You aren't getting what I am saying. "Eating" the sales tax is the same as "building it into the price". The term is used to denote that you have no "pass through" mechanism to make the consumer pay taxes in addition to advertised prices. And now that has changed.

I'll be honest. I despise it when someone offers me a discount for cash instead of a credit card. I use my credit cards all the time because it's easier and I get points on the cards. If a business positions it as a "cash discount", I immediately assume the following:

1. They're planning to not pay the sales tax and are crooked.

2. They're raising my price to use the credit card.

I recognize that the truth could be different, but my immediate reaction is that I have to pay more to use my credit card, and I really don't like it.

Read my recent posts, I think I wasn't making my self clear enough before.

Switch to cash.

That has to be the message. The state doesn't care. The state doesn't care. The state doesn't care. TAXES ARE GOING UP. This bar is taking action against this bullshit.

Now, raise the price and find a hook that puts the extra 16 cents to work against a state that doesn't care. Make it into a movement that works against the tax and every beer sold contributes in some way to the movement. Hell, in the right kind of a setting with the right kind of message you could even make the 16 cents a voluntary contribution to the cause. It's 16 cents.

Posters of Roosevelt, Jefferson and Lincoln (the faces on the dime, nickel and penny) speaking out against the added cost come to mind.

On the other hand, I don't know. It might not be that kind of bar.

First: fuck those assholes at TABC. Idiotic, entrapping bureaucrats.

Second: You cannot possibly believe that the current 14% tax is not factored into your alcohol sales and passed onto the customer already?

Third: I do not see the problem with the cash transactions. The computers can easily add that on for cash as they can credit cards. Unless I am still missing something here?

OK, I think I'm following now. But whatever the decision, keep the prices the same, regardless of form of payment.

They have to pay to use your credit card as well. They are charged for every transaction paid for with plastic. Thus, it it is cheaper for them to deal in cash.

I won't even to to places that charge extra for using credit. Very few exist anymore though.

Also, note that it will annoy people who didn't bring in a ton of cash. First, they'll complain that they don't have enough cash. If they don't, they'll be made that they're paying more than other people for the same product. If they do, then they'll peel some bills out of their wallet to pay for it and will mentally treat the bar as being cash only, which means they'll leave relatively quickly and head to a bar where they can use their card.

I'm really not a fan of the idea.

I agree that this is true. I look at it as a cost of doing business, though. They shouldn't involve me in their dealings with their vendors.

I think you are correct on the illegality of it. And as wrong and fucked up as it is, I'll be damned if I am going to call those TABC assholes on them.

But, all of a merchant's dealings with their vendors involve you. The more a vendor charges, they more you are going to get charged. That is just simple math and a necessary business requirement.

Of course it is, but there is currently no way to pass that on without having to change ADVERTISED prices. There is a big difference in perception for some people when it comes to a $2 beer and a $2.25 beer. All fine and dandy when you have a level playing field but now with the new craptastic system restaurants get a clear edge because everyone EXPECTS taxes on the bill there.

Imagine bartending and a guy orders a $2 Bud. He stuffs a dollar in the tip jar and hands you $2.. you gonna say "hey it's $2.16 with tax, gonna need 16 cents man." What a complete cluster****.

Your only choice is to take it in the ass and lose a couple grand a month OR raise prices overtly OR this solution which is to add the 8.25% sales tax to CC tabs because then it's seemless.

The ONLY drawback would be customer reactions to seeing the sales tax on the tab. I figure 80% of us are so trained to see sales tax that most wouldn't even notice.

Then you and I define "eating" (as it applies to money) in two very different ways.