/ VAT & Digital

This topic has been archived, and won't accept reply postings.
Indy - on 21 Jan 2013
Have been quite impressed with a new magazine 'Cyclist' and briefly thought about subscribing. Unfortunately the last thing we need at home is more clutter.

A work colleague suggested a digital subscription with 'Zinio' on my Google tablet. At 47.99 for the year its not cheap but this morning I decided to go for it.

Imagine my surprise when I get the E-mail confirmation showing my credit card was actually charged 57.60.

It appears that Zinio doesn't show VAT despite it being a UK magazine being sold to a UK address with a UK credit card. Is it legal under those circumstances to NOT show a VAT inclusive price?

It might only be 10 quid but it feels underhand.
Anyone have any thoughts?

Philip on 21 Jan 2013
Perhaps you missed it when you were buying it.

I bought a folding table for ~50 from a store through amazon. I didn't spot the VAT on the item page, and I had a 10 voucher in my account, so I didn't spot it on the checkout when the total was still ~50.
Philip on 21 Jan 2013
In reply to Indy:

Also, if you just google Zinio, and then search for Cyclist, this is what comes up. That has VAT showing.

http://gb.zinio.com/search/index.jsp?pageRequested=1&showTitles=limit&newsstandSearch=true&a...
owlart - on 21 Jan 2013
In reply to Indy: I was under the impression that if your market is a majority private individuals (rather than business) then you are required to at keast equal prominence to the inclusive VAT price.
winhill - on 21 Jan 2013
In reply to Indy:

My understanding was that unless you make it plain that the item doesn't include VAT, then a consumer will automatically assume it does, so you can't add VAT on later.

I guess you might need a screen shot to prove your case, though.
Indy - on 21 Jan 2013
In reply to Philip:
Just been back through it and on the payment page it say 47.99 then in small print underneath it say "subject to taxes (VAT)"
Zinio only show the actual price charged in the email confirmation.

Seems like a shop advertising a pair of jeans at 50. Then shows 50 at the till and on the credit card machine but reciept prints out at 60 hmmmmmmm
Indy - on 21 Jan 2013
In reply to Philip: strange that wonder why the app is a different? Amazon shows VAT inclusive prices on kindle books.
Indy - on 21 Jan 2013
In reply to owlart: exactly my point.
Philip on 21 Jan 2013
I realised you meant through the app purchase. In America (I think) they advertise excluding their equivalent of VAT because it depends on shipping (or maybe billing) location.

You'd probably have no trouble cancelling, the distance selling regulations also apply. However, if you actually want the subscription then I suppose you're stuck with it.

I think you would feel more aggrieved if you'd bought it from them, thinking they were cheaper than somewhere elsewhere that had included VAT in their price.
EeeByGum - on 21 Jan 2013
In reply to Indy: I think it is a bit vague and depends on the industry. For example, I am yet to encounter a garage or car related business that quotes prices inclusive of VAT. Same does with tradesmen. I am not aware of a law that states you should quote prices one way or another, but agree that to the consumer it feels underhanded.
Indy - on 21 Jan 2013
In reply to Philip:
> I think you would feel more aggrieved if you'd bought it >from them, thinking they were cheaper than somewhere >elsewhere that had included VAT in their price.
Now that's the thing..... Google Play are showing a price of 49.99 but doesn't say anything about VAT. The individual magazines DO include VAT but they are about 20 pence more expensive than Zinio per issue price.

Normally a magazine sub has a good discount over the newsagents price but my Zinio sub saves only 15p per issue. That's fine to a point as I don't want paper but wonder out of interest what the print sub price is.

This all seemed such a good idea this morning!
Philip on 21 Jan 2013
In reply to Indy:

Digital subscriptions are too expensive. Look at Kindle books - 90% of the price but without the distribution, printing, etc
mountain_stephen - on 21 Jan 2013
You probably want to read around page 17 of this file:
http://www.bis.gov.uk/files/file8127.pdf

ads.ukclimbing.com
mountain_stephen - on 21 Jan 2013
As a legalistic aside, prices that aren't stated to be inclusive or exclusive of VAT are assumed to be inclusive of VAT. (see VATA 1994 s19(3):
http://www.legislation.gov.uk/ukpga/1994/23/section/19 ). The VAT liability is a liability of the supplier, so, for example, if they mistakenly didn't charge you VAT then they take the hit not you.

However, in this particular case my previous post is more relevant. Hope this helps.

This topic has been archived, and won't accept reply postings.