Sony is underfire for purportedly taking a cut from an Overwatch skin being sold on the PlayStation Store to raise money for the Breast Cancer Research Foundation. The Mercy outfit is available for £12.99 in the UK, but the product description states that only £10.12 will go to the charity, as that’s what Blizzard receives from your purchase.
That’s roughly a reduction of 20 per cent from the total transaction, so it’s unclear if the missing money is VAT or simply Sony’s cut. Our understanding is that the platform holder takes a 30 per cent cut from all PlayStation Store purchases, while VAT in the UK is currently set at 20 per cent.
In the US the wording is slightly different: “Blizzard Entertainment will donate 100 per cent of the proceeds that it receives from Sony PlayStation for your purchase.” Again, it’s not clear whether the company is waiving its fees or not. We’ll try to reach out to the platform holder and get confirmation of the situation, but we’re sure it’ll do the right thing in the end.
[source twitter.com]
Comments 22
I'm almost certain this is VAT, but I'll try and find out from Sony if I can.
If it's a 20% reduction then it's VAT because low and behold here in the UK, VAT is included in the price instead of added on at the end.
Case closed.
Does VAT still have to be taken out, even on charity items? Not clued up on the VAT laws.
yeah that sounds like it's VAT and as @YummyHappyPills said in the UK VAT is included in the price
so really it's the UK government taking the money not Sony
@get2sammyb The German pricing is at €14,99 of which €11,78 are going to Blizzard. VAT in Germany is at 19%.
@adf86 You can do something called Gift Aid in the UK which allows the charity to claim the VAT money as well, but I think you have to provide name/address and stuff.
Not totally sure.
@adf86 in the UK VAT has to be paid on any transaction, charity or no
Sorry guys this is the worst clickbait ever accusation without checking....
I wouldn't be surprised if that is VAT. I bet if Sony were taking their cut from the sale over PSN, then Blizzard wouldn't be receiving that amount.
You can donate a certain portion to Charities tax free but I don't think that includes purchases. If Blizzard for example were to donate a portion of their profits to a charity, they could donate a certain amount tax free (Tax Relief) but selling something where all the money goes to charity could be subject to tax laws
@Flaming_Kaiser I don't think it is? The article lays everything out and I've contacted Sony and will update when/if they respond.
So what, as we always hear from morons when it comes to loot boxes 'it's a business blah blah etc etc'
Won't buy it until they fix this
@AFCC it's Tax nothing else, you have to pay Tax on any item you purchase even if it's for charity that's the law, Sony can't change this anymore than they can change the weather
Its not VAT the figures don't work out. VAT on 12.99 would be £2.17 making the price £10.82 not £10.12.
Ok so what is VAT???
@Tasuki value-added tax (VAT), known in some countries as a goods and services tax
Dreadful article. Come on...
Lmao. Both ResetEra and N4G closed news articles pertaining to this one. Just like the Trump government; the gaming media is corrupted and run a Fox-like news media empire for the "never do wrong" Sony company.
@FullbringIchigo BOOOOH! The government should change things like this for charity! It's disgusting honestly D:
TWENTY TWO DOLLARYDOOS FOR A SKIN?!
Sony receives a cut off everything sold through PS Store, right? I don't see why that be different for charity items, as long as Sony isn't the one offering the charity item.
If I sell lemonade for charity, I'll still need to buy lemons from the grocery store. This is kind of the same thing. Don't understand why anyone would be shocked over it.
@sonicmeerkat oath its crazy over here
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