Coupons used in grocery

SKYhigh75f wrote: ↑ I dont know if this is the right category to ask this question, but here if i have coupons on a yoghurt example; yop 50cents off, this discount apply before tax and you pay tax on subtotal of price of the yoghurt minus coupon.

Wanted to know because i recently bought this item was charged tax on original price not one after discount.

Thank you. I live in Quebec

1) Yes they did it right
2) just curious how much more did they charge you? Seems like an insignificant amount to bicker about

yes, a specific discount is charged tax on the price without the coupon. However, free or buy one get 1 free manufacturer coupon means no tax on the free item. But many stores get that wrong.

Well it's not no tax on the free item, it's that the free product coupon covers the cost of the item including tax. Unless the till has a specific method for cashiers to enter FPCs, the cashier has to whip out a calculator to figure that out in order to get the value of the coupon. It's much easier for them just not, and use the item price alone.

Nope, no tax on a free item after a manufacturer coupon is used for a free or buy 1 get 1 free. MOST store have a button to remove it automatically (like shoppers drugmart). Some do not, and that contributes to the problem.

"BOGO, or buy one, get one free coupons, or
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different discount amount depending on the size of item purchased, such as $1.00 off the price of a one litre container of a taxable product or $2.50 off of the price of a two litre container of the same product

With this type of coupon, the GST or HST is calculated based on the amount after deducting the value of the coupon."

Yop is a single serve yogurt and therefore subject to tax. The cashier will correctly ring up the price of the yogurt + full tax, then subtract the 50c coupon.

Safeway’s coupon policy

10. Sales taxes will be applied in accordance with the law of the applicable province, regardless of any coupon or other discount that may apply to the purchase transaction.

https://www.safeway.ca/utilities/coupon-policy

SKYhigh75f wrote: ↑ if i have coupons on a yoghurt example; yop 50cents off, this discount apply before tax and you pay tax on subtotal of price of the yoghurt minus coupon.
Wanted to know because i recently bought this item was charged tax on original price not one after discount.

This is correct. The manufacturer reimburses the seller the value of the coupon, and the seller reimburses the buyer. E.g., You buy an item that's $1 and use a $0.50 off coupon. You pay $1 + taxes, and save $0.50 on the total. The seller submits the received coupons to the manufacturer who reimburses the seller the total value of coupons received.

toronto19850 wrote: ↑ 1) Yes they did it right
2) just curious how much more did they charge you? Seems like an insignificant amount to bicker about

Total before coupon: 30$ minus 15$ coupon=15 + tps(1,50)+tvq(3)=19.50$ in all.