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A citizen who visited a community center in Jongno-gu, Seoul on the 4th, when emergency payments began to be received for all citizens. (Photo = Reporter Jong-Min Park / Material photo)
Disaster benefits (basic disaster income) The “pumpkin” controversy is burning. It was also noted that some stores wanted to illuminate the original purpose of introducing the local economy, which had been stagnant with Corona19, due to rigid details.
In recent years, several local online communities have suffered disaster damage. It was a store that could use disaster relief funds, but even the same product had different prices for the “cash price” and the “disaster fund.” If you buy it as ‘disaster aid’, you will add an amount equal to 10% of the ‘cash price’.
Consumers criticized that some small business owners are taking advantage of the nature of the disaster subsidy that can only be used within 3 months. The merchant’s rebuttal is also tense. As the credit card fee is incurred, disaster relief funds also have a fee, and there is no choice but to increase the price accordingly.
If so, is it really necessary for small business owners to pay a fee high enough to separate the “cash price” and the “card price” when using a credit card or prepaid card? CBS No Cut News checked it out.
Gyeonggi-do is one of the local governments that quickly provided basic income for disaster relief, a kind of disaster aid, to people in the crown government19.
As online damage cases continued, the Gyeonggi Provincial Government warned that it would be subject to criminal punishment, termination of merchants, and tax investigation if it discriminates against local cash money or money trapped on Day 6.
As a result, 15 stores were identified that differentiated the local currency from cash. When they settled on the basic disaster income received from credit cards, these stores demanded 10% more as a tax-free title than cash, or 5-10% more as a fee when paid with a local currency card. In some places, higher prices were requested for the same items.
Gyeonggi-do has filed legal charges against the stores and has taken steps to make it impossible to settle for basic disaster income and government subsidies. It will also conduct a tax investigation into sales manipulation.
In fact, local stores are paying a fee for disaster aid. However, this fee is only a small amount that does not exceed 1.1% of the payment amount. As some merchants claim, 10% of the cash price is not taxable, which means it is not a loss.
A Gyeonggi Provincial Office official told CBS No Cut News: “There is a fee when you pay basic disaster income, but it is very low and I know it is based on a check card.” Credit cards and prepaid cards they are the same”.
He added: “It is a very small fee, but it is considered excessive to sell with 10% VAT.”
A merchant who runs a beauty salon in the city of Gimpo also said: “It is not a general credit card fee, but it is very low, so there is no point in paying 10% VAT.” It’s a difficult situation with Corona 19. Rather, it encourages them to spend disaster relief funds. ”
In addition to disaster relief funds, small local stores often distinguish between “cash price” and “card price” for credit card fees. Even if these practices apply to disaster aid, the fact that they are “illegal” does not change.
Under the credit-related financial business law, credit card merchants cannot refuse credit card payments or treat members adversely because they trade with credit cards.
An official from the Gyeonggi-do Metropolitan Government Office said: “Basic basic income was implemented with good intention, but some companies are believed to have exploited it. “There is hope that the wrong practice of taking cash and card prices differently than work will also improve.”
