Hardware Bargains

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PostmanPot said:
Places charge ex VAT because they tend to be suppliers/distributors where mainly VAT-registered businesses that resell parts, which pay and claim VAT, are registered with and buying from.
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I know but that still doesn't change the fact that they are not allowed to only show the vat excl price.
 
From their site

COMPANY OVERVIEW

Founded in 1996, CyberDyne is presently the largest importer & wholesale distributor of computer components and related accessories in the West Rand. With its head office & distribution centre based in Robertville, Roodepoort, CyberDyne owns and operates premises spanning 10,000 square meters used to support its core business of computer component & accessory distribution. Privately owned and self financed, CyberDyne has excelled in providing the channel with true value for money - being superior quality & service at the right price.
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PostmanPot said:
That as a wholesaler/supplier/distributor, they are allowed to quote ex VAT.

PC Int isn't comparable - they are not a wholesaler/supplier/distributor...
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BUT cyberdyne sell to the public as well...so they are in the wrong as far as I'm concerned.
/OT.
 
From the VAT ACT:
VAT ACT said:
1. Interim dispensation

In order to facilitate the change over from the sales tax exclusive price system to the VAT inclusive system above, vendors will be permitted to continue using the exclusive basis on price lists for a period of six months ending on 31 March 1992 and on price tickets for a period of one month ending on 31 October 1991. Thereafter they will be obliged to apply the inclusive system as above.

2. Trade price lists

Where a vendor issues a price list which is only used in respect of the supply of goods or services to other registered vendors, the prices may be reflected on an exclusive basis, provided statements appear on each page of the price list to the effect that:

· VAT at 14% must be added to all prices; and

· the price list is for use only to registered vendors.
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Furthermore:
VAT ACT said:
Any price advertised or quoted by any vendor in respect of any taxable supply of goods or services shall include tax and the vendor shall in his advertisement or quotation' state that the price includes tax, unless the total amount of the tax chargeable under section 7(1)(a), the price excluding tax and the price inclusive of tax for the supply are advertised or quoted by the vendor: Provided that-

i) where the price inclusive of tax and the price excluding tax for a supply are advertised or quoted, both prices shall be advertised or quoted with equal prominence and impact;

ii) price tickets on goods need not state that the prices include tax if this is stated by way of a notice prominently displayed at all entrances to the premises in which the enterprise is carried on and at all points in such premises where payments are effected;

iii) the Commissioner may in the case of any vendor or class of vendors approve any other method of displaying prices of goods or services by such vendor or class of vendors during a period approved by the Commissioner which commences before and ends after the commencement date or, where the rate of tax is increased or reduced, the date on which the increased or reduced rate of tax takes effect.

iv) a vendor may not state or imply that any form of trade, cash or any other form of discount or refund is in lieu of the tax chargeable in terms of section 7(1)(a).
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Source: http://www.acts.co.za/vat/index.htm

Hence Cyberdyne system does not comply based on above, the VAT inclusive and exclusive amounts are not displayed with equal prominence.
 
PostmanPot said:
That must certainly be in the "public realm". Cyberdyne do not display prices in the "public realm". PC Int do. Another difference. :)
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Not really, it says:
VAT ACT said:
Any price advertised or quoted by any vendor
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But there is an easy way to find out. Report them to SARS and see if they stop doing it. SARS love to hand out fines, can't see them having a problem handing out fines for something like this.

I think for advertisements it doesn't matter, it MUST include VAT, even at vendor level. I just think these advertisements aren't reported to SARS. The previous section made special provision for price lists but it says nothing of advertising. Not really clear on that but SARS are out for money, they would probably fine left and right if people actually make the effort to report vendors.
 
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Then why are Rectron, Sahara, Frontosa, Esquire, Pinnacle, Asbis, etc., still quoting ex VAT? Why have they not been nailed if supposedly all prices must have VAT inclusive price?
 
PostmanPot said:
Then why are Rectron, Sahara, Frontosa, Esquire, Pinnacle, Asbis, etc., still quoting ex VAT? Why have they not been nailed if supposedly all prices must have VAT inclusive price?
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You mean when advertising?
 
Gnome said:
You mean when advertising?
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Yes, both.

All advertisements are ex VAT/same as on price list.

By vendors, they refer to VAT-vendors, right? Because "vendor" is misleading, it could refer to a PC dealer/shop at retail level.
 
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