To revive the economy after / during the Corona crisis, the value added tax is to be reduced. Telekom, Vodafone and o2 are participating.
Graphics: Image licensed by Ingram Image, logos: provider, installation: teltarif.de
Regardless of how you personally feel about the current health crisis, the economy has suffered a “dent”. As a motivation to spend more money again and thus boost the economy, the value added tax is to be reduced from 19 to 16 or from 7 to 5 percent from July 1. This has not yet been decided, the German Bundestag is likely to do so on June 29. What is certain is that the cut will be temporary.
Telekom: “#There”
To revive the economy after / during the Corona crisis, the value added tax is to be reduced. Telekom, Vodafone and o2 are participating.
Graphics: Image licensed by Ingram Image, logos: provider, installation: teltarif.de
We received a message from Telekom. According to the company, the company “showed itself to be a reliable partner in the Corona crisis with numerous free offers”. Other network operators also had special offers with less reduced data transmission or free data packets during the crisis.
After the cabinet decision on the corona-related reduction in VAT from 19 to 16 percent, preparations are being made not only in Bonn, but also in Düsseldorf and Munich for a price adjustment of all offers by July 1.
Vodafone and Telefónica are also there
Not only Telekom, but also Vodafone and Telefónica (o2) will price their tariffs with the new VAT, as teltarif.de found out on request. Vodafone was one of the first to comment on this. Other providers are likely to join. This will temporarily make the monthly basic fees and tariff prices a bit “crooked” and cheaper.
High technical effort
Telekom announces that a high level of technical effort is required to pass on the full reduction in value added tax to customers. Similar things can be heard from other companies.
The trick is in the details: regardless of the reduction in VAT, the amount of the credit remains the same. At Telekom and certainly also from other providers, e.g. for a router credit in the amount of 80 euros, or with the TV online benefit in the amount of 120 euros etc., the same gross value continues, which means: With reduced VAT, the credit is – calculated purely net – even a tick higher than before.
Special case prepaid
With the prepaid tariffs, for example, only the one-time card price is reduced when a new card is purchased. The pre-loaded start credit for activation remains unchanged. Since the credit is intended for telecommunications services, these are actually tax-free, but the devil is in the details if you buy a ringtone or a hamburger via the credit (which some prepaid providers contractually exclude when starting credit).
That has strange effects. Telekom gave us an example: “Let’s take the MagentaMobil Prepaid L: From July 1, the SIM card will cost € 14.58 (including VAT), but still has a starting credit of € 15.” It will be similar with CallYa from Vodafone or “Prepaid” (formerly Loop) from o2 or the discount brands. This is because prepaid credits are sold without VAT. VAT only appears during the phone call, which is a complex tax law structure that only a few specialists trained in tax law should be able to understand.
No need to worry
This shouldn’t scare the customer. He will be informed about the reduction in VAT via the monthly bill and the usual advertising (insert on paper bill, notice in the Telekom shop) or posters, radio and television advertising. A contract change is not necessary and, due to the subsequent increase to the “old” value, no special right of termination.
Because: When this promotion is over on December 31, the VAT rises again to the old value. Just because.
Some tariffs are set by the providers themselves, others are set by the state. With the regulated tariffs, the BNetzA ensured the correct implementation of the VAT reduction.