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Originally Posted by grooks
I now remember the publishers originally mentioned charging sales tax and this 5% may be just that. Other retailers don't seem to be marking up 5% so maybe they chose to eat the tax.
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Hmm good point. I wonder if that is true.
If the 5% mark-up is for "tax" then I'm not so upset with Sony, especially since tax is a bit higher than 5% in my area. But I must admit, I would be a lot happier if they chose to eat the tax as you would say.
Just a weird way of doing it since I believe sales tax can vary from city to city. I also remember tax being mentioned as part of the agency model, but I'm suprised that the publishers would be the one to bring it up since I don't see how charging or not charging tax makes a difference to them. Unless they see that a no tax on ebooks as too much competition with their paper bound editions. But if that is the case, how can some retailers "eat the tax" as this would go against the agency model.
Wish we heard something from Sony to explain the 5% hike in price compared to other retailers.