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What’s this all about ?

(8 Posts)
BlueBelle Mon 18-Jan-21 13:46:28

I ve never noticed this before but maybe it’s just me being unobservant
I bought a cheap pair of joggers off Matalan online, chose to pay postage as I don’t have a store in my town to collect from paid up and that was that
Got an email as confirmation and on the break down is the cost of the joggers, the cost of the postage, then £2.50 tax ?
What’s that all about I ve never seen that on internet purchases before Matalan is a U.K. company so what’s this tax for anyone know?

Maggiemaybe Mon 18-Jan-21 13:52:21

I think a lot of companies do that at checkout. It's handy information for people or organisations claiming back the VAT.

BlueBelle Mon 18-Jan-21 14:00:26

But isn’t that a bit false as it’s not shown in the price of the goods only after I had paid
I don’t mind
I ve bought a lots of things online over lockdown and never seen it before

Maggiemaybe Mon 18-Jan-21 14:07:33

It's not usually added on, BlueBelle. The figure should just be showing you how much VAT's included in the total price.

Fingers crossed that's the case here, anyway!

Doodledog Mon 18-Jan-21 14:17:37

I've often seen VAT listed on online receipts, and it's sobering to think how much we pay to the government every time we buy anything.

It isn't added on, it's just showing how the total cost of the item is made up. I don't know if it helps the company's accountants in some way - eg the figures in the VAT column being automatically transferred to a column somewhere else.

M0nica Mon 18-Jan-21 14:38:12

VAT is usually shown when the product is a trade product and many purchasers are trade buyers, who will exclude VAT when preparing their VAT statements.

Because DH buys a lot of materials that are trade materials, we get a lot of invoices, that quote a price and then add VAT.

If the clothes are being sent overseas, I think they are not liable to pay VAT. Matalan is a big company with a big online turnover.

BlueBelle Mon 18-Jan-21 15:44:04

It doesn’t say VAT just tax

EllanVannin Mon 18-Jan-21 15:55:00

A new Brexit thing ?