I have just been told that the reason I get a student discount at the cafeteria in Sheffield University is because students don't pay VAT.

I was under the impression that everyone payed VAT. Does anyone know the truth or otherwise of this.

Cobblers. How many places offer a 17.5% discount to students?

Not true. Students get discounts when they belong to the NUS, which refunds the shop/cinema/cafe the discount the student has been given.

Not true. Students get discounts because they owner of the shop wants students to spend money there. They do not get it refunded by the NUS. If they did, the NUS would be in even more financial issues than it already is.

Students also do have to pay VAT. I think the only tax that students are exempt from is council tax.

Cobblers. How many places offer a 17.5% discount to students?

Dorothy Perkins gave me 25% :D

I was under the impression that everyone payed VAT. Does anyone know the truth or otherwise of this.

They only give it to students who can spell 'paid' ;) Otherwise, they figure you're not a real student!

I have just been told that the reason I get a student discount at the cafeteria in Sheffield University is because students don't pay VAT.

I was under the impression that everyone payed VAT. Does anyone know the truth or otherwise of this.

Complete rubbish, as is the common misconception that students are exempt from income tax.

I got told this as well, by the sandwich bar in the union building.

Apparently, the price is the same for students and staff, but the shop doesn't pay VAT on the student food, so the profit they make is larger. Or at least, that's the gist of what I got from the woman behind the counter, who was keeping a tally of what meals were sold to what type of customers...


[edit: tally, not telly!]

Actually many places offer a 20%ish discount to students with a NUS card, or at least they did when I was a student

I got told this as well, by the sandwich bar in the union building.

Apparently, the price is the same for students and staff, but the shop doesn't pay VAT on the student food, so the profit they make is larger. Or at least, that's the gist of what I got from the woman behind the counter, who was keeping a telly of what meals were sold to what type of customers...

Ah thanks. This may explane it.:thumbsup:

They only give it to students who can spell 'paid' ;) Otherwise, they figure you're not a real student!


Bullocks!:gag: :rant: :suspect: :rant: :loopy:

Bullocks!:gag: :rant: :suspect: :rant: :loopy:

Erm.... are you saying that 'payed' is a real word?

Erm.... are you saying that 'payed' is a real word?

http://misheli.image.pbase.com/g4/61/523761/2/60108163.20050802002.jpg

I think the only tax that students are exempt from is council tax.

This is not true, the only thing students pay less of (or at least thats how it appears to some) is income tax on their wages this is because you are given an allowance each year that you can earn up to before you need to pay tax and then your taxed there after. Whilst you may pay it out of your wages each week/month at the end of the tax year you can claim it back providing you didn't earn more than £5035. Most students only have part time jobs and do not earn more than this so are entitled to the tax rebate.

This should clear it up:

http://news.bbc.co.uk/1/hi/education/3143953.stm

I got told this as well, by the sandwich bar in the union building.

Apparently, the price is the same for students and staff, but the shop doesn't pay VAT on the student food, so the profit they make is larger. Or at least, that's the gist of what I got from the woman behind the counter, who was keeping a telly of what meals were sold to what type of customers...

Students do pay VAT on all VAT payable products/services. However, I don't think VAT is chargable for take out* food / drink. You can only charge VAT on food/drink if the person buying it also consumes it on the premises. This is why Macdonalds coffee is a different price depending on whether you eat in or take out.

Could be eat in, can't remember :huh:

http://misheli.image.pbase.com/g4/61/523761/2/60108163.20050802002.jpg

You're right, sid. It was a load of bull! :P

Students do pay VAT on all VAT payable products/services. However, I don't think VAT is chargable for take out* food / drink. You can only charge VAT on food/drink if the person buying it also consumes it on the premises. This is why Macdonalds coffee is a different price depending on whether you eat in or take out.

Could be eat in, can't remember :huh:

I've just checked out the HMRC website. This is going to be the most boring post ever.

All food eaten in and hot take-away food and drink is always 17.5% VAT.

Cold take-away food and drink is zero rated, (unless is a type that is always 17.5% - such as crisps, sweets, prepared drinks and bottled water).

Schools, universities, colleges, etc
Certain supplies of education, training and research are exempt from VAT. Where an educational institution provides exempt education to its own pupils and students, then the supply of catering they make can also be exempt.

You must account for VAT on supplies of catering to staff and visitors (except visiting students).

http://customs.hmrc.gov.uk

That's interesting. One would think in that case that catering staff at uni would ask if one were staff or student when they take your money! But they don't - and as far as I'm aware, everyone gets charged the same.

How does that work, then?

This is not true, the only thing students pay less of (or at least thats how it appears to some) is income tax on their wages this is because you are given an allowance each year that you can earn up to before you need to pay tax and then your taxed there after. Whilst you may pay it out of your wages each week/month at the end of the tax year you can claim it back providing you didn't earn more than £5035. Most students only have part time jobs and do not earn more than this so are entitled to the tax rebate.

This should clear it up:

http://news.bbc.co.uk/1/hi/education/3143953.stm

It is true, everyone has that allowance, student or not so students pay no less income tax than anyone else who earns that little each year. Therefore, as dosxuk said, the only tax students are exempt from is council tax. Even then, they are only exempt if they are living in a property that is occupied entirely by students.

It is true, everyone has that allowance, student or not so students pay no less income tax than anyone else who earns that little each year. Therefore, as dosxuk said, the only tax students are exempt from is council tax. Even then, they are only exempt if they are living in a property that is occupied entirely by students.

It is not true, my friend lives in a shared house and they all pay council tax. It's split 5 ways between them.

Yes everyone does get that allowance thats why i said it the following:

[QUOTE=diva25uk]This is not true, the only thing students pay less of (or at least thats how it appears to some) is income tax on their wages this is because you are given an allowance each year that you can earn up to before you need to pay tax and then your taxed there after. Whilst you may pay it out of your wages each week/month at the end of the tax year you can claim it back providing you didn't earn more than £5035. Most students only have part time jobs and do not earn more than this so are entitled to the tax rebate.

:D

It is not true, my friend lives in a shared house and they all pay council tax. It's split 5 ways between them.




If they are all students then they don't have to pay any council tax at all because they are exempt. If there is one non-student in the property then they are entitled to a 25% discount. If there is more than one non-student then the entire property is liable for the council tax.

well i'll need to tell her as they've been living together 2 yrs now and they all pay it.

Can you be a college student or is it just uni students?

Just HE I am pretty certain.

Why is this income tax exemption myth so widespread? I hear it all the times from students, when I mention that I've been taxed so and so this week.

Even the ones who are working haven't got a clue that they do pay tax.

The only difference is that students working vacation-time only don't pay income tax until they reach the threshold (5195?) and then they pay 10%/22% on everything, instead of having £91 a week tax free.

well i'll need to tell her as they've been living together 2 yrs now and they all pay it.

Can you be a college student or is it just uni students?

Any full time student over 18 (I think its 18) as under this you are exampt anyway.

When I was the only non-student in a student house I paid all the council tax, as I would have to if I lived alone. when there were 2 non-students we split it 50/50

However, there is nothing to say that in a house of muixed students and non-students the only the non-students dhould pay. Everyone living there is liable for the council tax, so it all depends on how nice the non-students are!

Not true. Students get discounts because they owner of the shop wants students to spend money there. They do not get it refunded by the NUS. If they did, the NUS would be in even more financial issues than it already is.

Students also do have to pay VAT. I think the only tax that students are exempt from is council tax.

Well, the UGC cinema told me that they get the money we students save back from the NUS, as they could only give a discount to people with NUS cards (NOT just student cards, ie from Unions not belonging to the NUS). They couldn't find the NUS bit on my student card so couldn't give me a discount.

Well, the UGC cinema told me that they get the money we students save back from the NUS, as they could only give a discount to people with NUS cards (NOT just student cards, ie from Unions not belonging to the NUS). They couldn't find the NUS bit on my student card so couldn't give me a discount.How could the NUS fund that? Some of you student types need to learn a bit about business and the grown up world where we have to pay our way in full and get used to doing it yourselves. Please don't quote the old "the taxpayer is investing in our future and will get it all back eventually" drivel.

I'm actually a postgraduate student, so I'm not living off the taxpayer and I like to think I live in the "grown up world" (I'm actually moving into my first house this week). I'm merely quoting what I was told. In fact, the taxpayer did not invest in my future- I have to pay back everything I borrowed, with interest. Please don't make assumptions.

I'm actually a postgraduate student, so I'm not living off the taxpayer and I like to think I live in the "grown up world" (I'm actually moving into my first house this week). I'm merely quoting what I was told. In fact, the taxpayer did not invest in my future- I have to pay back everything I borrowed, with interest. Please don't make assumptions.Pay back what you have borrowed of course on the ridiculously cheap student loan deals. What I mean are things that students are given cheap because they are students. I'm afraid that what you said about NUS repaying your discount does sound like student logic.

Maybe UGC have a bunch of students telling their staff what to tell customers then.

Student loan deals are cheap for loans, yes. But we only have to have loans because we have to pay our way through university, maybe with a part time job as well. I certainly don't want anyone to pay for my education- I wanted it, so I pay for it. But I don't see a problem with helping students along with a "good" loan deal. Why shouldn't we get certain things for cheaper? Our unions pay a huge amount of money to be a part of the NUS, and that price is inevitably passed on to students. Why shouldn't we see some benefit from being part of a union?

Students aren't just "given things cheap because they are students". Student discounts are a good way to get business. If a student sees a cd in HMV, where they can get student discount, and the same cd in a shop where they can't, which one is he/she going to go for?

Our unions pay a huge amount of money to be a part of the NUS, and that price is inevitably passed on to students. Why shouldn't we see some benefit from being part of a union?

Students aren't just "given things cheap because they are students". Student discounts are a good way to get business. If a student sees a cd in HMV, where they can get student discount, and the same cd in a shop where they can't, which one is he/she going to go for?Don't understand first sentence. I'm not saying you shouldn't have benefits I was saying you didn't understand how it worked and who paid for it. In case of student discounts no one actually pays for it, the supplier of the product or service chooses to make less profit percentage wise in the hope that they will get higher turnover and more cash profit. Your second paragraph contradicts itself, students get discount because they are students.

It's good that you paid for education because you want it for you but some people don't think like that.

well i'll need to tell her as they've been living together 2 yrs now and they all pay it.

Can you be a college student or is it just uni students?

Rules here:

If you are in a full time course attending further or higher education at a prescribed educational establishment for one year or more, at least 21 hours study in term time per week and at least 24 weeks attendance in the year, not by correspondence, evening classes or day release. You may qualify for a student exemption/discount.

You may also qualify if you are under the age of 20 and studying for more than three months and as least 12 hours per week for any qualification up to A level, ONC or OND standard.

Don't understand first sentence. I'm not saying you shouldn't have benefits I was saying you didn't understand how it worked and who paid for it. In case of student discounts no one actually pays for it, the supplier of the product or service chooses to make less profit percentage wise in the hope that they will get higher turnover and more cash profit. Your second paragraph contradicts itself, students get discount because they are students.

It's good that you paid for education because you want it for you but some people don't think like that.

Fair enough, I can't be bothered to discuss this anymore. I was mistaken, but you didn't need to be haughty about it. I was merely passing on what I had been told.

I think a lot of people's problem is that they tar all students with the same brush. It's not fair, and it's not right.

Can you prove that UGC (Or Cineworld now) don't take a payment from the NUS in order to then offer a discount to NUS members?

Don't understand first sentence. I'm not saying you shouldn't have benefits I was saying you didn't understand how it worked and who paid for it. In case of student discounts no one actually pays for it, the supplier of the product or service chooses to make less profit percentage wise in the hope that they will get higher turnover and more cash profit. Your second paragraph contradicts itself, students get discount because they are students.

It's good that you paid for education because you want it for you but some people don't think like that.

Can you prove that UGC (Or Cineworld now) don't take a payment from the NUS in order to then offer a discount to NUS members?No way they would be doing that. It would be the other way round if anyone was paying anything. UGC and others may pay NUS to tell their members that they gave discount. UGC is a business which makes a profit from the students, there's nothing in it financially for NUS why would they pay?

The NUS have to be able to offer a reason for individual student unions to join it.
The union at Hull left the NUS some years ago when it found that it could negotiate better prices for beer from local suppliers than the NUS could negotiate with the larger companies.

So in order to exist the NUS has to offer something to it's members (they all pay a subscription fee).

Well I just had a look and it seems the NUS have changed the rules. A basic membership card is free, but apparently doesn't qualify for student discounts - an NUS extra card costs £10 and gets you the discounts...

The NUS have to be able to offer a reason for individual student unions to join it.
The union at Hull left the NUS some years ago when it found that it could negotiate better prices for beer from local suppliers than the NUS could negotiate with the larger companies.

So in order to exist the NUS has to offer something to it's members (they all pay a subscription fee).They do offer incentives, they charge companies to recommend them to students and the companies offer discount to students. Straightforward, obvious business.

I happen to think that you're right, I just wondered whether your rather harsh putdown of the earlier poster was based on more than just supposition.

I happen to think that you're right, I just wondered whether your rather harsh putdown of the earlier poster was based on more than just supposition.
Thank you, sorry it wasn't supposed to be harsh, it's just that it seems obvious to me. I have run a business here for over 20 years and we supply students amonst other people. From time to time I am contacted by organisations including the unions who offer to sell me advertising space in magazines, calendars, welcome packs, sponsorship etc which are given to students to introduce me as a supplier. I pay for the advertising and I have to give discount as part of the deal.

Bargaining power changes as relative size of the two parties changes though.

A large company might get the advertising for free on the basis that they will offer the discount.

Bargaining power changes as relative size of the two parties changes though.

A large company might get the advertising for free on the basis that they will offer the discount.No because there's nothing in it financially for the union.

It is not true, my friend lives in a shared house and they all pay council tax. It's split 5 ways between them.

According to the Council website, where a property is occupied entirely by students, no Council Tax is payable. If in your friend's case not all the occupiers are students, then the property is liable for tax. You could argue that it's the non-student who is liable, but they choose to split it 5 ways. (Sorry Twiglet, missed your posts somehow:loopy: )

No because there's nothing in it financially for the union.

yes there is, it's part of the package they can use to attract individual unions to join or stay with the NUS and pay their affiliation fees, which probably form a large portion of their income.