Why are consoles cheaper in the US? - BBC explains
62 replies, posted
[B]Sony and Microsoft have unveiled the prices of their new games consoles, and as usual British gamers will have to cough up more for the identical pieces of kit. Why is this?
[/B][URL]http://www.bbc.co.uk/news/magazine-22868787[/URL]
So basically they charge more because "cus fuck it why not?"
It'd be nice if Microsoft or Sony came out and elaborated.
I did not know the UK had 20% VAT before I read this. I thought it was lower. So that explains a lot of the price difference, but not all...
I thought consoles were cheaper here so I could spend the extra money on dlc and Doritos
[img]http://imgkk.com/i/78-x.jpg[/img]
TIL the US doesn't have sales tax
[editline]f[/editline]
Or does the UK have municipal / provincial sales taxes like the US does in most states?
[QUOTE=Medevilae;41010354]did you even try to read the article[/QUOTE]
The Article says that a part of the extra charge is simply because Sony and Microsoft know they can get away with it and that we will just put up with it with no protest.
[QUOTE=Medevilae;41010354]did you even try to read the article[/QUOTE]
Yes I did, if you read it, there's still a discrepancy when taxes are included.
The idea of protecting against devaluation of foreign currency also doesn't hold much water, so yes, there is a price difference in there that could be attributed to "fuck it why not" until we actually know.
[QUOTE=fishyfish777;41010361][img]http://imgkk.com/i/78-x.jpg[/img]
TIL the US doesn't have sales tax[/QUOTE]
Sony even anally fucks Britain just a little bit more gently
Ps4 for life
[QUOTE=scout1;41010343]I did not know the UK had 20% VAT before I read this. I thought it was lower. So that explains a lot of the price difference, but not all...[/QUOTE]
It was 17.5% until a few years ago, then it dropped to 15% for a while then they decided to bump it up to 20%.
[QUOTE=MadBomber;41010383]It was 17.5% until a few years ago, then it dropped to 15% for a while then they decided to bump it up to 20%.[/QUOTE]
They couldn't legally drop it lower than 15% because of EU law, some European countries are as high as 25%
France has a 20% VAT tax too, included in shown prices by law, still cheaper than the brits tho.
[QUOTE=CommieTurtle;41010342]So basically they charge more because "cus fuck it why not?"
It'd be nice if Microsoft or Sony came out and elaborated.[/QUOTE]
Sounds like it
[quote]He suggests a much simpler explanation: "I suspect they simply see the UK as a market where they can charge more."
Patricia Davidson, author of The Shopaholics Guide to Buying Online, agrees that while some of the cost could be down to market size, it is also a cultural phenomenon. "The problem is that we put up with it. It's a rip off," she says.[/quote]
[QUOTE=smurfy;41010377]Sony even anally fucks Britain just a little bit more gently
Ps4 for life[/QUOTE]
Not to mention the whole thing with PlayStation Plus and the free games every month. It's kinda like they know the proper etiquette; if you're gonna fuck someone, at least buy them dinner and a drink beforehand.
Someone should compare norway's prices with this
50% VAT on electronics + 25%~ other tax payments is fun, and some things even get more than double the markup compared to american pricing :suicide:
[QUOTE=fishyfish777;41010361][img]http://imgkk.com/i/78-x.jpg[/img]
TIL the US doesn't have sales tax
[editline]f[/editline]
Or does the UK have municipal / provincial sales taxes like the US does in most states?[/QUOTE]
I think the UK has sales tax included in prices, instead of being added when you buy the item.
The PS4 costs close to $700 in Sweden and that is very cheap compared to the $1000 the PS3 was. Then again we have 25% sales tax here.
But on the other hand I don't have to pay any money to attend Uni and I have free healthcare so I don't mind.
Also no gun violence. :v:
Both consoles are significantly more expensive in Poland as well.
[QUOTE=fishyfish777;41010361][img]http://imgkk.com/i/78-x.jpg[/img]
TIL the US doesn't have sales tax
[editline]f[/editline]
Or does the UK have municipal / provincial sales taxes like the US does in most states?[/QUOTE]
In the UK sales tax (VAT) is included in the price of a product. The £349 price of a PS4 already includes the 20% sales tax. And that 20% VAT rate is set by the UK government, there's no regional tax rates or anything like that.
As I understand it, US sales tax is added onto the price when you go to buy it so that $399 does [I]not[/I] include sales tax, which is why there's none deducted in the table. And sales taxes are set by each state so [url=http://en.wikipedia.org/wiki/Sales_taxes_in_the_United_States#By_jurisdiction]it varies[/url].
The article explains it
[quote]In the US, sales tax varies from state to state and is added to the headline price at the checkout. In the UK, the 20% VAT charge is included in the price you see.[/quote]
Sucks for the UK, I don't really care for their strife 8-)
wow european tax stuff is crazy
Americans will pay like $432 for a ps3 after taxes (american taxes vary at the city level)
[QUOTE=fishyfish777;41010361][img]http://imgkk.com/i/78-x.jpg[/img]
TIL the US doesn't have sales tax
[editline]f[/editline]
Or does the UK have municipal / provincial sales taxes like the US does in most states?[/QUOTE]
Yes, we have sales tax what the fuck are you on
[QUOTE=meppers;41010601]wow european tax stuff is crazy
Americans will pay like $432 for a ps3 after taxes (american taxes vary at the city level)[/QUOTE]
Its funny because if you live in Oregon you don't pay sales tax, so the console is literally a flat $399 (property taxes are much higher though than most of the country which makes up for it).
And you can order online to get around sales tax
Meanwhile the VAT is apparently added onto the price of everything before you buy. Which is nice in that you always know what you are paying for, but there is no way to "get around it" and its more expensive.
[QUOTE=KorJax;41010805]Its funny because if you live in Oregon you don't pay sales tax, so the console is literally a flat $399 (property taxes are much higher though than most of the country which makes up for it).
And you can order online to get around sales tax
Meanwhile the VAT is apparently added onto the price of everything before you buy. Which is nice in that you always know what you are paying for, but there is no way to "get around it" and its more expensive.[/QUOTE]
There used to be a way around it. The small islands around Britain are part of the British Isles but not part of Europe, so you could buy and import items from those islands, and not pay tax. All companies used to ship from there, the loophole was closed last April though.
24% VAT in Belgium
I can feel the socialism
but I don't mind because I'm saving that money on not having to sell internal organs to pay for health care
our VAT is 18% though nobody gives a shit and electronics stores increase their prices by additional 20%
[IMG]http://i.imgur.com/VwshyOT.jpg[/IMG]
a little perspective
[QUOTE=Lazzars;41011844][IMG]http://i.imgur.com/VwshyOT.jpg[/IMG]
a little perspective[/QUOTE]
Yes but any skilled work is normally at more than minimum wage so...
[QUOTE]"This includes, but is not limited to tax, tariff and exchange rates."[/QUOTE]
I seriously doubt this. Australia is charged a shit ton and they don't have anything blocking their path.
You guys are just greedy pricks.
Is it not understood that higher taxes are good as long as they are matched by better and more social services?
I would be fine paying 700 for a console if I could get higher education and healthcare for free.
It would be a fair trade off.
[QUOTE=Lazzars;41011844][IMG]http://i.imgur.com/VwshyOT.jpg[/IMG]
a little perspective[/QUOTE]
Oh my, that's embarrassing.
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