September Bill (Slightly) Higher

[BBCInc]

Here's one reason I still get a paper bill...

I noticed a .44 increase in my bill for September, triggering a check of the Statement Detail.

I have been grandfathered from paying a DVR fee due to previous fee-free DVR ownership. Now, on this bill, two new line items appear, the first is $6.00 for "DVR Service" under Monthly Charges, and the second is "Cr: DVR $6x24" under Other Charges and Credits.

Apparently the 44 cent increase is a result of state/local tax charged on the new $6 service fee prior to the application of the $6 credit. So, in effect, the credit is only for $5.56.

Of course none of this was communicated to me before it shows up on the bill.

And before any of the Dish defenders chime in with a "stop b*()hing about 44 cents" post, not that it's any of your business, but I'm now on a fixed income and every penny counts.

I'd appreciate having the DIRT team explain this change to me. Thanks!

 

[MaryB@SlingTV]

The change is due to our policy change on the 508 receivers. We have begun to charge the $6.00 monthly DVR fee for these receivers that we had been waiving up till 8-11. We have issued a credit equal to the amount of the change which will be on the account for the next 24 months which is in essence giving our customers 24 months notice that the account fee will be changing. I am not sure why you tax amount did not credit to your account and I will need to check you account and the state tax guidelines. If you would like my assistance on this, please feel free to PM me. Thank you!

 

[Mr Tony]

Does Dish charge sales tax first on the amount billed then applies credits?

Reason I ask is my Directv bill is pretty low after credits yet I pay sales tax for an amount that would be much larger

 

[KAB]

Taxes are always charged BEFORE credits/rebates....gross billing, not net.

 

[MaryB@SlingTV]

Does Dish charge sales tax first on the amount billed then applies credits?

Reason I ask is my Directv bill is pretty low after credits yet I pay sales tax for an amount that would be much larger

Yes, it is normal that the tax is charged for the full amount prior to any credits being applied.

 

[BBCInc]

I don't have a 508, it's a 722.

 

[MaryB@SlingTV]

Please send me your account information in a private message. There was no grandfather option for DVR fees on A VIP722 but you may have been extended a credit for a specific period of time but without reviewing the account I can only speculate. Thank you!

 

[Tomboy257]

but I'm now on a fixed income and every penny counts.QUOTE]

This will probably create a firestorm, but, isn't anyone who has an annual salary without overtime options also on a "fixed income"?

 

[jbrooks987]

This will probably create a firestorm, but, isn't anyone who has an annual salary without overtime options also on a "fixed income"?

Yes, but. The "but" being a steady "job" versus a retirement income. One on an annual salary has an option, usually, to renegotiate that salary on a yearly basis. Someone on social security or living on their pension plan's payout does not have that option.

 

[Tomboy257]

Some one on an annual salary is on a fixed income for that period, whether or not they can re-negotiate for another period, its still fixed. And someone on social security has, until the past two years, annual cost of living increases which may not be available to the above mentioned salaried employee. I'm only saying that a retiree saying they are on a "fixed income" is a misnomer. they are on "reduced income".

 

[BBCInc]

Mary is working this and we're both waiting for a decision by the the Dish policy makers for my specific case.

As I understand it, the change that I and others previously grandfathered from the DVR service fee are experiencing, was implemented via letter to 508 owners because they need to swap their receivers and a billing charge and credit for all the rest of us for a set period of time (24 months may be standard). This is Dish's way of getting us used to losing our exemption due to a policy change for additional revenue.

I'll have more to say after the decision.

 

[R0ss]

Some one on an annual salary is on a fixed income for that period, whether or not they can re-negotiate for another period, its still fixed. And someone on social security has, until the past two years, annual cost of living increases which may not be available to the above mentioned salaried employee. I'm only saying that a retiree saying they are on a "fixed income" is a misnomer. they are on "reduced income".

It may be a misnomer but it is understood that "fixed income" refers to a person that is receiving a pension or retirement that is usually much less than the salary they received when working.
I feel like I'm on a reduced imcome just based on the economy, not take anything away from the OP.

Ross

Sent from my DROIDX using SatelliteGuys

 

[Tomboy257]

It may be a misnomer but it is understood that "fixed income" refers to a person that is receiving a pension or retirement that is usually much less than the salary they received when working.

And it was probably started by someone that was retired and looking for a discount from some working stiff. My uncle owned some rental cottages in Florida back in the 70's. He was constantly getting calls from people wanting to come for the winter. When a rate was quoted, the caller would often say "I can't afford that, I'm on a fixed income".

 

[yaz96]

And it was probably started by someone that was retired and looking for a discount from some working stiff. My uncle owned some rental cottages in Florida back in the 70's. He was constantly getting calls from people wanting to come for the winter. When a rate was quoted, the caller would often say "I can't afford that, I'm on a fixed income".

:focus:

 

[Anony55]

Yes, it is normal that the tax is charged for the full amount prior to any credits being applied.

It drives me crazy when businesses in my state do it this way. It doesn't have to be that way (in my state anyway) to comply with state sales tax regulations. It all just depends on how the invoice/statement is keyed in.

A "credit" is considered a form of payment which is applied to the balance (same as a payment). In this case, the customer would still pay tax on the amount being credited.

However, a "discount" is applied up in the line items. Since the discounted amount comes out of the running total before tax is ever figured, the customer doesn't pay tax on the dollar value of the discount.

A credit is really intended for situations where you actually owe the customer money. For example, they mistakenly overpaid a previous bill or paid a certain amount in advance. In those cases, it's still just a form of tender that's used to pay a balance including taxes.

But when the intention is to discount a service, the service should be taxed at the discounted rate. In the case of the OP, 6-6= $0.00, so taxes should be collected on that amount. It's not like he prepaid the $6 last month, and now wants it applied to the balance. Rather, he never actually owed the $6 in the first place.

Of course, I'm only familiar with the tax laws in Oklahoma, so I suppose there could be 49 other ways to do it. But since so many businesses in Oklahoma don't even bother to get it right, I suspect that other states could be seeing the same thing.

Cheers

 

[SaltiDawg]

And it was probably started by someone that was retired and looking for a discount from some working stiff. ...

Yikes! You talk about stereotyping? lol

I'm retired and pay more in taxes than many a (still) working guy.

Additionally, there are a lot of "working stiffs" (Your choice of words.) that make a living off the backs of retired folks - and not all of those "working stiffs" are people out trying to make an honest buck.

 

[BBCInc]

The decision is in and I'm still a happy Dish customer! The bottom line is that the DIRT (Mary) took care of business as had the ERT in the past.

I will be losing my DVR fee waiver in 24 months as will all other accounts that were previously grandfathered. This is a corporate-level Dish policy effective 8-11.

While I'm sorry to see the waiver go away, I understand it couldn't last forever, and I've saved a boatload of money over the years due to Dish wanting to keep me as a customer. An additional added benefit to me is that, after 24 months, my account will be 'standardized' and I can make a decision as to whether to continue with Dish. Of course the entire pay TV landscape could change in that amount of time (or not).

 

[STDog]

While I'm sorry to see the waiver go away, I understand it couldn't last forever, and I've saved a boatload of money over the years due to Dish wanting to keep me as a customer.

I disagree completely. When I purchased my 501 it was marketed as a DVR w/o fees unlike TiVO or the DishPlayer.
When the 510 came out and they started charging DVR fees, again the 501/508 were not included.

To suddenly call it a "grandfather" or waiver is just wrong. They are changing the terms of the deal.

Now, if the receiver died, and was replaced with a newer model and they didn't charge the fee, that would be a waiver or grandfathered.

What next, they going to decide that the 211 + EHD should have a fee too? Never mind that they said the $40 fee to use the EHD was it.

FWIW, I'm going through this with Netflix too. I've bee grandfathered on the original 4 at a time plan, including a long period when there was no 4 at a time option. No they have suddenly decided to split the streaming service off as a separate fee, but at the same time change my accounting for the old 4 at a time to a new 4 at a time with a higher fee.

It's a lot easier to change DVD/streaming options than satellite companies though.

 

[mrschwarz]

I disagree completely. When I purchased my 501 it was marketed as a DVR w/o fees unlike TiVO or the DishPlayer.
When the 510 came out and they started charging DVR fees, again the 501/508 were not included.

To suddenly call it a "grandfather" or waiver is just wrong. They are changing the terms of the deal.

Now, if the receiver died, and was replaced with a newer model and they didn't charge the fee, that would be a waiver or grandfathered.

What next, they going to decide that the 211 + EHD should have a fee too? Never mind that they said the $40 fee to use the EHD was it.

FWIW, I'm going through this with Netflix too. I've bee grandfathered on the original 4 at a time plan, including a long period when there was no 4 at a time option. No they have suddenly decided to split the streaming service off as a separate fee, but at the same time change my accounting for the old 4 at a time to a new 4 at a time with a higher fee.

It's a lot easier to change DVD/streaming options than satellite companies though.

Which is their right. At least they gave you 2 years to do something about it. When they decided that they weren't going to increase prices, only fees (I am still not sure what the difference is), we got next to no notification at all.

 

[Mike_H]

Just a note. Something is up with Dish and their tax calculation. I recently turned off 2 receivers, a 510 and a 501 and activated a 722k. Thus before I had a solodvr fee plus a solo receiver fee for a total of $17 in receiver fees for those two. Tax on all was $8.08. The first month with the bill for the change in receiver status, the tax is now $8.17, even though my bill is exactly the same. The only thing I can think is that one of the prior receiver classifications was setup as non-taxable, and I'm now getting taxed on the whole $17.

Dish really needs to have a bill that shows the detail behind the tax.