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I can understand why, when dealing with variable taxes (such as with buying things over the internet), it makes more sense to list the price of an item before taxes, but when you are buying items in a physical store, with one set tax on items, it makes more sense to me that the price after taxes should be shown (not a problem here in NH unless I'm buying food, but it gets annoying when traveling through other states). Is the only reason for this so that businesses can rip off customers by hiding the real cost of the item, or is there a better reason for it?

2007-07-15 11:01:48 · 2 answers · asked by ILookGuilty 3 in Business & Finance Taxes United States

2 answers

It's done that way because it's required to be done that way by law in most jurisdictions. As a practical matter, even if it's not required by law the shelf price would be higher with the tax included and comparison shoppers would likely buy elsewhere as it would be difficult to ascertain what the true price of the item was.

2007-07-15 11:07:56 · answer #1 · answered by Bostonian In MO 7 · 4 4

Then you wouldn't purchase. Kind of like - when you ask someone how much they make (earn), they will almost always tell you how much they "take home." Better check out the Fair Tax Bill - it's our only answer!

2007-07-15 21:25:40 · answer #2 · answered by gamcbroker 1 · 0 1

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