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California AG and state senators introduce bill to ban hidden fees

oag.ca.gov

11–20 of 396 posts

Re: California AG and state senators introduce bill to ban hidden fees

#11
post #8

Taxes and fees should be mandated for all prices up front. This is how it works in most of the world, there's no good reason it shouldn't work that way here in the US. Someone will come along and point out an edge case, but for the vast majority of retail situations this is doable.

This obscures the tax burden from the end user, transparently blending it with the price of the goods and the merchant's profit.

Consumers should be consciously aware of the split.

Re: California AG and state senators introduce bill to ban hidden fees

#13

Can't wait. AirBnB is one of the worst offenders here.

Interestingly, I believe Australia already did this, and so if you go to Airbnb’s Australia site you see the real prices. Personally I hope this apppies to “resort fees” at hotels; it’s ridiculous that hotels can have a mandatory fee that they can exclude from their posted price.

Indeed, in Australia it's already a law. It's a well-known hack - go to airbnb dot com site and append .au to get the the full price including all fees.

Re: California AG and state senators introduce bill to ban hidden fees

#14
post #11
post #8

Taxes and fees should be mandated for all prices up front. This is how it works in most of the world, there's no good reason it shouldn't work that way here in the US. Someone will come along and point out an edge case, but for the vast majority of retail situations this is doable.

This obscures the tax burden from the end user, transparently blending it with the price of the goods and the merchant's profit. Consumers should be consciously aware of the split.

Airlines are required to advertise total price, but break out taxes at purchase. This is a solved problem.

https://www.transportation.gov/policy/aviation-policy/airlin...

Re: California AG and state senators introduce bill to ban hidden fees

#16
post #11
post #8

Taxes and fees should be mandated for all prices up front. This is how it works in most of the world, there's no good reason it shouldn't work that way here in the US. Someone will come along and point out an edge case, but for the vast majority of retail situations this is doable.

This obscures the tax burden from the end user, transparently blending it with the price of the goods and the merchant's profit. Consumers should be consciously aware of the split.

It can be itemized on the receipt but the easily readable advertised price should be the number you pay, period.

Re: California AG and state senators introduce bill to ban hidden fees

#17
post #11
post #8

Taxes and fees should be mandated for all prices up front. This is how it works in most of the world, there's no good reason it shouldn't work that way here in the US. Someone will come along and point out an edge case, but for the vast majority of retail situations this is doable.

This obscures the tax burden from the end user, transparently blending it with the price of the goods and the merchant's profit. Consumers should be consciously aware of the split.

Personally I find it very interesting that a $20 restaurant meal might only be netting $1 to the owner. Makes me feel like going out isn’t actually that bad of a deal.

Re: California AG and state senators introduce bill to ban hidden fees

#19
post #11
post #8

Taxes and fees should be mandated for all prices up front. This is how it works in most of the world, there's no good reason it shouldn't work that way here in the US. Someone will come along and point out an edge case, but for the vast majority of retail situations this is doable.

This obscures the tax burden from the end user, transparently blending it with the price of the goods and the merchant's profit. Consumers should be consciously aware of the split.

Why? The business is built on infrastructure that is paid for with taxes.

Tax is included in all end user prices in every European country I’m aware of.

Re: California AG and state senators introduce bill to ban hidden fees

#20
post #5

Tons of industries affected by this, though hospitality comes to mind as being particularly egregious. "resort fees" you can't get out of where they tell you what you're "getting" for those fees, Airbnb service fees, cleaning fees, things that should all be spread across the nightly rate. The feds doing this for airfare was the best thing to happen for consumers shopping for flights. Ideally we would take it further…

I agree with you on almost all of this, but I think the cleaning fee is different. It represents an actual cost for an actual activity. I think AirBnb should show initial totals with it included, so you're never surprised by it. But it shouldn't be rolled up into the nightly rate because it really is a one-off.

As an example, right now I'm looking at doing an extended trip, on the order of 2-4 weeks. I just need one cleaning at the end. If they inflate the daily rate to cover cleaning, I'll end up paying a lot more than the average weekender trip. Or if they hide it in a variable price, then I'll have a hard time comparing different lengths of stays across different places.

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