“VAT does not increase the price.” Already this year the STV customer was hit with an unexpected price increase

A customer of the telecommunications company STV wrote to Delfi Ärilehe, who in mid-November received a letter from the company informing that from December 1 the price of his TVIN package will increase by two euros. At the same time, STV announced on its website at the end of November that prices for basic services will not increase in the new year due to VAT.

“Is this a good business idea or is it misleading the consumer?” asked an STV customer.

The price increase is not related to the VAT increase

STV commercial director Vladislav Jarantsev tells Delfi Ärilehe that STV last revised its services and prices this autumn. The increase in package prices was mainly due to the increase in prices of energy and heating, materials and equipment, which also directly influenced the cost price of STV products. As prices change and customers are continuously informed until March next year, this information can also cause confusion among customers.

Jarantsev confirms that the VAT increase will change the general price list, but will not increase the prices of basic services.

The state does not interfere with prices

Ulrika Paavle, head of the trade department of the Agency for Consumer Protection and Technical Control, said that prices are free in Estonia. This means that the state does not interfere in price setting and any trader can sell goods at any price.

“Each trader will also be able to mitigate the cost of the VAT increase as they see fit in their pricing decisions. Business owners are under no obligation to explain the price increase,” he added.

At the same time, the entrepreneur must not use a deceptive trading technique. According to Paavle this includes, for example, providing false information based on price calculations.

Have you also noticed the price increase at the end of this year, so that the company can say that the VAT increase will not increase the price? Send an email to [email protected] or write to us tip shape Through!

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2023-12-10 07:04:00
vat-does-not-increase-the-price-already-this-year-the-stv-customer-was-hit-with-an-unexpected-price-increase

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