RH PAYMENT!- JT BRIDES ESPECIALLY

Original post by grkbarbie

Apr 13, 2010 09:06 PM

i understand... PRICE PER PERSON...pus tax plus service charge.

please tell me if this is LEGIT!

this is how its broken down for me on the paper they gave me.. tell me if this is normal?

(added easy #s to fogure out math)

Number of guests 100
price per person 100
subtotal 10,000

service charge20% 2,000

sub total 12,000

sales tax 8.625$% 1,035

subtotal 13,035

question... why the FFFFFFFFFFUCKKK am I being TAXED on a SERVICE CHARGE??

is that normal?? shouldnt they freakin tax me.. THEN 20% service to the 10k..???

or am i loosing my mind and making a complete asss out of myself right now?

is it the same? hsfkhdskjfdhsf

firemans gal Posted: Apr 13, 2010 11:12 PM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

My RH said that most places do charge tax on the service fee, but they don't. I would try to work out something with them because that's crazy.

jm2010 Posted: Apr 13, 2010 11:13 PM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

i think if its called a 'service charge' it's taxable, if its called a 'gratuity' it's not ...

JoanneAndJustin Posted: Apr 14, 2010 06:59 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

That's how ours was done... I was so happy to have enough money to pay the final bill I didn't even think to question it

Future Mrs H Posted: Apr 14, 2010 08:03 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

My RH is doing the same thing- I think its the norm!

annnng Posted: Apr 14, 2010 08:24 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

Well if it makes you feel better. I reversed it and did tax first then service charge and honestly... Its the same thing. Whether you reverse it or keep it the same you're paying the same thing. There was a dollar difference. My fiance and I figured that out last night. So either way it's the same total. Hope that helps..

christine2010 Posted: Apr 14, 2010 08:57 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

Yes they are alloweed to tax the service charge. I asked my hall about this too. The 'service charge' at my hall includes the tips for coat check, wait staff, valet parking, & bridal attendant. The way it was explained to me is that since the hall has to pay employer liabilites on the tax withholdings all the events at the hall are equally taxed.

In my contract we also included the matriD tip so that is being taxed as well, but it makes it easier that day to not have to worry about carrying cash around.

KM714 Posted: Apr 14, 2010 11:22 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

i dont think this is correct and i would follow up. i asked about this and they said they figured it out separately and then added the total together.

($100 per person * % gratuity) + ($100 * %tax) + $100 = total charge per person after all the taxes.

they cant 'double tax' you.

halfbaked Posted: Apr 14, 2010 11:28 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

Unfortunately it can be taxed. If it was listed as a gratuity, they wouldn't be able to tax it, but since it's a 'service charge' they can. I think it's SO wrong, but such is life.

AdriandSteve Posted: Apr 14, 2010 11:28 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

99% of RH's tax the TOTAL (incl. service charge). You can't pay cash and not pay tax for a place like a RH. They are too closely monitored for that kinda stuff. MAYBE if you talk to them they can not charge you tax on anything OVER your minimum but that's doubtful.

halfbaked Posted: Apr 14, 2010 11:30 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

Posted by KM714

i dont think this is correct and i would follow up. i asked about this and they said they figured it out separately and then added the total together.

($100 per person * % gratuity) + ($100 * %tax) + $100 = total charge per person after all the taxes.

they cant 'double tax' you.

How is it double taxed?

You're paying one tax for the total amount which is $100 * 100 ppl + Service Charge.

As much as I'd love it to be wrong, it's right.

Aliaxtra Posted: Apr 14, 2010 11:42 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

Technically they are not suppose to tax you on Labor..
And service charge is JUST FOR LABOR..but this is how they make a quick buck.. Leonards did the same thing
Ck on your original documents they gave you and see if its in there...

KM714 Posted: Apr 14, 2010 11:49 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

Posted by jilliibabii

Posted by KM714

i dont think this is correct and i would follow up. i asked about this and they said they figured it out separately and then added the total together.

($100 per person * % gratuity) + ($100 * %tax) + $100 = total charge per person after all the taxes.

they cant 'double tax' you.

How is it double taxed?

You're paying one tax for the total amount which is $100 * 100 ppl + Service Charge.

As much as I'd love it to be wrong, it's right.

well, im not sure about this then. im not a numbers person so i could totally be wrong. my belief was that you always pay per person and that individual is what is taxed, not the total. for example : $100/pp++. which would be $100 per person plus the tax plus the gratuity. if you have 100 people, you base would be $10000 and your ' + + ' should be figured on that only.

(100*20%) + (100*8.625%) + 100 =
(20) + (8.625) + 100 = 128.62 per person X 100 guests = $12862 total. not $13035 that Barb calculated.

like i said, im TOTALLY not sure about this; this was just what i thought it was. i have 233 days to figure it out....

halfbaked Posted: Apr 14, 2010 11:51 AM

Re: RH PAYMENT!- JT BRIDES ESPECIALLY

Posted by KM714

Posted by jilliibabii

Posted by KM714

i dont think this is correct and i would follow up. i asked about this and they said they figured it out separately and then added the total together.

($100 per person * % gratuity) + ($100 * %tax) + $100 = total charge per person after all the taxes.

they cant 'double tax' you.

How is it double taxed?

You're paying one tax for the total amount which is $100 * 100 ppl + Service Charge.

As much as I'd love it to be wrong, it's right.

well, im not sure about this then. im not a numbers person so i could totally be wrong. my belief was that you always pay per person and that individual is what is taxed, not the total. for example : $100/pp++. which would be $100 per person plus the tax plus the gratuity. if you have 100 people, you base would be $10000 and your ' + + ' should be figured on that only.

(100*20%) + (100*8.625%) + 100 =
(20) + (8.625) + 100 = 128.62 per person X 100 guests = $12862 total. not $13035 that Barb calculated.

like i said, im TOTALLY not sure about this; this was just what i thought it was. i have 233 days to figure it out....

I understand what you're saying, but that's not how they do it. They add everything up and then figure out the tax of the final number. I wish they did it your way! LOL!