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VAT - Did your ISP pass on the VAT cut?

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Hi everyone

Just wondering if your ISP past on the VAT cut to the price you pay?

I just realised that I am paying the same amount each month therefore my ISP did not pass on the VAT cut. They have kept the reduction for themselves amounting to a price increase!!!

I know the amount is not that much but it works out to be an extra £4.44/year for the ISP on the amount that I pay. Times that by the number of customers they have and it amounts to quite a sum I expect.

Mike
 
They don't have to pass the cut on....

You aren't really paying more for it either (the only people that pay 'plus VAT' rates are those who can claim it back). Besides, I'd rather that they take the "extra" money they are getting and invest it in their network, rather than keep cutting prices (also means that they would have to of changed the VAT rate back on 1st January).
 
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I did recieve it on my old ISP and I note that the price I pay for Sky remains the same, though I can't really complain as it was already quite low. However ISPs who serve the majority of people in the country do appear to have passed on the cut. I do note that some less reputable smaller ISPs did not pass the rate cut on, although many did.
 
My ISP passed on the tax cut and in January this will go back up personally I think the tax should have stayed down and MP's took a pay cut instead.
 
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O2 did too.
 
In response to the comment from 'MrJ' I disagree.

My supplier charges £19.99 per month. At 17.5% VAT that means they are charging £17.01 ex-VAT.

Therefore when VAT was reduced to 15% I should have been charged £19.56 inc VAT but I was still charged £19.99. They therefore INCREASED the charge from £17.01 to £17.38 ex-VAT.

I know the amount is not great but they DID profit from the VAT cut.

The supplier was Firefly.

I posted the original post.
 
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