Today I called to confirm our limo's for Sat. I was informed that they had to add $73 additional to my balance, due to a new tax law that was institued in June. Can they just add this new tax when I have a written contract? How can they just change my balance?
KerriJohnS
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Re: Can they do this?
They might be able to. If it's taxes than that's governent and laws... not so much them adding on fees for their own behalf.
I didn't hear about this though.
mokie74m
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Re: Can they do this?
I've heard about this 'new' tax a while ago. I'm not sure exactly how it works but I heard that it didn't matter if you had a signed contract before the tax came into effect that you would still have to pay it. Try talking to the limo company and see what they can do for you.
Becca2010
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Re: Can they do this?
Yeah the tax is legit, but they should have called you a couple months ago when it first came out. I guess they didn't want to run the risk of you finding a cheaper company.
FutureJOC
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Re: Can they do this?
Posted by Becca2010
Yeah the tax is legit, but they should have called you a couple months ago when it first came out. I guess they didn't want to run the risk of you finding a cheaper company.
I agree.. you can't do anything about the tax but they definitely should have call you to make you aware of the increase.
LadyDuda81509
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Re: Can they do this?
im not sure if they can do that, but i would totally make a little stink about it and see if it can be avoided concidering your contract is already signed!!
mrsdraskin2009
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Re: Can they do this?
Posted by FutureJOC
Posted by Becca2010
Yeah the tax is legit, but they should have called you a couple months ago when it first came out. I guess they didn't want to run the risk of you finding a cheaper company.
I agree.. you can't do anything about the tax but they definitely should have call you to make you aware of the increase.
ITA
halfbaked
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Posted by mokie74m
I've heard about this 'new' tax a while ago. I'm not sure exactly how it works but I heard that it didn't matter if you had a signed contract before the tax came into effect that you would still have to pay it. Try talking to the limo company and see what they can do for you.
Ditto.
xo09xo
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Re: Can they do this?
They explained to me that this new tax law came out in June. I signed my contract in May so I would have figured they knew about it!!! Either way, I really did like them and my wedding is Sat so I am not going to stress over $73.00. I am going there today to pay the balance, so I may inquire a little more about it. Thanks girls!!
Rivera2be
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Re: Can they do this?
The new tax rate of 8.875% went into effect on August 1. If your contract was made before the new tax rate but you were billed after the issue, you will need to pay the new tax. However I believe that if your contract was paid in full before the new sales tax rate came into effect than they can't charge you the additional tax now.
bridezilla2b
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Re: Can they do this?
Posted by xo09xo
They explained to me that this new tax law came out in June. I signed my contract in May so I would have figured they knew about it!!! Either way, I really did like them and my wedding is Sat so I am not going to stress over $73.00. I am going there today to pay the balance, so I may inquire a little more about it. Thanks girls!!
They DID know about it .. BUT, they were all fighting it. They (meaning limo orginizations) did their best to get the taxes squashed as it has created an accounting nightmare for them.
The tax is only applicable for the cars ... NOT for SUV's or buses ...
Let me know if you have any questions.
DanielleMF
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Re: Can they do this?
Thats terrible- a little notice would have been nice!
Being that its taxes they might be able to- however- you should be grandfathered in with the old laws if you signed before June.
So sorry!
RJP523
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Re: Can they do this?
Posted by Rivera2be
The new tax rate of 8.875% went into effect on August 1. If your contract was made before the new tax rate but you were billed after the issue, you will need to pay the new tax. However I believe that if your contract was paid in full before the new sales tax rate came into effect than they can't charge you the additional tax now.
I agree! Also, check your contract. Some contracts have escalation clauses that say if the cost to perform a service increases, they have a right to charge you a % of or the total additional cost. I'm not sure if something like that would apply to a government tax increase tho
FutureMrsM
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Re: Can they do this?
Posted by xo09xo
Today I called to confirm our limo's for Sat. I was informed that they had to add $73 additional to my balance, due to a new tax law that was institued in June. Can they just add this new tax when I have a written contract? How can they just change my balance?
Yes, they can, since it's state mandated. The limo company should have known about it for a really long time and should have added it on beforehand so this wouldn't happen (that's what our company did). The limo company has so say in it and has to assess the tax by law.
amarra121
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Re: Can they do this?
Posted by bridezilla2b
Posted by xo09xo
They explained to me that this new tax law came out in June. I signed my contract in May so I would have figured they knew about it!!! Either way, I really did like them and my wedding is Sat so I am not going to stress over $73.00. I am going there today to pay the balance, so I may inquire a little more about it. Thanks girls!!
They DID know about it .. BUT, they were all fighting it. They (meaning limo orginizations) did their best to get the taxes squashed as it has created an accounting nightmare for them.
The tax is only applicable for the cars ... NOT for SUV's or buses ...
Let me know if you have any questions.
That tax rate applies to cars and suv's.
MrsCM
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Re: Can they do this?
I believe if there is a contract prior to a law being passed, they cannot make changes to it, it should basically be grandfathered in. I'd talk to them about it.
EDA: If they can do it and insist on it. I'd ask that they then take $73 off of your invoice on their end because they did not disclose the possibility of this charge to you and that is irresponsible on their part.
sophisticat13
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Re: Can they do this?
We hired a limo to take us to the airport in August and were told about this law then. They are telling you the truth, there was a law passed in June about a new 'transportation tax' that gets added on now. Sorry, but there's not much you can do because the limo company has to charge this tax...we asked if they could drop it if we paid cash and a few of them refused because they don't want to get in trouble
CloudNine
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Re: Can they do this?
this new tax thing came out a while ago however my limo company sent me a letter letting me know about it and where i can research it so i was given a heads up
the tax is only on cars though i think...i think its 14 passengers and under. party buses cant be taxed