What's your take on tax cuts/GST increase?

[Max Preload]

http://www.nzherald.co.nz/business/n...ectid=10678125

http://www.nzherald.co.nz/business/n...ectid=10678218

Wow! 30 complaints? That's certainly 'a lot of retailers'.

In reality, a lot of retailers now think "these people just have a tax cut. And we haven't been able to increase our prices in a year due to recession! Now they have some money, we can increase the prices. Better yet, let's use "GST Increases" as an excuse".
So, off they go increasing the prices of items by a whallopping amount.

"Retailers were allowed to charge whatever they wanted for goods and services, but if they claimed the price rise was because of GST rising and that was found to be misleading, they could be in breach of the Fair Trading Act, she said."

So it's really the shopper's ignorance you have a problem with? Well, if they're too thick and impulsive to work things out, fuck 'em!

[FROSTY:Me]

The feedback I've had in my industry is that suppliers have held back on price increases and done their price rises to line up with the GST increase.
When you think about it thats just sensible isn't it ?
Sensible in that if you think of the Mitre10's and Countdowns of this world as the extrreme example.Every store needed to reprice thousands of items for the GST rise. If they then had to go through the same job all over again for a supplyer price rise its double handling.

[davereid]

The feedback I've had in my industry is that suppliers have held back on price increases and done their price rises to line up with the GST increase.
When you think about it thats just sensible isn't it ?
Sensible in that if you think of the Mitre10's and Countdowns of this world as the extrreme example.Every store needed to reprice thousands of items for the GST rise. If they then had to go through the same job all over again for a supplyer price rise its double handling.

Very sensible.

What a massive and expensive operation repricing a massive shop like a supermarket must be.

You would be a complete mug to do it all for GST this week, then repeat it all in 6 months for cost-of-living increases.

With a 15% margin after costs on everything sold, there will be many instances where the governments cut is greater than the retailers.

[Scuba_Steve]

Lets face it we all knew price was gonna take a hike beyond GST it happens with any "forced" rise, its a chance for retailers to tack on some extra margin will little fuss/backlash so they do. Wether it right or wrong you can decide but it happens & always will I expect

[Waxxa]

Lets face it we all knew price was gonna take a hike beyond GST it happens with any "forced" rise, its a chance for retailers to tack on some extra margin will little fuss/backlash so they do. Wether it right or wrong you can decide but it happens & always will I expect

you will find that businesses are taking the opportunity to put inflationary costs that have been absorbed for the last couple of years on the price as well as the 2.5%.

Costs have been going up for businesses for years (rates, transportation, power...), this is why some prices are going up around 5%.

[Jonno.]

This is the exact reason we shouldn't remove tax on food.