COVID-19 surcharge: Why you're seeing extra fees on your bill

You may be charged COVID-19 fees in some businesses.
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The next time you go out to eat or get a haircut, take a close look at your receipt. If the cost of your meal or service seems higher than you remember, there may be a reason for it. As retail stores, salons and restaurants have reopened in many states across the country, one attempt to recover from the financial losses of coronavirus closures may include adding an extra charge to your bill. It's being called the coronavirus or COVID-19 tax.

Why charge more? Operating costs might be higher, like for businesses that require personal protective equipment such as face masks, and provide customers with PPE so they can enter. The cost of regularly sanitizing surfaces that are touched often might also go up, which businesses may pass along to you in the services and products they offer. 
The extra charge might also conceivably be used as a form of hazard pay to entice employees who are worried about prolonged exposure at their jobs, or a way for business owners to recoup some of the costs of closure for months on end, as they deal with reduced capacity in the name of safety or local laws.

Here's what you need to know about COVID-19 surcharges at salons, restaurants and other businesses.

What is a COVID-19 surcharge and why am I seeing it on my bill?
Due to new protocols put in place for businesses to reopen, they're now facing extra costs they normally wouldn't have encountered before the coronavirus, like stocking cleaning supplies that are in short supply and high demand, and the need to pay rent based on far fewer customers than before. 

To make up for the additional costs or financial pressure, some businesses are adding surcharges to customer bills and raising the prices on certain products.

Extra costs may include personal protective equipment like face masks and gloves for employees, products for sanitizing surfaces throughout the day and making up for the loss of customer traffic due to reopening guidelines that dictate lower capacity. 

The surcharge can help businesses pay for PPE.
Angela Lang/CNET

How do I find out if there's a 'coronavirus tax'?
Are you going to be paying more for your food or service than usual? And what should you do to find out, if you're also on a tighter budget as a result of the coronavirus? We recommend that you call ahead and ask the businesses you're planning to visit if they charge an extra fee to cover any COVID-19 charges. 

You can also ask for an itemized bill to see what the charges include, such as face masks for customers and sanitation supplies. After all, if the salon or restaurant you're going to is charging you a fee, it's important that it be transparent about what you're paying for.

Where you could be charged extra money during coronavirus reopenings
Salons: Many salons have added extra charges to customers' bills to help expense sanitary precautions. Some salons have added a sanitation station so that customers can wash their hands before being seated. One salon in Kentucky is selling disposable face masks to those who don't have one, for $5.

Restaurants: Over the past couple of months, the food supply chain has been disrupted due to large meatpacking plants temporarily closing down due to the coronavirus outbreaks, making it harder to find beef, chicken and pork. With that, we've seen an increase in prices among meat selections at the grocery stores, and they're not the only ones affected. Restaurants are also seeing price increases from their suppliers, food website Delish reported. 

Retail stores: You've likely seen the prices at the grocery store increase on in-demand products, like meat. That's due to the same issue that restaurants face -- higher meat prices from suppliers because of the backlog at meat processing facilities.

So far, we haven't seen any reports of clothing retailers charging a COVID-19 fee.

Dentist offices: Knowing that coronavirus is spread through respiratory droplets, dentists are in one of the highest-risk groups of professionals. While dentists have always worn PPE, some are now switching to N95 masks for better protection, which are more costly than the average face mask.

Business Insider reports that some dentist offices are adding a copay to help cover the cost of PPE, but the American Dental Association is urging third-party companies to cover the cost.

Can I avoid paying the fees?
Depending on what the fee is for, you may be able to avoid paying it. For example, if salons are providing face masks but charging customers for the convenience, you can bring your own to avoid the fee. However, in some cases, the fee cannot be avoided -- for example, when meat suppliers raise their prices, restaurants also have to raise the prices in order to keep their doors open.

It's uncertain how long companies will be adding fees to bills to cover additional costs, and how widespread the practice may become. For more information, here's when a second wave of coronavirus could come and how long it could last. And if you're having trouble paying rent, here's what to do.

Source: cnet.com
Collected by My Nguyen