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  1. #1

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    Question A question of tax?

    Usually in the US, the price on an item is kind of a starting point since sales tax is generally added on top of that. In some cities, a hotel tax may be added on top of the sales tax. If I recall correctly, when we were in the UK many years back, VAT was already included in the prices. So how about in France? When I see a price for tickets, packages, dining and such, am I actually looking at the final price, or will any taxes or fees be added? Thanks.

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  2. #2

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    Re: A question of tax?

    Quote Originally Posted by ralfrick View Post
    So how about in France?
    Yes, taxes are always included in the prices in every EU country, including France.

  3. #3

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    Cool Re: A question of tax?

    Merci beaucoup for the response; I thought that was the case. The higher prices are certainly easier to absorb when that's taken into account.

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  4. #4

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    Re: A question of tax?

    The first I was in the States it really surprised me that the price you see in a store for example, isn't the price you pay at the cash-register!

    High prices in Europe for US-citizens are also high at the moment due the the exchange rate between the dollar-euro. For us the States are much cheaper then Europe. Most prices are comparable in dollars and euros. For example a glass of coke is usually 2,50, both in euros as in dollars. But due to the exchange rat, the dollar price is 25% lower for us, and the euro price is 25% higher for you!

  5. #5

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    Re: A question of tax?

    One other thing; tipping for dinners etc, are not as obligatory in Europe as they are in the States. Service is mostly included in the price of the meal. A tip is really complimentary, and it is not necessary to always give 10-15% as a tip. Mostly you give a few euros extra, or your round up to the next heighest 5 or 10 amount (the bill is 67, you give 70).
    The staff is less reliant on tips for the height of their wage than in the States.

  6. #6

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    Re: A question of tax?

    Quote Originally Posted by ralfrick View Post
    Usually in the US, the price on an item is kind of a starting point since sales tax is generally added on top of that. In some cities, a hotel tax may be added on top of the sales tax. If I recall correctly, when we were in the UK many years back, VAT was already included in the prices. So how about in France? When I see a price for tickets, packages, dining and such, am I actually looking at the final price, or will any taxes or fees be added? Thanks.

    A bientot.
    Tax is already built in on the price you see, so there won't be surprises at the cash register. You will be surprised though.. when you see how expensive France (and the rest of the euro-using community really is) once you see how much you actually spent in US$$.

  7. #7

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    Re: A question of tax?

    Quote Originally Posted by TDLFAN View Post
    Tax is already built in on the price you see, so there won't be surprises at the cash register. You will be surprised though.. when you see how expensive France (and the rest of the euro-using community really is) once you see how much you actually spent in US$$.
    See my explanation with the exchange-rate..... A few years ago the situation was reversed. The dollar had a high exchange-rate. So I recieved much less dollars for my (then) dutch guilders!

    That's the nasty (or pleasurefull) thing with exchange-rates; sometimes you can benefit form then, other times not!

  8. #8

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    Re: A question of tax?

    I much prefer it when Tax is factored into prices like it is here in Australia - I can't remember the amount of times when I had the right change at Disneyland, only to remember tax! What's worse, it's at a rate that's impossible to work out in your head!

  9. #9

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    Re: A question of tax?

    Yeah the problem here in the States is the sales tax varies from state to state. It ranges anywhere from like 4-8%. I feel sorry for those in Canada though... their sales tax ranges something like 14-18% last I knew.

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    Re: A question of tax?

    Quote Originally Posted by aimster View Post
    I feel sorry for those in Canada though... their sales tax ranges something like 14-18% last I knew.
    Our VAT is 22% (17% for food and 8% for services). Most EU countries have VAT around 20%. But then all education and health care is free and social welfare is extensive.

    So don't feel sorry.. I'm sure the high taxes are compensated elsewhere. But which way is better.. that I don't want to argue.
    Last edited by Zarniwoop; 10-24-2006 at 10:52 PM.

  11. #11

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    Re: A question of tax?

    Quote Originally Posted by Zarniwoop View Post
    Our VAT is 22% (17% for food and 8% for services). Most EU countries have VAT around 20%. But then all education and health care is free and social welfare is extensive.
    So don't feel sorry.. I'm sure the high taxes are compensated elsewhere. But which way is better.. that I don't want to argue.
    Hmm, I wish it was exactly this way in the Netherlands. Okay, we do have an extensive social welfare system, but regrettably enough, our education and health care is not completely free!

    Education is more or less free for primary/secundary school and high school. For the university and other forms of follow-up education, a form of a college-fee has to be paid (somewhere around 1500-2000 euro or so for the university). But everybody form age 18 and up who is following some sort of follow-up education can recieve up to 5 years a kind of scholarship form the government. This ranges from 89 euro per month for somebody who still lives with their parents, till 250-500 euro (depending on your parents income) for someone who has got a room in a student-flat.

    With regards to our health-care, everybody is obliged to get an insurance. This insurance will cost you around a 100 euro per month (depending on the height of your income the government will re-pay part of the cost of this insurance) . But with this insurance almost all health-care is freely accesible.

    But our VAT is a little lower (19% and 6% for food and some services) then the Finnish one. And I think that in general our taxes are a little lowe also. So I do agree, high taxes will often re-pay themselves in other areas!

  12. #12

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    Cool Re: A question of tax?

    This answers my own question, but may be useful for someone else. I've just booked rooms in Paris and Amsterdam, and have encountered a small hotel tax being added in both instances. It isn't much, less than $10 for three nights in Amsterdam, and about 1-1.5 euros per person/night for Paris.

    And kids, it pays to check your confirmation carefully. For a brief while, we were going to be in those 2 cities on the same dates. Reserving multiple hotels at the same time is riskier than one might think.

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  13. #13

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    Re: A question of tax?

    The tax you mention is a Tourist Tax. This tax is a local tax an differs from city to city. This tax is never included in any roomprice as far as I know.

    Kees

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