Quote:
Originally Posted by curves2000
GST is paid by end users and increased prices result in a much higher tax revenue to the government. That's not a "government give business a break"
It's the end users who are paying the higher food costs. When it comes to shipping costs and how they have exploded, items are being marked up across the board a lot more than this 7% inflation everybody keeps talking about.
A pallet of an item that retails for $1.99 at $125 a pallet doesn't get marked up to $2.13 when the shipping costs go to nearly $500. It's getting marked much higher.
If we really had 7% inflation, we really wouldn't have everybody struggling. We have restaurants charging prices of 25% + over last year.
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None of those have to do with taxes though. You are basically saying that companies across the entire supply chain have been able to use the excuse of inflation to increase prices beyond what was needed to capture greater margins. Cost goes up by 2% and the supplier marks it up 3% so on and so forth. How would a tax break help with that?