Hacker News new | ask | show | jobs
by enraged_camel 1051 days ago
>> Even taxes should be included in prices.

Many people are dumb as bricks and hold insanely weird beliefs such as "if the displayed prices include tax, you will become desensitized and won't notice it if the government increases the tax rate!" or "I want to know exactly how much is going to the business and how much is going to the government!" Some US states have even codified this and explicitly ban tax-included pricing.

This is also why people will fight tooth-and-nail against very obvious methods to drastically simplify things, such as by having the IRS handle your taxes for you and simply send you an "is this correct or do you need to make changes?" form every year.

3 comments

> "if the displayed prices include tax, you will become desensitized and won't notice it if the government increases the tax rate!"

Which is also a weird position to have, since nobody suggested getting rid of the price breakdown that gets shown at checkout. I'm sure companies would still love to show tax if half of their price is tax.

I doubt they would... Its not going to make someone more likely to buy their product just because they know how much is going to tax.
Do you personally know how much your employer pays in tax to employ you? I bet most people dont have any idea. I just had to look it up myself. I would never know if the rate changed provided I didnt read about it in the paper.
I can see it on my paystub, it has a nice breakdown of where everything goes.

I’d argue you could do the same with anything, in the case of restaurants just show the actual total on the menu and include a breakdown on the receipt so people who care can see how much is going to taxes and such.

Your paystub or W-2 show how much tax YOU are paying. Social security is two-sided, you pay half and the employer pays half, unless you know that already, the paycheck itself doesn't say so. There are also additional types of taxes, such as unemployment, the employer pays that aren't shown on your pay stub.
I wonder how those people feel about gas stations.