VAT and cost a fiver (for example),
Pampers are 21% VAT and cost a tennder (for example).

So what do I base my purchase on -

- the rate of VAT - NO - because it makes no difference to me,
- the VAT-inclusive price - probably because that's what I have to pay,
- convenience - yes.

VAT applies to classes of products, people make choices based on price/quality within a class. Joe Soap isn't going to buy vat-free tea if he actually wants a packet of chocolate kimberleys.

And how would it make price comparisons easier across the EU ?