Tat Drac: Shipping Date

[NCRadioMan]

Originally Posted by AngryBill

Again, retailers do not pay the SCHIP tax, manufacturers do.

Not exactly. Retailers do pay for the SCHIP tax as the manufacturers pass it along when they upped their cost to the retailer. Then, in turn, retailers pass it along to the customer. It's ultimately the customer that pays in the end.


FWIW, NC is in the process of making internet retailers charge sales tax. So for those that order from JR, you will probably be paying NC sales tax in the, not so distant, future.

Originally Posted by AngryBill

Like i said before, All comes down to Buy them if you want them or don't if you aren't willing to pay the price. Retailers have a right to charge what they want and consumers have the right to buy or not.

Yep, yep!

Originally Posted by NCRadioMan

Not exactly. Retailers do pay for the SCHIP tax as the manufacturers pass it along when they upped their cost to the retailer. Then, in turn, retailers pass it along to the customer. It's ultimately the customer that pays in the end.

This means that SCHIP is built into the MSRP, so charging MSRP + a percentage and calling it SCHIP is dishonest.

Price the cigars higher than MSRP if you want to make more money, but taking advantage of customers that don't know that SCHIP is part of MSRP is dishonest.

Honestly, charging state cigar taxes as a percentage of the retail price is shady too. NC is 12.8% of WHOLESALE price. If you want to make at least keystone on your actual price, then make your pretax prices higher. Charging 12.8% of the retail purchase is not what the law states.

Honest, transparent pricing doesn't have to be non-profitable. Just price the sticks where you want to price them and charge the taxes as they are meant to be charged.

Saying something costs $10 and then charging 40 or 80 cents for "SCHIP", and then charging another 1.28 for state tobacco taxes when half of the state taxes and all of the SCHIP taxes go into your pocket is not right IMO.

[Col. Kurtz]

Since the thread-jack is firmly in place, here is an example of what we're talking about.

[Footbag]

Originally Posted by Col. Kurtz

Since the thread-jack is firmly in place, here is an example of what we're talking about.

That receipt makes me wonder whether the retailer is just using an arbitrary figure not actually calculated in the final price to represent what the manufacturer paid in taxes... or just pocketing the extra money. It's one thing to be against SCHIP, it's a whole other thing to rip off your customers under the guise of SCHIP.

[NCRadioMan]

Originally Posted by tmoney2007

This means that SCHIP is built into the MSRP, so charging MSRP + a percentage and calling it SCHIP is dishonest.

I agree. Who said they did this?

Price the cigars higher than MSRP if you want to make more money, but taking advantage of customers that don't know that SCHIP is part of MSRP is dishonest.

It is dishonest but I believe it's up the buyer to be informed of their purchases so they don't get taken.

Honestly, charging state cigar taxes as a percentage of the retail price is shady too. NC is 12.8% of WHOLESALE price. If you want to make at least keystone on your actual price, then make your pretax prices higher. Charging 12.8% of the retail purchase is not what the law states.

Again, who said they did this?

Honest, transparent pricing doesn't have to be non-profitable. Just price the sticks where you want to price them and charge the taxes as they are meant to be charged.

Agreed. That's what we do.

Saying something costs $10 and then charging 40 or 80 cents for "SCHIP", and then charging another 1.28 for state tobacco taxes when half of the state taxes and all of the SCHIP taxes go into your pocket is not right IMO.

Agreed and again who said they were doing this?

In blue above.