IDNetters Forums

Technical News & Discussion => IDNet Help => Topic started by: Ted on Dec 20, 2008, 13:56:00

Title: VAT changes
Post by: Ted on Dec 20, 2008, 13:56:00
Just about to pay this month and thought about the VAT changes. The IDnet website is showing the reduced tariff of £24.46 but my customer account is showing £24.99 as normal, maybe because it was invoiced last month.
So, am i right in thinking i should pay the lower charge?
Not a big deal, i just want to get it right.
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 14:15:15
You pay the higher rate due to the tax point, Ted. Next month's bill will be reduced.
Title: Re: VAT changes
Post by: Ted on Dec 20, 2008, 14:30:24
Thanks Rik
i'll just have to keep on dreaming about saving £0.53p next month. (sigh)
Title: Re: VAT changes
Post by: Sebby on Dec 20, 2008, 14:43:38
:lol:
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 14:44:19
Mine was only about 30p, I can't even buy a Mars bar with that. ;D
Title: Re: VAT changes
Post by: Sebby on Dec 20, 2008, 14:45:06
You could get a couple of Fudge bars. ;D
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 14:50:38
I'll take your word for that, Seb, I have no idea on shop prices - my food is all delivered. ;)
Title: Re: VAT changes
Post by: Sebby on Dec 20, 2008, 14:52:51
I think they're 15p, although what with inflation and all that... ;)
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 14:53:22
My waistline could do with some deflation. :)
Title: Re: VAT changes
Post by: Ted on Dec 20, 2008, 14:54:36
You can mock but that adds up to a whopping £6.36p for a whole year. Thats a weeks internet for free!

signed
Scrooge
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 14:56:21
Yippee! Let's have a party on the strength of that, Ted. ;D
Title: Re: VAT changes
Post by: Ted on Dec 20, 2008, 14:59:54
Fantastic idea. Everybody over to Rik's place, see you there :thumb:
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 15:02:57
I'm nice and central - or, as Sue refers to it, fat. ;D
Title: Re: VAT changes
Post by: Ted on Dec 20, 2008, 15:05:42
 :lol:
Title: Re: VAT changes
Post by: David on Dec 20, 2008, 15:28:37
Just checked my invoice and its gone down,this would allow for my new head phones  ;D
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 15:29:46
Not if you'd gone to Bose. :)
Title: Re: VAT changes
Post by: David on Dec 20, 2008, 15:32:00
I have  ;)


http://www.bose.co.uk/GB/en/home-entertainment/personal-audio/headphones/acoustic-noise-cancelling-headphones/index.jsp
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 15:34:02
QC3 or QC2. I have the 3s, they are brilliant.  :thumb:
Title: Re: VAT changes
Post by: David on Dec 20, 2008, 15:35:21
I will let you know  :thumb:
Title: Re: VAT changes
Post by: Sebby on Dec 20, 2008, 15:40:31
Quote from: Rik on Dec 20, 2008, 14:53:22
My waistline could do with some deflation. :)

That's on the way, apparently. :P
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 15:41:34
I know. January is going to be tough.  ;D
Title: Re: VAT changes
Post by: Sebby on Dec 20, 2008, 15:42:23
I'm not sure if we're talking about the economy on your food intake now. ;D
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 15:43:08
Both.  :'(
Title: Re: VAT changes
Post by: Sebby on Dec 20, 2008, 15:44:19
:pat:
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 15:45:12
 ;D

There's still the fillet log for January though...
Title: Re: VAT changes
Post by: David on Dec 20, 2008, 15:47:37
Then the  chicken teak a  :whistle:
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 15:49:53
 :argh: :hehe:
Title: Re: VAT changes
Post by: Sebby on Dec 20, 2008, 15:51:32
:grn:
Title: Re: VAT changes
Post by: David on Dec 20, 2008, 15:52:36
 :ithank: ;D
Title: Re: VAT changes
Post by: g7pkf on Dec 20, 2008, 17:20:24
Quote from: badpianoplayer on Dec 20, 2008, 15:32:00
I have  ;)


http://www.bose.co.uk/GB/en/home-entertainment/personal-audio/headphones/acoustic-noise-cancelling-headphones/index.jsp

More money than sense....


























Sorry thats what the wife said when i showed her the surrond sound system i wanted.  £3.5K

got told order it and you will be listening to it on your own, to which i pointed out i normally do as she hates surround sound and i always put it on when shes gone to bed (mainly to watch stargate). The look said it all!!!
Title: Re: VAT changes
Post by: Rik on Dec 20, 2008, 17:26:05
 :rofl:

Where are you sleeping tonight, Dean? ;D
Title: Re: VAT changes
Post by: David on Dec 20, 2008, 17:35:17
Move over Den  ;D ;D
Title: Re: VAT changes
Post by: Ted on Dec 22, 2008, 22:11:37
Today i received an amended invoice from IDnet, reflecting the change in VAT.

So, the drinks are on me ;D

Please form an orderly queue at the bar, any pushing and shoving and you'll be asked to get to the back. :cheers2:
Title: Re: VAT changes
Post by: Lance on Dec 22, 2008, 22:51:19
i'll have a pint please!
Title: Re: VAT changes
Post by: Ted on Dec 22, 2008, 23:04:23
Quote from: Lance on Dec 22, 2008, 22:51:19
i'll have a pint please!

On its way, by courier Pig  :pig: be with you soon :thumb:

Cheers
Title: Re: VAT changes
Post by: Rik on Dec 23, 2008, 08:56:44
Quote from: Lance on Dec 22, 2008, 22:51:19
i'll have a pint please!

That would be about a year of subs, wouldn't it?
Title: Re: VAT changes
Post by: Sebby on Dec 23, 2008, 17:21:07
It would. :)
Title: Re: VAT changes
Post by: Ted on Dec 23, 2008, 21:10:27
Offers over now, have a random beer related VIDEO (http://uk.youtube.com/watch?v=Ns5cYRXrL1Y) anyway  ;D
Title: Re: VAT changes
Post by: Ann on Dec 23, 2008, 21:43:35
I paid IDnet a year in advance, so I appear to have missed out on the VAT decrease.  That's a bummer.
Title: Re: VAT changes
Post by: Ted on Dec 23, 2008, 21:46:16
Quote from: Ann on Dec 23, 2008, 21:43:35
I paid IDnet a year in advance, so I appear to have missed out on the VAT decrease.  That's a bummer.


Give them a call Ann, I'm sure you'll be entitled to some sort of refund.
Title: Re: VAT changes
Post by: Simon on Dec 23, 2008, 22:02:43
Quote from: Ted on Dec 23, 2008, 21:46:16
Give them a call Ann, I'm sure you'll be entitled to some sort of refund.

I'm not so sure of that.  Doesn't it go by the date of the invoice?  If IDNet have collected the full payment, and also the VAT at the 17.5% rate, they would have to pass that on to the Vatman at the rate they charged it, wouldn't they?
Title: Re: VAT changes
Post by: Sebby on Dec 23, 2008, 22:04:21
It's a strange one - I'm not sure exactly what would happen. Indeed they would have already paid over the 17.5% collected...
Title: Re: VAT changes
Post by: Simon on Dec 23, 2008, 22:26:51
I would have thought it the same as buying a product, in that if you bought something in November, you couldn't them claim a VAT rebate in December.

However, I'm only guessing, so it may still be worth a call to IDNet after the holiday.
Title: Re: VAT changes
Post by: Ted on Dec 23, 2008, 22:45:28
I'd give them a call, it would seem a little harsh to lose out just because you were a good customer :shake:
Title: Re: VAT changes
Post by: Lance on Dec 23, 2008, 22:55:48
There is something to do with the timing of the supply of the service, but i think the tax point of the invoice is the main point.
Title: Re: VAT changes
Post by: Ann on Dec 23, 2008, 22:58:05
I don't think I'll complain to them about a few pence.. seems a bit petty.
Title: Re: VAT changes
Post by: Sebby on Dec 23, 2008, 23:00:08
Quote from: Ann on Dec 23, 2008, 22:58:05
I don't think I'll complain to them about a few pence.. seems a bit petty.

You mentioned it. :P
Title: Re: VAT changes
Post by: Ann on Dec 23, 2008, 23:19:51
So what?  Mentioning it here is different from complaining officially. 
Title: Re: VAT changes
Post by: Simon on Dec 23, 2008, 23:23:26
It's an interesting point though, as it could apply to other things one has paid up front for, such as concert tickets, holidays, etc.
Title: Re: VAT changes
Post by: Ted on Dec 23, 2008, 23:38:13
If this is correct, it would seem as if its up to the supplier what they do, i'm not sure ???

"For goods and services received or delivered after 1 December but paid or invoiced for using the old 17.5% rate before 1 December 2008, a company can either leave the VAT charged to the customer at 17.5% and account for that to HM Revenue & Customers (HMRC) or account for it at the new rate of 15% on the amounts already received or invoiced. Companies should issue a credit note and refund the difference to customers if they have already issued a VAT invoice showing the old rate of VAT. If they haven't issued a VAT invoice, the business can account to HMRC for the 15% and would normally be expected to refund the difference to the customer, assuming the VAT has been passed on."

you can never find an accountant when you want one.  ;)
Title: Re: VAT changes
Post by: Inactive on Dec 24, 2008, 00:07:06
Quote from: Ted on Dec 23, 2008, 23:38:13


you can never find an accountant when you want one.  ;)

:rofl: :melike: ;D
Title: Re: VAT changes
Post by: Rik on Dec 24, 2008, 09:11:03
My own instinct is that, despite your quote, Ted, the tax point on the invoice will determine VAT rate, but we need Sebby or Lance to be definitive. ;) OTOH, calling IDNet after Christmas would be the quickest way.
Title: Re: VAT changes
Post by: Ted on Dec 24, 2008, 10:14:10
You're probably right Rik, like i say i'm no accountant. TBH i don't see it as an issue with IDnet as it really is only pennies, although as Simon mentioned earlier it would be interesting to know what will happen for people that have made substantial purchases of goods and services, that they have paid for but won't receive until after 1st December.

I know what my common sense tells me should happen but, that's not always a term you can use in conjunction with certain government agencies.  :whistle:

Title: Re: VAT changes
Post by: davej99 on Dec 24, 2008, 12:31:50
The rules seem clear to me but I am not an expert.

Goods and services received after Dec 1st attract vat at 15%. Therefore, if advance payment has been made, including vat at 17.5%, the supplying company is empowered, but not required, by legislation to credit the customer with the difference in vat relating to the portion of goods and services supplied after Dec 1st.

When the refund is issued, the difference in vat charged is deducted from the current sum due to HMRC and there is no penalty to the supplier.  For supply to a vat registered business it makes no difference to them as well. For supply to a non-vat registered person or business it makes about 2% of a difference. There is no penalty to the supplying company, either way, other than time and effort, however, it is down to them.

It seems common sense to refund on request, customers who have paid in advance on a monthly contract, and are non-vat registered. Those customers have the option to cancel and get a full refund anyway. There is no point in refunding all customers automatically because this creates pointless vat accounting for the company and for vat-registered customers.

Therefore HMRC appear to be doing the "common sense" thing and it is all down to the supplying company and good customer relations.
Title: Re: VAT changes
Post by: Rik on Dec 24, 2008, 12:34:12
And more pain for the traders. :(
Title: Re: VAT changes
Post by: Ann on Dec 24, 2008, 12:56:20
I may email them after Chrimbo to ask about it.  Just because you've all got me interested to know now.
Title: Re: VAT changes
Post by: Simon_idnet on Dec 24, 2008, 17:45:14
Don't forget that, though the VAT rate change may have cost you a few pence more this year, by the same token you will gain next year.
S


Title: Re: VAT changes
Post by: Rik on Dec 24, 2008, 17:45:43
Happy Christmas, Simon. :)
Title: Re: VAT changes
Post by: Simon_idnet on Dec 24, 2008, 17:47:34
Cheers, and you!
S