Hetzner to charge VAT 15%

cavedog

cavedog

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Sigh just got an email saying they will start charging 15% VAT to comply with local regulations. If you refuse the server will be cancelled....

Now my ~R470 pretty decent server is going to cost more than R500 a month.....
1 x Dedicated Root Server SB33
* Intel Core i7-3770
* 2x HDD SATA 3,0 TB Enterprise
* 4x RAM 8192 MB DDR3


Dear Mr

The South African Revenue Service requires us at Hetzner Online to apply
the VAT rate of 15 percent.

This will affect all South African clients, regardless whether they
are private or business clients.

Therefore we will begin charging you the 15 percent VAT starting on
1 January 2021. It will apply to all Hetzner products and services.

Please write to us at [email protected] if you have any questions,
and we will be happy to help.

Kind regards

Hetzner Online GmbH
Industriestr. 25
Click to expand...
 
Papa Smurf said:
But they charge VAT and pay VAT and get VAT back
Doesnt make sense to me, then again Im an alcoholic and not a businessman
Click to expand...

They don't charge VAT for ZA customers so now we will be paying it.

So not sure we going to pay 15% on the Euro amount or how does this work. Aren't they supposed to charge us in ZAR now?
 
cavedog said:
They don't charge VAT for ZA customers so now we will be paying it.

So not sure we going to pay 15% on the Euro amount or how does this work. Aren't they supposed to charge us in ZAR now?
Click to expand...
Correct
I mean that sounds like the way it should work
Netflix doesn't charge me VAT
 
cavedog said:
Sigh just got an email saying they will start charging 15% VAT to comply with local regulations. If you refuse the server will be cancelled....

Now my ~R470 pretty decent server is going to cost more than R500 a month.....
1 x Dedicated Root Server SB33
* Intel Core i7-3770
* 2x HDD SATA 3,0 TB Enterprise
* 4x RAM 8192 MB DDR3
Click to expand...
Got the same mail, but doesn't bother me.
 
Papa Smurf said:
Correct
I mean that sounds like the way it should work
Netflix doesn't charge me VAT
Click to expand...
You should check your bill ;) Netflix has always charged VAT.

Netflix

Watch Netflix movies & TV shows online or stream right to your smart TV, game console, PC, Mac, mobile, tablet and more.
www.netflix.com www.netflix.com
 
Papa Smurf said:
Netflix doesn't charge me VAT
Click to expand...
Happened to me. Turns out my location was still on USA. Cancelled and changed location. Now getting charged vat but paying less than what I was paying in USD

cavedog said:
They don't charge VAT for ZA customers so now we will be paying it.

So not sure we going to pay 15% on the Euro amount or how does this work. Aren't they supposed to charge us in ZAR now?
Click to expand...
Adobe charges me VAT on the USD amount.
 
acidrain said:
Happened to me. Turns out my location was still on USA. Cancelled and changed location. Now getting charged vat but paying less than what I was paying in USD


Adobe charges me VAT on the USD amount.
Click to expand...
Same went from R250 odd a month for the Ultra HD plan (USD converted) to R169.99 a month in ZAR (with VAT). Fine with that.
 
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Surprised they haven't charged VAT until this point. Just about every online service I use charges VAT (Steam, Netflix, AWS, Youtube).
 
cavedog said:
Sigh just got an email saying they will start charging 15% VAT to comply with local regulations. If you refuse the server will be cancelled....

Now my ~R470 pretty decent server is going to cost more than R500 a month.....
1 x Dedicated Root Server SB33
* Intel Core i7-3770
* 2x HDD SATA 3,0 TB Enterprise
* 4x RAM 8192 MB DDR3
Click to expand...

can one still sign up for this server ?
 
lol.gif

LOL! They should be sued because TAX registered companies should always include vat where it applies! How convenient to adjust your markup just call it TAX and add 15% my question is, is this really adding TAX or adding a markup. What did all your previous invoices state? Didn't it show VAT?
 
kitkat+ said:
can one still sign up for this server ?
Click to expand...

Yes.

Server auction - Hetzner Online GmbH

Keep a lookout on the server auction page. They were nice and cheap for about R400 or so at their lowest however the 15% vat has pushed the prices up a bit which is real pity. I guess you can try to use a US address but not sure if the risk is worth it.

They make for very good servers. Germany is super strict on spamming and anti piracy so those IP ranges and network from those servers are pretty decent. In fact if you leave certain ports open you will get an abuse mail asking you to close them.

They have a 15 day refund policy if you don't like the server they refund you.
 
cavedog said:
Yes.

Server auction - Hetzner Online GmbH

Keep a lookout on the server auction page. They were nice and cheap for about R400 or so at their lowest however the 15% vat has pushed the prices up a bit which is real pity. I guess you can try to use a US address but not sure if the risk is worth it.

They make for very good servers. Germany is super strict on spamming and anti piracy so those IP ranges and network from those servers are pretty decent. In fact if you leave certain ports open you will get an abuse mail asking you to close them.

They have a 15 day refund policy if you don't like the server they refund you.
Click to expand...
I just changed my address on my profile to a different country and still paid via paypal. No VAT charges for me :P

With regards to anti piracy... well lets just say you should avoid public trackers. The rest don't seem to ring alarm bells.
 
cavedog said:
Sigh just got an email saying they will start charging 15% VAT to comply with local regulations. If you refuse the server will be cancelled....

Now my ~R470 pretty decent server is going to cost more than R500 a month.....
1 x Dedicated Root Server SB33
* Intel Core i7-3770
* 2x HDD SATA 3,0 TB Enterprise
* 4x RAM 8192 MB DDR3
Click to expand...
This is billed in ZAR or EUR ?
 
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