Tip and Tax are among the top differences between China and most western countries.
Before someone steps out of the door of his/she own country, he/she cannot really understand how different people do the same thing. I try to list top differences for foreign visitors to China. Check if you have known this before you pack your package to China.
- No tip required. You don’t need to pay tip for any service – in restaurants, hotels, taxi… The salary for hotel or restaurant servers is fixed and there is almost no relationship between their performance and their income. In most of the business, accepting tips are strictly forbidden to “protect the right of consumers”. Personally, I believe tip is a good way to encourage good service.
- Tax is included in all price. If you see something labeled 300 RMB, you pay 300 RMB. All the tax is included in the listed price. This makes the goods in China even cheaper compared to other places. For large goods, like house or business to business transactions, tax are calculated separately.