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ARTICLE · 27 MAY 2009

Single vs Component Pricing In Australia - Will Your Business Be Compliant?

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The Trade Practices Amendment (Clarity in Pricing) Act 2008 commences on 25 May 2009. If you supply goods and services to personal consumers (rather than to other businesses) you will need to comply with the new law when you make price representations to your customers.

AustraliaAntitrust/Competition Law
Swaab Author
Swaab Author
Tyrilly Bolton
Tyrilly Bolton
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The Trade Practices Amendment (Clarity in Pricing) Act 2008 commences on 25 May 2009. If you supply goods and services to personal consumers (rather than to other businesses) you will need to comply with the new law when you make price representations to your customers.

The new law requires that from 25 May 2009, you must give the price for your goods or services as a single all-inclusive figure (including GST).

Included in that single price must be all amounts that are quantifiable at the time the price representation is made, specifically:

  • any charges payable by the customer to your business (other than charges payable at the customer's option);

Example: if customers can only pay by credit card, and your business imposes a compulsory credit card fee, this must be incorporated into a single price (saying 'fees and charges apply' will not be sufficient to comply)

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