Could someone explain this to me please?!

[funkydan]

I returned a pair of jeans to M&S today. They were originally bought for £12.00 on 27 December 2008. I was told I could have a refund as a credit voucher as I did not have my wife's bank card with me (she had bought them), and I was perfectly happy with this.

The lady at customer service scanned the item's barcode and said they were £12, but then proceeded to give me a refund for £11.75! When I questioned what had become of the 25p, she said and I quote: "it's VAT". It only occured to me to question this once I returned to work as I hadn't realised what had happened straight away.

Now these jeans were purchased AFTER the VAT reduction, but it appears that I have been charged 25p for that - this cannot be right? I know it's only a small amount, but M&S stand to make a lot of money if this continues and I don't see why this is happening at all?!

Can anyone explain simply to me why this should have happened?

Cheers

[AllYourBase]

You buy jeans for £12? lolz

[funkydan]

Nah wifey did, in the sale. Thanks for all your help though!

[kernow]

I'm wearing M+S jeans right now, very comfortable I might add.

..

good luck with your quest noble soldier.

[Darwock]

Doesn't sound right to me, you can't be charged VAT on something you effectively haven't bought

[AllYourBase]

Nah wifey did, in the sale. Thanks for all your help though!

Heh heh sorry for a moment I thought I was on rllmuk! :cool:

I would just tell them to GTF, it doesn't make any sense at all does it? It's probably something to do with when their tills were updated.

Still who is going to kick up a fuss over just 25p. M&S win!

Give Watchdog a ring, they would love this story.

[nintastic]

I'm wearing M+S jeans right now, very comfortable I might add.


What ? The £12 women's ones ?! :D

[NemesiS]

They have to refund you the full amount you paid and M&S are usually one of the best for refunding. But because it was paid on a card and the refund wasn't going to the card as your wife wasn't with you, the VAT may have been deducted as part of the charge made in the first place. Sounds odd though.
Have a google and see what you turn up

[Nijo]

The original price was £12. When the VAT got changed from 17.5 to 15% they initially didn't bother changing the prices on items - that's when your wife bought them. Later they must have adjusted the prices: £11.75 is the correct price after the VAT reduction.

They're just being lazy and using the current till price. If you have the original receipt you should be able to get back what you paid for it - only if you have no receipt would they insist on the current price (since you could have bought it that morning).

That's my take.

[BeyondJumpFish]

This doesn't make sense to me. When you bought the jeans (it doesn't matter who or how) you will have payed VAT on them anyway, even at the lower rate. When you ask for a refund, you get refunded the full amount (VAT and all). Basicly they have carged you VAT twice by the sound of it??

[funkydan]

Cheers Kernow!

That's what I thought Darwock

AYB - is sarcasm rife on rllmuk then? Sorry, don't visit that place. I've emailed them to see what they have to say. And you are right, who's gonna complain about 25p (apart from me obviously) but if M&S get 2.5p out of every pound refunded, that's gonna add up pretty damn quickly!

Nemesis - you don't pay an additional charge for paying by card, the consumer doesn't anyway.

Nijo - the cost WAS £12 on the receipt and the item was bought AFTER the change to 15% VAT.

BeyondJumpFish - my thoughts exactly!

[Nijo]

Nijo - the cost WAS £12 on the receipt and the item was bought AFTER the change to 15% VAT.


Like I said, they hadn't bothered to remark all the prices when your wife bought them. Go and check now - I bet they're out at £11.75.

Edit: Though the website still has them at £12. :blink:

[peeveen]

You were robbed. My jeans were £6 out of ASDA.

[funkydan]

Like I said, they hadn't bothered to remark all the prices when your wife bought them. Go and check now - I bet they're out at £11.75.

Edit: Though the website still has them at £12. :blink:

Ummm, she bought them after the VAT reduction and was charged £12 - it was on the receipt! :confused:

Anyway, if you have a receipt, they HAVE to refund you the price that you paid otherwise they are basically stealing!


You were robbed. My jeans were £6 out of ASDA.

You buy jeans for £6? lolz


;)

[Dirty Sanchez]

Retailers did not have to pass the rate change onto customers, you are assuming M&S had done this immediately.

Old price was £12, base £10.21 VAT £1.79
New price was £12, base £10.43 VAT £1.56 ie they adjusted the base price instead of relabelling the stock

Current price is £11.75, base £10.21 VAT £1.53

This is similar to you buying an item before Xmas for £10 and getting a £5 refund in the sales. The refund will be the current price, not the price paid.

[funkydan]

Retailers did not have to pass the rate change onto customers, you are assuming M&S had done this immediately.

Old price was £12, base £10.21 VAT £1.79
New price was £12, base £10.43 VAT £1.56 ie they adjusted the base price instead of relabelling the stock

Current price is £11.75, base £10.21 VAT £1.53

This is similar to you buying an item before Xmas for £10 and getting a £5 refund in the sales. The refund will be the current price, not the price paid.

I assume nothing. No, they did not have to pass on the VAT reduction but M&S did and are - it states just that on the original receipt: "VAT has been reduced from 17.5% to 15%. This saving has been passed on to you"

And as for your second point regarding refunds - if you have your receipt, you are entitled to a full refund for the original amount you paid, providing that the shop in question does refunds. If you do not have the receipt, you will then receive the current price and not the price you paid originally. Trust me, I worked for M&S for 8 years and something has gone wrong. If you buy something before Xmas for £10 and return it after Xmas, you should get £10. There is no reason why you should receive anything less than what you paid if you have your receipt!

[kernow]

You could go to the customer service desk and ask about why they are offering you a refund thats 25p less.

or try another till :D