[LGC]

I wonder what Juno Official stance is on this? Seems that by also taking tax out of fare you are in essence passing a savings to the consumer on the backs of the drivers, and basically charging driver near 20% off the fares.

Does Ryan Price care to share what his organizations stance is on this?

NYTransit you wrote an article where you said UBER say they pay their fare share in taxes. You do realize that neither the passenger (consumer) nor Uber is paying this tax? Also, uber takes its commission on the entire fare (pre sales tax) while the driver pays for the tax+commission (both on a pre sales tax basis)

Juno Official has addressed it previously. While they are including the sales tax of the ride fare (base+mileage+time) in the total fare, Juno is currently billing the customer for sales tax which applies to tolls.

It's a step in the right direction.

I think this should be a top priority for Ryan Price and IDG. It would immediately put more money in the driver's pocket.

I've addressed the "double tax" issue a long time ago, but it never seemed to get much traction:

https://uberpeople.net/threads/uber-is-double-taxing-its-nyc-partners.13071/

 

[LGC]

When a driver gives a ride, the fare is the compensation that the rider is paying the driver for the service. If your taking the sales tax out of the fare then your making the driver (service provider) pay for the riders (consumer) tax.

Also when you take a commission from the TOTAL FARE (which you are now saying includes tax) then you are taking a commission on tax. Not sure how your able to charge a commission on the governments money.

I agree with you that the tax burden is put onto the driver; especially with all these rate cuts.......

In regards to charging a commission on the tax (and I believe tolls, but I'm not certain) - Uber is getting away with that by issuing a 1099k which makes them the equivalent of a credit card processor. Credit card processors charge a percentage of the entire sale; including sales tax, so uber is "legally" doing the same by issuing a 1099k.

It's dirty and low, but appears legal.

 

[LGC]

Personally, I think you guys are beating a dead horse.

I doubt highly that it would make any difference if the price was advertised pre or post sales tax. I've had so many customers ask me how the trip is calculated - it seems like they don't know nor do they care to know until they receive their receipt in the mail.

Here's an experiment - next time you have a passenger, ask them if they know what the per mile rate is. I'd be surprised if they knew.

In my opinion, we're better off fighting for an overall rate increase instead of fighting about how the rates are advertised.

 

[LGC]

That's Google not a uber receipt. Alextheboss made a good point. If sales tax is included should we get paid less than the regular rate when we drop off in jersey. There is no sales tax. Got em

Rusty, the receipt in the app makes no mention of the sales tax......

You need to look at the emailed receipt (which is the one Ryan Price posted in order to see the tax breakdown).

great point made about out of state trips!

I just hope they don't drop rates on out of state trips now.

 

[LGC]

Saying that the sales tax is included in the fare and paid by the passenger is like my employer saying that my income tax is included in my wage and is paid by them. This argument is comical.

The receipts that are being presented use the same tax calculation as income tax where the tax is taken out of the total payment made to the employee.... In these cases the employer can't say that they paid for the tax. Smh

I'd stick with the point you made about out of state trips........

I'm pretty sure there's nothing illegal about including the tax into the fare cost.

Gas stations include all taxes when they advertise their prices - unless they have some sort of exemption, uber should be legally able to do the same.

 

[LGC]

The problem with that is that your claiming that your paying the drivers more than you are. Tax is not compensation... You can't say I earn $1.75/mile when part of that $1.75 is tax, it over inflates what drivers earn.

Also gas stations is a special case because they deal with other taxes. This is a NYC only issue, no other drivers are getting sales tax deducted from their fares..

I respectfully disagree, because they are just advertising a fare.

Where do they claim that drivers make $1.75 per mile? It might be assumed by someone, but that would just be an incorrect assumption.

I just think it's a poor argument........

On the other hand, your out of state argument is a great argument to pursue.

 

[LGC]

You do realize that saying he tax is included into fare is just a way of taking 8.8% from money that you earned.

If it is included then what would the breakdown be? How much of the base fare is tax? How much of the milage rate and time is sales tax?

Sorry, but as a driver I shouldn't be paying for tax that the rider should pay under the guise that "it's included".

I do realize it..... I hate it.

But, hating it doesn't mean it's illegal.

The calculation is done like this:

Total fare / 1.11315 = Pre-tax fare

Pre-tax fare * 8.875% = sales tax

Pre-tax fare * 2.44% = black car fund

Total fare * uber commission % = uber commission

Net to driver = total fare - sales tax - black car fund - uber commission

 

[LGC]

Have you ever bought $2 pizza? That $2 included the sales tax, it was just built into the price. Uber, and apparently Juno, are doing the same thing.

I agree.

But- if you ship that $2 pizza to jersey, it's now less then $2 because you don't need to pay the NY sales tax.

The argument is - if uber is really charging the passengers the sales tax, why isn't that reflected in an interstate trip?

They charge the customer the same rate for intrastate and interstate.

The interstate trip should be less because sales tax is not collected on interstate trips.

That argument could be used to say that uber is charging the drivers and not the passengers........

Although - I'm sure if it went to court, uber would say that they didn't cheat the drivers......

They were cheating the passengers.

 

[LGC]

If you ship a slice of pizza to NJ it will be cold when it arrives. Why not order a slice from up the block?

Because those slices weren't fingerprinted and background checked properly.

 

[LGC]

Its all a scam, if you look at livery drivers that now do uber while the car is affiliated with a livery base. Their uber fee is about 35% im guessing that is with sales tax included.
Because on their trip details all you see is
Fare - Uber fee you dont see a sales tax being mentioned anywhere on their trip details.

Meanwhile on ours we see the
Fare - uber fee - sales tax - black car fund

It shows us that we are being charged the sales tax meanwhile it shows them that they arent being charged a sales tax but are paying a higher uber fee.

There isn't sales tax on Livery trips.

I'm pretty sure they also don't pay into BCF.

It should only be 25% commission.

 

[LGC]

Well if there isn't sales tax on livery shouldn't they have different rates if in fact the rates include sales tax

Yes - that is correct.

 

[LGC]

15-20 years ago no driver gave a chit about the sales tax or tolls. Everybody used to make decent earnings back then. What a crap, drivers counting pennies nowadays.

You're absolutely right!

Specifically because 15-20 years ago, there wasn't sales tax charged on FHV trips.

The law only passed in 2009.