New European tariff

NFH

simax wrote: »

I'm sure OFCOM haven't got it wrong.

I'm sure Ofcom have got it wrong. I've spoken to them twice and they are in total confusion about it. They told me they are using the rate from the EU Official Journal on 13th June 2012, which is 0.80385, which doesn't correlate with the GBP prices they are advising.

simax wrote: »

In regards to Norway charges etc, I'm sure the VAT is excluded but the website is incorrect. I will chase this to clarify.

Thanks. Yes, Orange have always got it right with regard to non-application of VAT in the affected countries and territories in compliance with Article 19 of the Value Added Tax (Place of Supply of Services) Order 1992, but in the past they have cheekily added the equivalent of VAT as an additional profit for themselves, thereby breaching the price cap. The current published prices suggest they are doing this again, although it could be an error only in the published prices rather than in the billing system.

simax

Hi. Had it confirmed that the EEA areas should be ex VAT and the website is wrong.

Should be adjusted soon.

NFH

simax wrote: »

I'm sure OFCOM haven't got it wrong.

It seems you might be right that Ofcom haven't got it wrong, and it also seems that the European Commission might not understand their own legislation.

According to Article 1(7) of Regulation (EU) No 531/2012 of the European Parliament and of the Council of 13 June 2012:

Where maximum charges under Articles 8, 10 and 13 are denominated in currencies other than the euro, the initial limits pursuant to those Articles shall be determined in those currencies by applying the average of the reference exchange rates published on 1 March, 1 April and 1 May 2012 by the European Central Bank in the Official Journal of the European Union.

The relevant rates on 1st March, April and May were 0.84390, 0.83105 and 0.81295, so the average is indeed 0.82930. However, this contradicts Article 1(4) of the original legislation, on which the European Commission were basing their press release, which states:

The charge limits set out in this Regulation are expressed in Euro. Where charges governed by Articles 3 and 4 are denominated in other currencies, the initial limits pursuant to those Articles shall be determined in those currencies by applying the reference exchange rates prevailing on 30 June 2007, as published by the European Central Bank in the Official Journal of the European Union. For the purposes of the subsequent reductions in those limits provided for in Article 3(2) and Article 4(2), the revised values shall be determined by applying the reference exchange rates so published one month preceding the date from which the revised values apply.

The European Commission confirmed to me that the rates of 1st June 2012 apply, so despite the above supporting documentation, this isn't certain yet.

NFH

simax wrote: »

Hi. Had it confirmed that the EEA areas should be ex VAT and the website is wrong.

Should be adjusted soon.

It still hasn't been corrected a week later.