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Cessation Charge inc VAT
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Cessation Charge inc VAT
02-12-2008 10:27 PM
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After receiving an email today advising that due to change in VAT I will be paying lesson I followed the link to the portal page. This showed my new monthly amount but it also showed the Cessation charge of £20. On Following the link to the help page it says £20 (inc VAT). So has the Cessation charge gone up?
Message 1 of 7
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Re: Cessation Charge inc VAT
03-12-2008 9:09 AM
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Not sure about this one as I haven't had much involvement with the VAT stuff but I'll try and find out for you...
Bob Pullen
Plusnet Product Team
If I've been helpful then please give thanks ⤵
Message 2 of 7
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Re: Cessation Charge inc VAT
03-12-2008 9:14 AM
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Hi there,
Deferred charges (hardware, activation and cessation) are remaining at the same price (inc. VAT), however, the headline prices on our existing products have been reduced by more than 2.5%. So whilst the pre VAT costs of the deferred items have changed, the pre-VAT cost of broadband on Broadband Your Way has decreased.
Deferred charges (hardware, activation and cessation) are remaining at the same price (inc. VAT), however, the headline prices on our existing products have been reduced by more than 2.5%. So whilst the pre VAT costs of the deferred items have changed, the pre-VAT cost of broadband on Broadband Your Way has decreased.
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Re: Cessation Charge inc VAT
03-12-2008 5:56 PM
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OK, a question. How can a cessation charge be already deferred as it only applies when / if you decide to give up your broadband connection?
That also seems like a long winded way of saying the VAT included price remains the same so the nett charge as gone up!
That also seems like a long winded way of saying the VAT included price remains the same so the nett charge as gone up!
Message 4 of 7
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Re: Cessation Charge inc VAT
03-12-2008 6:01 PM
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you dont pay a deferred item unless you break the condition, and at that point the relevant vat will be due
Message 5 of 7
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Re: Cessation Charge inc VAT
04-12-2008 1:01 PM
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Quote from: Spider OK, a question. How can a cessation charge be already deferred as it only applies when / if you decide to give up your broadband connection?
That also seems like a long winded way of saying the VAT included price remains the same so the nett charge as gone up!
It's down as a deferred charge with no ending date as that was the easiest way for us to implement it. It does not mean that everyone is charged it when they leave Plusnet. Only when a line is ceased.
Yes, you're right. Net price on the cessation charge has gone up, however the net price on our existing products has gone down.
Message 6 of 7
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Re: Cessation Charge inc VAT
04-12-2008 5:41 PM
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Thanks for the clearer answer. That is another VAT question taken care of :).
Message 7 of 7
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