It probably just depends on your location if Steam adds sales tax to your purchase. Steam has always added additional sales tax at checkout for me in addition to the game price. Different regions charge different tax so to base the game price on the tax is ridiculous.
I don't know why you're arguing from a place of complete ignorance. Read the section on rules, number 4 and then please tell me the magic spell I can cast to make the world you want a reality.
Since you asked me, I don't see the issue with the rule. Steam does not want you to charge a higher price than what is offered on other sites. You specifically stated that itch will add tax/vac to the price, but Steam will not. So if you make the prices $4.99 on both sites than itch may be a higher price, which is exactly what Steam wants. Steam gets the lower price. No magic spell needed.