Mar 01
Price Gouging Mercedes pays Governments to keep quiet!
In a move to settle a tax dispute with the Federal, Ontario and Alberta Governments, Daimler has agreed to pay out $1.5 Billion to end the tax fight over transfer pricing.
As pointed out in CarsWithoutborders back in 2007 and 2008, the “Price Gouging tactics” of Daimler-Chrysler and all the other car companies created a “transfer pricing” issue that while “screwing” hard working Canadians on price, also provided them with a loop-hole to avoid paying taxes.
Our Governments slow to jump on this have finally settled with a $1.5 B dollar win! We at CarsWithoutborders wonder what they have negotiated? Will the Governments continue to let them “hose” hard working Canadians. Why do we continue to pay 20 to 25% more than our U.S. cousins for Mercedes-Benz models?
Will our Governments go after the other companies as well? BMW? Stay tuned!
Shop wisely!
see the article by Greg Keenan 2011-03-01globeandmail.pdf
March 1st, 2011 at 11:57 am
Maybe thr Govt. should give this money back to the consumer that got screwed on the price in the first place. But in Canada, we like to give our tax dollars to multi-national companies so they can employ a couple of thousand people and gouge the rest of us!
And what is Ottawa doing to protect consumers against the price gouging tactics… how are they going to create a competitive playing field, lets hope the CRTC doesnn’t get involved it will surely cost us more!