Used cars...expensive?

[Roo]

Deva Link said:

I'm not really sure what you're thinking of here, but of course the customer pays. The customer pays for everything; prep cost, warranty, VAT, business overheads, salesman's salary etc etc.

The same as they are in any other business.

Deva Link said:

OK, none of those things are itemised out on the bill, but if they're not wrapped up in the price then the business won't be around too long!

The same as they aren't in other business. Unless you're in the US where the sticker/screen price is always plus sales tax.

To try and explain myslef more clearly, and to corrobrate the earlier point about sales tax.

Buy a used margin car in the UK and the price is all in. There is no sales tax/VAT element as far as the customer is concerned.
Buy the same car in the US and the price will always be plus the tax. So from a customers point of view who is used to the way the UK works the US system seems bizarre as you are being charged what effectively looks like VAT on a used car which is not something that is broken down, or explained, in the UK as it's irrelevant as you can't claim it back.

Deva Link said:

And effectively, the original new car VAT paid stays in the car for its whole life, depreciating at the same rate as the car.

Nope, you've lost me on that on.