Price list exculding VAT??

[EssentialsHB]

Hi

In America, they are used to having a price tag, and then getting to the till and having sales tax added.

Why can't we do the same?

Why can't we list prices on our price lists and then have in bold that all prices are subject to VAT?

So when the client asks as to how much the fee is - it is for argument sense £20 PLUS vat.

Builders merchants do it - why can't we?

If this was to be adopted, then one would know exactly what the VAT was collected on the day and and have a healthy profit margin; rather than it being withered away by the thieveing hands of the VAT man.

Anyone that has this in place in the UK? What are your thoughts??

 

[TheBack&Beyond]

Culture!

Here (as with all the places I've ever been to in the world) - the price you see is what you pay. It's about being up front, open and honest with your customer - not trying to sneak an extra 20% on at the end.

Also - are you VAT registered? If not it doesn't make the slightest bit of difference other than your headline price is cheaper than your competitor's. Beware though - unless your customers are really dumb - they will remember you taxing them extra at the end!

 

[EssentialsHB]

unfortunately i'm Vat registered!

But I know what you mean.

 

[EMMA AT ELITE]

Hi

In America, they are used to having a price tag, and then getting to the till and having sales tax added.

Why can't we do the same? Who said you cant?

Why can't we list prices on our price lists and then have in bold that all prices are subject to VAT? If that is what you want to do then do it. It is up to us how we word and price our treatments, so if you think this would work better for you then you should do it.

So when the client asks as to how much the fee is - it is for argument sense £20 PLUS vat.

Builders merchants do it - why can't we?

If this was to be adopted, then one would know exactly what the VAT was collected on the day and and have a healthy profit margin; rather than it being withered away by the thieveing hands of the VAT man. Or how about just having a separate pricelist for yourself stating the price with & without the VAT, or the VAT on every treatment, then at the end of the day you could add up all the VAT collected on the day.

Anyone that has this in place in the UK? What are your thoughts??

Personally, I prefere to see one price including VAT. I think if you was to do the £20 plus VAT your clients would maybe be less incline to give you a tip as they are paying an extra amount on top already. Could you not just increase your prices to include the VAT? Then have in bold writing "All prices (now) include VAT"

Do you find that by the time you have paid your VAT on each treatment you are not earning as much as you would like?

Hope that helps xx

 

[fozzyo]

The difference in the States is that they don't have VAT, they have Sales tax.

And each state sets its own Sales tax.

You are charged the tax rate of the delivery address, so in a store that states tax. If you are buying from a store online in NY but live in California you are charged the Californian Sales tax rate.

Mat

 

[EssentialsHB]

Personally, I prefere to see one price including VAT. I think if you was to do the £20 plus VAT your clients would maybe be less incline to give you a tip as they are paying an extra amount on top already. Could you not just increase your prices to include the VAT? Then have in bold writing "All prices (now) include VAT"

Do you find that by the time you have paid your VAT on each treatment you are not earning as much as you would like?

Hope that helps xx

Arguments for and against - I was thinking of actually reducing the the price, but then adding the VAT, then again in order to keep with the jones's an increase in prices will suffice! Yes, it doe feel that we ar working hard, for very little return - C'est La Vie!

 

[skymark]

Personally I hate the way that it is done in the states. One has to always be excellent at calculating percentages in your head. I spend half my life trying to figure out if Im gonna have the correct money or will that 20 need to be broken etc, and it leads to loads and loads of loose change, as when you have a treatment + tax, its never a round number at the end.

I understand its a necessary evil there and I am used to it, but I so enjoy coming back here and knowing exactly what the price is going to be.

To be honest its fairly easy to work out at the end of the day how much VAT youve taken, therefore how much is left. If the number is not big enough then do a price increase.