Covid 19 Surcharge

[JJReyes]

https://www.businessinsider.com/dentists-hair-salons-add-covid-19-surcharges-after-restaurants-2020-5

It's only a matter of time before the Philippines copies this new US trend.

Businesses and service providers are imposing a Covid 19 surcharge to cover anything from higher prices for beef, pork and chicken at restaurants or to cover the extra costs for employees' masks and gloves.  Even dentists are adding the surcharge to their bills.  Same with UPS delivery.

State governments will start looking for new sources of revenue.  Sales taxes are approaching or exceeding 10%.  Hard to increase without protest.  But, if they call it "Covid 19 Surcharge" as a separate line item, state governments may get away with generating another 5%.  

[scott h]

5 hours ago, JJReyes said:

Businesses and service providers are imposing a Covid 19 surcharge

They have already started JJ, they have already imposed a Tariff on petroleum products. We will see a slight rise in gas prices. I have read stories about different senators and congress critters proposing different taxes on different products and services, but no action has been taken as of yet.

5 hours ago, JJReyes said:

State governments will start looking for new sources of revenue.

Same here, yesterday is was reported that the "sin tax" revenues were way down due to the liquor ban and other reasons, you kan bet they will be looking to replace it somehow  

[Old55]

Thanks for the heads up JJ. If a business were to increase prices to cover expenses I would understand and probably not even be aware  but I find a surcharge unacceptable. I know it's essentially the same thing but the idea of a surcharge just seems sneaky, underhanded and wrong. 

[Gator]

19 hours ago, Old55 said:

Thanks for the heads up JJ. If a business were to increase prices to cover expenses I would understand and probably not even be aware  but I find a surcharge unacceptable. I know it's essentially the same thing but the idea of a surcharge just seems sneaky, underhanded and wrong. 

I guess it depends on how you look at it. One would expect a surcharge to go away after a reasonable amount of time. If they simply raise raise prices then imho it’s unlikely they will decrease them once they've recouped their losses. Ppl will simply get used to paying higher prices, then where does it stop? ........inflation anyone? 

Edited May 30, 2020 by Gator

[Old55]

14 minutes ago, Gator said:

I guess it depends on how you look at it. One would expect a surcharge to go away after a reasonable amount of time. If they simply raise raise prices then imho it’s unlikely they will decrease them once they've recouped their losses. Ppl will simply get used to paying higher prices, then where does it stop? ........inflation anyone? 

What you say is exactly right. In many cases a surcharge could be reasonable and fair. Often here in the States a surcharge is an underhanded way to pad a bill.

Edited May 30, 2020 by Old55

[hk blues]

14 hours ago, Gator said:

I guess it depends on how you look at it. One would expect a surcharge to go away after a reasonable amount of time. If they simply raise raise prices then imho it’s unlikely they will decrease them once they've recouped their losses. Ppl will simply get used to paying higher prices, then where does it stop? ........inflation anyone? 

Agreed.

This is one of the problems of living where we do - the total absence of accountability and presence of being able to do pretty much whatever you want as long as nobody (important) complains.

Thus far i haven't seen any evidence of gouging except with alcohol price which I can kinda accept as selling an illegal product comes with certain risks. But, as things begin to open up I can well imagine the odd peso or three being added to prices because...well, because they can.

[hk blues]

14 hours ago, Old55 said:

What you say is exactly right. In many cases a surcharge could be reasonable and fair. Often here in the States a surcharge is an underhanded way to pad a bill.

To add to this -

My son's school are required to keep school fee increases within DepEd parameters - which they do. However, the miscellaneous fee is not DepEd controlled. You can guess what happens year after year - crooks.  Nobody challenges this, myself included, because the system is against us.

We accept the low cost of living and other benefits of living here so I guess we also must accept the 'system' that operates too.

 

[scott h]

25 minutes ago, hk blues said:

You can guess what happens year after year - crooks

whelp, you can always enroll him in public school. An old saying, you get what you pay for 

[Eddie1]

On 5/30/2020 at 3:37 AM, JJReyes said:

Even dentists are adding the surcharge to their bills. 

One of the better dentists here in Dumaguete was charging 55,000 peso for an implant right up until she temporarily closed a couple of months ago due to the Coronavirus. She opened up again last week, new price of an implant is now 75,000 peso.  Wow, that's what I call a real kick in the teeth! Robbery.

[scott h]

42 minutes ago, Eddie1 said:

She opened up again last week,

I predict that a lot of service industries will be like this, those without posted prices. 

They will kharge what they think the market will bear to make up for their losses