Originally Posted by quilter on the eastern edge
Originally Posted by cattailsquilts
To all the Americans on here, the comments about the various countries V.A.T. (Value Added Taxes) are a HUGE reason why we DON'T want Obama's VAT proposal to go through! We love our comparatively inexpensive fabric prices, but if that VAT tax passes, then our prices will jump tremendously as well, and it won't just be our fabrics, it will be our threads, needles, machines, everything.
Not to make this political, but I just wanted to throw that out there as a warning that we'll be headed the same way soon...
As I understand it, the VAT is added to the price of the goods so what you see on the price tag is what you pay - no taxes added at the cash. That was how it worked the last time I was in England
To use an example from here ---- a metre of fabric has a price tag of $15.00. When I take it to the cash register, 13% sales tax is added ($1.95), making my total price for the metre of fabric to be $16.95.
With the VAT system, the price tag on the metre of fabric would be $16.95 and that is what you would pay at the register.
To those in the UK, please correct me if I am wrong.
Your are absolutely right.
I know for a fact that it is done the same way in Germany. The price on the tag is the price you pay at the cash register.