SFR and Bouygues Telecom: the tax authorities monitor the advantageous VAT at 2.1% on the press


The tax authorities could end up complaining about the application of VAT to 2.1% on a good part of the packages of the operators SFR and Bouygues Telecom associated with their press package.


 SFR began, Bouygues Telecom followed suit. The two operators apply VAT reduced to 2.1% on part of the price of their packages by the inclusion of a press offer, SFR Press on one side, Bouquet Press on the other, offering a selection of newspapers and periodicals.

This trick makes it possible to realize substantial savings (around 300 million euros for SFR, 100 million euros for Bouygues Telecom per year), but it appeals moderately to the tax authorities insofar as they are potential cash inflows fly.


Related:SFR: a paying option imposed on its customers that brings very big 

Pushed by Orange and Free, who are asking for a regulation, failing to end up doing the same thing, and putting the government's shortfall to a billion euros, the tax authorities are trying to change the situation.

One way of doing this would be to apply the reduced VAT rate to 2.1% on the entire press offering, but only on the actually downloaded newspapers.SFR argues that its SFR Presse offer helps to ensure the promotion of press titles and generate revenue for publishers.


Moreover, like other sectors, the press is moving to a model of consumption in unlimited, in which taking into account the number of downloads is ultimately of little relevance.


Source : Le Figaro


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