Taxes and Charges

I am very grateful that in Australia, we include all the taxes in the displayed price of an item. Another thing that I need to get used to in the USA is to recognise that the displayed price does not represent the total cost of an item. I don’t mind paying taxes at all, it’s just confusing for a simple person from the other side of the world when they are added on later. .

Last night I bought a $10 glass of wine in the hotel bar. On top of the price I had to remember to add State Tax of 8%, then an obligatory tip (in a socially accepted way) of around 15% and then American Express will apply a surcharge of 3% on my foreign transactions.

That brings the total cost of my glass of wine to $12.79. Not too significant for s glass of wine, but for a dinner costing $100. It’s an additional $27.90. It’s much easier when the displayed price is actually what you pay!

(In the case of a hotel room, there is also an additional city tax that includes another amount which is little less than an additional one percent.)

One thought on “Taxes and Charges

  1. Just as well you have a smart phone Bruce! All that arithmatic for a single transaction would test the grey matter. Did you ever think you would say 3 cheers for the GST

Comments are closed.