skype credit

[shyjane]

Why is it that every time Skype credit renews itself I pay 11.50 instead of 10.00? I'm sure I never used to pay a charge on top before.

[dickythecook]

15% Vat

[sunny-dave]

But Vat is 20%... ??

[shyjane]

Really! I thought VAT was 20% or is that just their chosen rate? When did that start then!

[glasman]

I'm sure I've been paying that for many years

[sunny-dave]

Could it be your bank making the charge - perhaps they count skype credit as a cash withdrawal on your card ?

[dickythecook]

Don't know the reason for sure, but it might be like the lower rate of vat on domestic gas and lecky,

[glasman]

No, Skype makes the charge.

[shyjane]

I'm with HSBC and it goes out of my current account, ie what used to be Switch now my debit card.

[shyjane]

If it is Skype, then they must be raking it in! If I top up with 20.00 would be interesting to see what they take then ie. a percentage or VAT.

[glasman]

Why am I charged a VAT rate of 15%?






Get Skype Credit

Buy Credit

With Skype Credit you can call mobiles and landlines as well as send SMS text messages worldwide at low rates.


VAT (value added tax) is applicable to residents of the EU who don’t have a VAT registration number, and is calculated at the Luxembourg VAT rate of 15%. If you live outside the EU, you will not be charged the VAT

[dickythecook]

It is vat calculated at the rate set in Luxembourg

[Cruciformist]

Skype is now owned by Microsoft. Need one say more?

[sunny-dave]

Well you learn something new every day - ta dicky & glasman.

[dickythecook]

shyjane, you can turn off auto re-charge in Your ount page, or follow the link on your confirmation e-mail from Skype

[shyjane]

So Dicky, if I turn off auto re charge, if I just add 10.00 to my account without that happening, does that mean then that I won't be charged VAT on top?

[hc4361]

You'll be charged VAT whichever way you pay. I've been paying £11.50 for years.

[dickythecook]

No sorry sj, I meant that you will know how much is going out of your account and when if you do it manually. The vat charge is just what it says, it is a tax. You have to cancel the auto re-charge every time you buy credit.

[shyjane]

Oh well, I may aswell keep the auto recharge then, but what a rip off. I've had problems with my landline recently and had to resort to Skype a lot and the auto recharge option has been used a few times very quickly. Thanks for all your answers!

[hc4361]

It's not a rip off at all. If you were to pay VAT at UK rate you'd be paying £12.