What is happening?
On Monday 25th November 2008 the Chancellor announced a reduction in the VAT rate from 17.5% to 15%. This reduction will start on 1st December 2008 and be applied for the next 13 months.
What does that mean for you?
Our customers will benefit immediately from this change and all bills generated on or after the 1st December 2008 will reflect these VAT changes.
Do your prices show the new 15% VAT rate?
We are working hard to update our website as quickly as possible to reflect the 15% VAT charge. Until that time, please note that unless stated all product and services prices shown on our website are currently based on the 17.5% rate, but you will be charged at 15% from the 1st December 2008.
Will this policy cover all Tiscali's products and services?
Yes, and we will pass on the benefit of the reduction to all our customers from 1st December 2008.
Some of my services are billed in arrears will I pay 17.5% or 15%?
If your bill has been generated on or after 1st December 2008, all products and services shown on the bill will be charged at 15%. This includes services such as calls and on demand products which you used in November 2008, but are billed for in December 2008.
What VAT will I be charged for products and services that are paid for in advance?
If you have received a bill that was generated before the 1st December 2008 for products and services that will be supplied in December, the VAT charge will be 17.5%. If you have received a bill that was generated on or after the 1st December 2008 you will be charged 15%.
Should I pay a bill that I've already received?
Please pay all bills you receive in full.
Can I work out the new amount and reduce my payment to you?
The calculation of VAT is very complex and you will not arrive at the correct price by reducing your overall bill by 2.5%. Therefore it is important to pay your bill in full to ensure continued access to your Tiscali services.
Will business customers pay the new VAT rate?
Most business customers will not be significantly affected by the rate change as they can reclaim their VAT charges. However, there are businesses (not registered for VAT and charities) that will benefit from the rate reduction. We will make sure that there's an easy process for these types of business to benefit from the VAT reduction.