Add tax or hide in bid?

Discussion in 'Lawn Mowing' started by K.Carothers, Apr 4, 2005.

  1. K.Carothers

    K.Carothers LawnSite Bronze Member
    Posts: 1,124

    What do you do with adding taxes?
    Is it better to add it into the bid or to show it on invoice?

    I'm not trying anything funny here, I pay the taxes.

    job= $100
    Is it better to bid $110 ?

    job=$100
    Plus 7% ?

    or will the 7% generate more business because its not in the bid thus lowering your initial bid quote?

    Seasoned LCO's, what have you found to be the best method?
     
  2. MN Wildwood

    MN Wildwood LawnSite Member
    Posts: 80

    My billing shows $100 plus tax. Never had any questions about it.
     
  3. Kate Butler

    Kate Butler LawnSite Senior Member
    Posts: 640

    Where I live, it's illegal to include the tax without separating the taxable items from the tax itself. Therefore, it would have to be $100.00 for taxable materials plus whatever your tax rate is plus non-taxables for your grand total.
     
  4. Mo Green

    Mo Green LawnSite Bronze Member
    Posts: 1,487

    I would add the tax on to the estimate at the bottom. If you add the tax before, it makes your price seem higher than it is. If you add it to the end, the customer can see your reasonable bid, and then the will see that it's Uncle Sam running up the price.
     
  5. crzymow

    crzymow LawnSite Senior Member
    from Pa
    Posts: 378

    just put the price then plus tax. LIke $100.00 +tax (6% here)
     
  6. Norm Al

    Norm Al LawnSite Bronze Member
    Posts: 1,227

    is it maintenance/service or landscaping/itemized bid?
     
  7. Jeff@SGLC.ca

    Jeff@SGLC.ca LawnSite Senior Member
    Posts: 576

    We of course have 2 taxes up here. One for goods and service and one for provincial. The PST only gets charged on taxable items such as mulch so it would be 7% + 8% where our services only gets billed the GST at 7%. You guys worried about a lil 6% lol.
     
  8. nitrotim

    nitrotim LawnSite Senior Member
    from nj
    Posts: 525

    I use quickbooks and its easier to show it on the invoice. It does it for you. I always tell customers the price I give them is +tax.
     
  9. Frontier-Lawn

    Frontier-Lawn LawnSite Silver Member
    Posts: 2,949

  10. Jeff@SGLC.ca

    Jeff@SGLC.ca LawnSite Senior Member
    Posts: 576

    Lawn services in Florida aren't taxable?
     

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