VAT reduction at congstar and other Telekom discounters
Image: congstar
In the past few days, the major network operators have determined to what extent they are passing on the planned reduction in VAT to customers from July 1.
In the meantime, the first mobile phone discounters are now also discussing how they intend to implement the VAT reduction and give concrete examples of understanding.
fraenk: App discounter is cheaper
VAT reduction at congstar and other Telekom discounters
Image: congstar
The discounter fraenk, which can only be booked via the app, says that new and existing customers will benefit directly from the reduction in VAT from 19 percent to 16 percent from July 1st. Instead of the previous 10 euros per month, the mobile phone tariff with 4 GB data volume in the LTE network and telephone and SMS flat rate will be charged at 9.75 euros per month via PayPal. 2 GB of additional data volume would cost 4.88 euros instead of 5 euros per booking for the duration of the VAT reduction.
fraenk customers would not have to be active themselves, the reduction would be carried out automatically by fraenk and billed via the PayPal account. Important to know: In the fraenk app and on the homepage, the discounter will not initially display the reduced gross prices. The lower gross prices should be shown on the PayPal payment confirmation and the invoice in the app.
congstar: Gross prices reduced 1: 1
Congstar also provides information on how the change will be implemented. From July 1, the gross prices for tariffs, options and devices are to be reduced for the duration of the VAT reduction. This applies equally to prepaid and postpaid tariffs. With the price reduction, the prices would be converted exactly according to the VAT reduction and rounded up to full cents.
However, there are congstar products that are also sold in specialist shops. The provider says: The price of congstar products that are sold through retailers is not adjusted on the packaging. The respective trading partner should pass on the VAT reduction at the checkout.
Postpaid customers should see the price reduction on the invoice, prepaid customers should see the price decrease when debiting from the prepaid credit account. According to congstar, the respective start credit and the top-up amounts for prepaid cards remain unchanged.
For the duration of the VAT reduction, the provider plans to transparently show the adjusted prices instead of the previous ones on the congstar homepage, in the customer center, during the ordering process and in the official price lists. Congstar has more information on a special VAT page. The prepaid paradox is also explained there, for example: No tax is yet included in the top-up credit for prepaid cards. Therefore, the amounts to top up remain the same. The reduction is then included in the prepaid services that the customer pays with the credit.
Penny Mobil and ja! Mobil with calculation examples
There was also an official announcement for new and existing customers of Penny Mobil and ja! Mobil: From July 1st, the price for the starter package will be EUR 9.70 instead of EUR 9.95. The prices of the Rewe Group’s mobile phone tariffs should also be converted in accordance with the VAT reduction and rounded up to full cents.
The respective starting credit and top-up amounts remain unchanged – as described above in the congstar section. The price on the packaging is also not adjusted in the Rewe and Penny stores. However, the markets promise to pass on the VAT reduction at the checkout to customers. The reduction should be implemented for basic prices of four weeks each, options that can be added and one-off prices.
Some tariffs are set by the providers themselves, others are set by the state. With the regulated tariffs, the BNetzA ensures the correct implementation of the VAT reduction.