Caroline is right about the electronic 'part' of a sub attracting VAT.
By my calculations CUP seem to be charging VAT on about £93 or 35% of the
print and electronic price. The electronic-only price of £298.42 seems to
be £253.97 + VAT.
Two other points:
1 it has been my understanding that, for invoices originating outside
the EU (ie VAT area) for VAT-able services, institutions have to pay VAT by
the reverse charge mechanism. There now appears to be a complication (VAT
is such a simple matter) in the form of the AOL case; see
http://www.guardian.co.uk/Archive/Article/0,4273,4230942,00.html
<http://www.guardian.co.uk/Archive/Article/0,4273,4230942,00.html>
2 I recently received a (sterling) invoice for Navigator from
Swet'wells in Holland with Dutch VAT @19%. It is 'company policy' to bill
Navigator from there. Being unable to recoup VAT, I am paying an extra 1.5%
as a result.
D
*********************************************
David Ball
Associate Head of Academic Services
(University Librarian)
Bournemouth University
Fern Barrow
Poole, Dorset BH12 5BB
UK
Tel.: +44 (0)1202-595044
Fax.: +44 (0)1202-595475
*********************************************
-----Original Message-----
From: Caroline Moss-Gibbons
[SMTP:[log in to unmask]]
Sent: 17 September 2001 14:46
To: [log in to unmask]
Subject: Re: CUP's VAT on journals
Dear All,
My understanding of the VAT position is that whilst print is
zero-rated, any
electronic delivery of the content does indeed attract VAT. Thus a
'print +
electronic' subscription would only attract VAT on a percentage of
the total
price (the publisher would decide how much of it was 'electronic'
and how
much of the price was for 'print', eg a 20:80 split in favour of
print). An
'electronic only' sub would attract VAT on the entire sum, as none
of the
material would be zero-rated.
The rate of VAT will depend on the country in which the journal is
published. A UK publisher will have to impose 17.5% on the
electronic
element of a subscription, but a US publisher would not have to
charge any.
It is Customs & Excise who decide if something attracts VAT or not,
not the
publisher/supplier.
Perhaps the Association of Subscription Agents (ASA) or the
Publishers
Association (PA) could bring us all up to date on the present
situation, or
at least correct any misunderstanding in the above?
Best regards,
Caroline Moss-Gibbons
__________________________________________________
Caroline Moss-Gibbons
Manager - Library and Information Services
Royal College of Physicians
11 St Andrews Place
Regent's Park
London
NW1 4LE
email: [log in to unmask]
Tel: 020 7935 1174 x315
Fax: 020 7487 5218
http://www.rcplondon.ac.uk
Registered Charity Number 210508
This email and any files transmitted with it are confidential and
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If you receive this message in error, please notify
[log in to unmask]
_________________________________________
> -----Original Message-----
> From: Jonathan McAslan [SMTP:[log in to unmask]]
> Sent: 17 September 2001 12:37
> To: [log in to unmask]
> Subject: CUP's VAT on journals
>
> We have just recently discovered that Cambridge University Press
will be
> charging VAT on all their journals that have electronic access. A
rouge
> invoice came to us rather than our agents and on it it says: "As
advised
> last year, the electronic part of your subscription (where
available) now
> attracts VAT at the appropriate rate." I asked CUP when and how
> subscribers
> had been advised. Their response was that it was stated on last
year's
> invoices. However, like most institutions we use agents and thus
do not
> see
> publisher's invoices. It seems odd that a publisher which sends
out
> letters
> about new journals and services seems to have decided on a more
subtle
> route
> to inform us of this major change. Has anyone else been iformed,
formally,
> by CUP, through another route?
> As an example I asked CUP about the costs of Genetical Research:
> 2001 Print & Electronic = £240
> 2002 Print & Electronic = £268 PLUS VAT on electronic "part" =
£284.42
> 2002 Electronic Only = £298.42
> There is no "print only" option. That means a price increase (if
my maths
> is
> right) of about 18.5% for 2002.
>
> CUP do not seem to be alone on this as Portland Press are also
doing it.
> Does anyone know of any other publishers who are doing this (I've
checked
> with Taylor & Francis and they are not)?
>
> Many thanks
>
> Jonathan McAslan
> Serials Manager
> University of Aberdeen
> Tel: 01224 272029
> Fax: 01224 487048
> email: [log in to unmask]
