Credit Cards

[JackOfSpades]

One thing that puzzled me so figured see if anyone has any insight into this.

How come most escort places will happily process credit card payments, but massage places usually do not accept them (& the few that do seem to grumble about it so much).

I would assume having a plastic transaction is far less hassle than having a till full of hundreds that can easily be robbed

 

[B3799]

One thing that puzzled me so figured see if anyone has any insight into this.

How come most escort places will happily process credit card payments, but massage places usually do not accept them (& the few that do seem to grumble about it so much).

I would assume having a plastic transaction is far less hassle than having a till full of hundreds that can easily be robbed

Cash rules dude. Do you want to pay anywhere from 1.75% to 4% on credit cash charges?. BTW, any dude that robs a MP has a thing or two coming to them, trust me.

 

[coolcrusher]

Cash rules dude. Do you want to pay anywhere from 1.75% to 4% on credit cash charges?.

Some agencies and MP charge extra if you use credit cards. Beware.

 

[Boing]

American Express is the best.

I never leave home without it

 

[RAWD]

Aside from transaction costs for credit and debit....

Most MPs distinguish between the house (door fee) and the girl (tip). MPAs are not employees, but are independent contractors. Thus, MPs don't want the hassle of receiving and distributing revenues on behalf of their girls.

Providing one point of payment for the total session cost (door fee and tip) could also result in adverse income tax and sales tax consequences and possibly create employment obligations.

Also, because of the door fee/tip split, the average transaction for an MP is much lower in value than for an incall (from the owner's perspective). It's not really worth setting up a CC account for $40 transactions, whereas it would be for $160+.

Incalls are "illegal" businesses. Cash receipts have to be laundered if the owner wants to inject the funds into the "regular" economy. Credit card receipts can help the laundering process by providing a verifiable source of income for the business. I have yet to see an incall that reports itself as such on its income tax returns. A fictitious business is used, or the incall's revenues are consolidated with another, legitimate enterprise.

MPs are legal, municipally-licensed businesses. They are required to keep business records. They don't want to be bothered by CC and DC transactions that complicate the cooking of the books.

And if you don't buy any of that, the most logical explanation would be - if you owned a cash business, why would you want to encourage non-cash transactions?

As for robbing MPs, it happens. Again, because of bylaws (regarding attendance by the owner/operator), cash is readily deposited in a drop box or is removed offsite daily. But that isn't the point. The MP's cash intake is relatively small compared to what else is on-site. The real targets would be the MPAs and the customers.

 

[Joaquin]

RAWD, how do the in-out call agencies pay HST. Always curious how it works as they don't say $250 per hour plus HST.

Also how do the MP do it?.

 

[RAWD]

Good point, since the HST is supposed to be separately itemized for taxable services.

We can only assume that the agency/MP is paying the HST out of the amount that they collect from us. So, the normal HH doorfee is actually only $35.20 and not $40. LOL.

If you own your own business, you may want to look into claiming massage fees as expenses and the HST as input tax credits. Ask for a receipt (which is supposed to be given anyways per by laws).

 

[El Guapo]

Good point, since the HST is supposed to be separately itemized for taxable services.

We can only assume that the agency/MP is paying the HST out of the amount that they collect from us. So, the normal HH doorfee is actually only $35.20 and not $40. LOL.

If you own your own business, you may want to look into claiming massage fees as expenses and the HST as input tax credits. Ask for a receipt (which is supposed to be given anyways per by laws).

Too funny