{"id":618,"date":"2009-07-20T01:06:07","date_gmt":"2009-07-20T00:06:07","guid":{"rendered":"http:\/\/t-machine.org\/?p=618"},"modified":"2009-07-20T01:06:07","modified_gmt":"2009-07-20T00:06:07","slug":"apple-vat-fraud-and-uk-customers","status":"publish","type":"post","link":"http:\/\/new.t-machine.org\/index.php\/2009\/07\/20\/apple-vat-fraud-and-uk-customers\/","title":{"rendered":"Apple: VAT, fraud, and UK customers&#8230;"},"content":{"rendered":"<p>Clearly stated on every single page on the Apple store (it&#8217;s the page footer):<\/p>\n<blockquote><p>\nPrices are inclusive of VAT (15%) but exclusive of delivery charges unless otherwise indicated.\n<\/p><\/blockquote>\n<p>In the Apple Store, Apple therefore appears to (maybe&#8230;actually does, considering they *clearly state* the above?) over-charge you for VAT. But there&#8217;s more to this (obviously &#8211; it would be horrifically stupid if that were all: defrauding via VAT makes governments very unhappy indeed).<br \/>\n<!--more--><br \/>\nWhen I looked into this in detail, it turns out that they are simply &#8230; lying &#8230; when it comes to the VAT charge. From their help pages on VAT:<\/p>\n<blockquote><p>\nWhy do I pay 21.5% VAT on Electronic Software Download orders and other products which are classified as services?<\/p>\n<p>The VAT rate for Apple customers who purchase Electronic Software Downloads or other Apple products which are classified as services under EU VAT law will be 21.5% Irish VAT. This is because the place of supply of these products under EU VAT law is Ireland as the country from where Apple Sales International makes these supplies.\n<\/p><\/blockquote>\n<p>(amusingly, that specific page (and only that page) has a custom page footer that adds a note specifically on the extra VAT that Apple charges you because of the low rate of corporate tax they&#8217;re paying for headquartering themselves in Ireland. Doesn&#8217;t mention the reason (lower taxes on their profits) &#8211; I added that bit myself :))<\/p>\n<p>Ah. Thanks, Apple. It would be nice if you actually mentioned that at POS, perhaps even included it in the order summary (like most internet companies do)? Sigh. Also, I wonder at the legality of declaring you&#8217;re charging VAT at once price, and then actually charging it at a different price? I don&#8217;t really care &#8211; the difference is only a few pounds in this case &#8211; but someone buying 10 copies of Adobe software might find it was a serious amount of money&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Clearly stated on every single page on the Apple store (it&#8217;s the page footer): Prices are inclusive of VAT (15%) but exclusive of delivery charges unless otherwise indicated. In the Apple Store, Apple therefore appears to (maybe&#8230;actually does, considering they *clearly state* the above?) over-charge you for VAT. But there&#8217;s more to this (obviously &#8211; [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23,51],"tags":[],"_links":{"self":[{"href":"http:\/\/new.t-machine.org\/index.php\/wp-json\/wp\/v2\/posts\/618"}],"collection":[{"href":"http:\/\/new.t-machine.org\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/new.t-machine.org\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/new.t-machine.org\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/new.t-machine.org\/index.php\/wp-json\/wp\/v2\/comments?post=618"}],"version-history":[{"count":0,"href":"http:\/\/new.t-machine.org\/index.php\/wp-json\/wp\/v2\/posts\/618\/revisions"}],"wp:attachment":[{"href":"http:\/\/new.t-machine.org\/index.php\/wp-json\/wp\/v2\/media?parent=618"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/new.t-machine.org\/index.php\/wp-json\/wp\/v2\/categories?post=618"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/new.t-machine.org\/index.php\/wp-json\/wp\/v2\/tags?post=618"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}