UK Value Added Tax change, and your orders with Elkparts

In his Pre-Budget Report on 24 November 2008 the Chancellor announced that the standard rate of VAT will be reduced from 17.5% to 15% on 1 December 2008. This means that for any sales of standard-rated goods or services that take place on or after 1 December 2008 providers should charge VAT at the new rate of 15%.

Only standard-rated sales are affected. There are no changes to sales that are zero-rated or reduced-rated for VAT. Similarly, there are no changes to the VAT exemptions. The 15% rate will remain until 31st December 2009, and from 1 January 2010 it will revert to 17.5%.

So how does this affect your orders with Elkparts?

• Order status "Awaiting processing":
  All orders received after 16.30 GMT on Friday 28th November 2008 will be processed from the next working day, Monday 1st December 2008 at the new VAT rate of 15%.
• Order status "Awaiting despatch":
  Any items that have not yet been charged for and despatched will be charged at the new VAT rate of 15%.
• Order status "Despatched for delivery":
  These have been charged under the current rate of 17.5% and are already on their way to you.

Since 16.30 GMT on Friday 28th November, our secure online store has been displaying prices at the reduced VAT rate of 15% resulting is a price reduction on all standard rated items.

Please note, books are supplied at a VAT rate of 0% and pricing remains unchanged. These changes affect consumers within the European Union (with the Exception of Channel Islands and Svalbaerd) only. This announcement is not applicable to customers outside of the EU.

As always, any questions, please ask.