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Thursday, December 2, 2010

Everything Everywhere loses over £4 million after VAT case

everything everywhereEverything Everywhere is potentially £4 million out of pocket after losing a lengthy legal battle in the European Court of Justice today.

The case, which was originally brought by T-Mobile, involves the additional £3 charge made when customers don’t pay their bills directly from their bank account. T-Mobile said the additional charge was a payment handling charge and – as a financial service – shouldn’t be subject to VAT. However, the ECJ has now ruled it is simply an additional part of the mobile phone bill.

This all dates back to August 2005, when T-Mobile submitted a VAT claim for £4,063,228.08, saying this amount had been ‘overpaid’ for the period August 2003 until July 2005. However, the VAT Commissioners refused the claim, which led to the legal action.

Around 28% of the company’s customers don’t pay by BACS or direct debit.

The ECJ decision is likely to affect a large number of utility companies as well as other telecoms operators.

[Court judgement]

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Opinion Articles

World class, my a**e!

Iain Graham writes:

I recently had to, as a last resort, call the customer service department of a large communications company about a problem I currently have with a piece of equipment. I know I could have looked in the 150-page accompanying instruction manual but I haven't got half my life to spare! (as I mentioned in my previous blog piece on handsets!)

Businesses these days are telling us "Customer service has been outsourced to the Indian subcontinent and technologically streamlined in order to offer our customers a better, more efficient service"!

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Don’t be a not-so-early adopter

Mark Bridge writes:

So – you’re thinking about buying a new mobile phone. A smartphone. And yes, I mean a real smartphone, not just something with a touchscreen that looks nice.

I know, I know. You’re tempted by the iPhone. It’s all those apps, isn’t it?  100,000 and counting.

Yet Android is catching up. Admittedly it’s still got a long way to go to match that six-figure total… but the signs are certainly there.

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Probably the best Bluetooth headset brand in the world

Mark Bridge writes:

I really don’t want to make a habit of pointing at surveys and laughing – or even scratching my head in the kind of theatrical gesture used by Stan Laurel – but I should imagine there was some wry amusement at Strategy Analytics this week.

They’d been talking to car owners in Europe and the USA about their preferred brand for Bluetooth headsets and speakerphones. In the United States, 45% of respondents said Bose was their preferred brand. Excellent news for Bose. Excellent news for Bose stockists. Except...

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Movon MB80 Bluetooth handsfree wristband review

Mark Bridge writes:

I’m always on the lookout for technology that’ll make life easier. That’s one of the reasons the Movon MB80 caught my eye. It’s a Bluetooth handsfree unit that you wear on your wrist. The MB80 is designed for the times your phone’s not convenient and you don’t want to miss a call – but you also don’t want to wear a Bluetooth headset. Perhaps you’re playing sports or are out for an evening with friends. The Movon Bluetooth wristband rings or vibrates when someone calls – and then can be used as a handsfree loudspeaker.

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"Cancer" mobile phone headlines don't help anybody

James Rosewell writes:

"Mobile: new cancer alert" - The Daily Telegraph

The front page of Saturday's Telegraph led with the headline "Mobiles: new cancer alert" re-igniting fears about mobile phone usage. The centrepiece of the article is "a £20 million, decade long investigation, overseen by the World Health Organization (WHO) will publish evidence that heavy [mobile phone] users face a higher risk of developing brain tumors later in life". How should this topic be reported and what will it mean for our industry?

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