Again, part of the reason Europeans pay more is the way taxes are structured.
What is the VAT now? 20%? We don't have the VAT in the States. The Federal Gov. taxes income off the top of your paycheck. Almost 15% of all payroll (SS and Medicare, half charged to the individual and the other half to your company). So if I make a $100 I only see about $85 in my pocket. The Feds also have an income tax which is dependent upon how much you make and if you have kids to deduct. That runs for most of us at 5-10%, again off the top. So we never see that money. So now your paycheck is down to 75% of what you've "made." Which means to have a $100 in your pocket you need to make $130. But wait, there is more. Individual States usually have a sales tax, like the European VAT (some also have income tax, too, up to 10%). This is added on after the sale. Cities and counties can add a tax to the sales, but most of their income comes from property taxes. Here in Dallas the sales tax is over 8%, which includes State, City and DART (transportation). That now gets tagged onto any internet sales.
So, I buy the Studio version of SONAR for $100. And my bill comes to $108.20 with tax. And I have to pay the sales tax too w/ money that was already taxed at least 15% by the Feds. So to pay for the $100 I need to make closer to $140, tho those taxes are unseen in Cake's asking price. In Europe, that $100 "costs" $120 w/ my assumed VAT. Plus whatever taxes are charged before the paycheck and tagged on after. I don't know what those figures are these days.
I know there is income tax in Europe, but the big "hidden" tax for most working folk in the States is Social Security and Medicare at close to 15% taken off the top of your paycheck. The VAT is more, but used to be added after the sale like our sales tax. That was where a lot of the price difference (as far as an individual's buying power) resided - Americans paid VAT-like taxes before the sale whereas Europeans paid it afterwards. And American sales taxes are not built-into the price Cake charges, but added after.
There are other reasons, I imagine, that SONAR costs Europeans more, but you have to add 15% to 50% to the stated US price to get an actual cost, so it isn't quite as large as it seems at first glance.
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