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JNugent[_5_] May 30th 19 03:43 PM

Uber and the VAT man
 
On 30/05/2019 15:41, Roland Perry wrote:


JNugent remarked:

Â*The turnover for someone like Uber or TheTrainline being the
commissionÂ* element, not including the money that passes straight
through to theÂ* drivers and Train Companies respectively.


If Uber only received a commission or circuit fee from the driver,
that would be correct and I would certainly not argue with your
proposition.

But how can that correct be in the circumstance where they also turn
over the whole of the fare collected from the passenger
(account-holder) on the spot?


Do they, and send the driver an invoice for their commission later (end
of the month perhaps)?


I assume your "Do they..." was a request for confirmation of what I said.

Yes, Uber do collect the whole of the fare.

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.

That would nudge them a bit closer to being perceived by the passenger
as a cab company, rather than a booking agent for the driver.


The passenger's view isn't important anyway, but even so, it's hard to
see how "knowing" that Uber issue invoices to drivers [if that were the
case, for which there is no evidence] would affect passengers' opinion
of Uber.

I don't think credit card companies include the total value of
thingsÂ* purchased with their cards in their turnover. But they do
collect theÂ* money from buyers, deduct a commission, they pay the
balance to
vendors. And like no doubt Uber, they don't pay the whole amount
outÂ* andÂ* then send an invoice asking for the commission back
whenever theÂ* traderÂ* feels like it.

I don't now about you, but I pay money to my credit card issuers.
Â*That's what I wrote. They collect the money you pay to them, and
channelÂ* it through to the merchants.

They don't pay money to me.


Â*I didn't suggest they did. They pay money to merchants. But that's
moneyÂ* from you to the merchant, and isn't part of the card issuer's
turnover.


Indeed. They are financial trading entities operating as registered /
recognised banks licenced by the state. They lend money (part of their
capital assets) and only the fees and charges they receive are their
turnover.


They lend money to the buyer (at zero interest rate if they pay it off
on demand). They don't lend money to the merchant.

Does that apply to Uber?


And TheTrainline, does the train company get paid for the ticket
straight away, or does TTL have 30day (or whatever) credit with them
all. Whatever the answer, their turnover in their published accounts is
just the commission/fee element.


But they are not Uber. And Uber are going to have to argue that the
money they turn over is not part of their turnover.

Just to be clear about this: if an individual self-employed taxi-driver
(or private hire driver) turned over £85,000 and were honest enough to
report the fact, they would be forced by law to register for VAT and to
charge it on top of the fare.

But turning over £1808 a week (assuming five weeks' non-activity per
annum) would be a tall order. Not so for Uber.

Recliner[_3_] May 30th 19 04:01 PM

Uber and the VAT man
 
JNugent wrote:
On 30/05/2019 15:41, Roland Perry wrote:


JNugent remarked:

Â*The turnover for someone like Uber or TheTrainline being the
commissionÂ* element, not including the money that passes straight
through to theÂ* drivers and Train Companies respectively.

If Uber only received a commission or circuit fee from the driver,
that would be correct and I would certainly not argue with your
proposition.

But how can that correct be in the circumstance where they also turn
over the whole of the fare collected from the passenger
(account-holder) on the spot?


Do they, and send the driver an invoice for their commission later (end
of the month perhaps)?


I assume your "Do they..." was a request for confirmation of what I said.

Yes, Uber do collect the whole of the fare.

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.


There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


That would nudge them a bit closer to being perceived by the passenger
as a cab company, rather than a booking agent for the driver.


The passenger's view isn't important anyway, but even so, it's hard to
see how "knowing" that Uber issue invoices to drivers [if that were the
case, for which there is no evidence] would affect passengers' opinion
of Uber.

I don't think credit card companies include the total value of
thingsÂ* purchased with their cards in their turnover. But they do
collect theÂ* money from buyers, deduct a commission, they pay the
balance to
vendors. And like no doubt Uber, they don't pay the whole amount
outÂ* andÂ* then send an invoice asking for the commission back
whenever theÂ* traderÂ* feels like it.

I don't now about you, but I pay money to my credit card issuers.
Â*That's what I wrote. They collect the money you pay to them, and
channelÂ* it through to the merchants.

They don't pay money to me.

Â*I didn't suggest they did. They pay money to merchants. But that's
moneyÂ* from you to the merchant, and isn't part of the card issuer's
turnover.

Indeed. They are financial trading entities operating as registered /
recognised banks licenced by the state. They lend money (part of their
capital assets) and only the fees and charges they receive are their
turnover.


They lend money to the buyer (at zero interest rate if they pay it off
on demand). They don't lend money to the merchant.

Does that apply to Uber?


And TheTrainline, does the train company get paid for the ticket
straight away, or does TTL have 30day (or whatever) credit with them
all. Whatever the answer, their turnover in their published accounts is
just the commission/fee element.


But they are not Uber. And Uber are going to have to argue that the
money they turn over is not part of their turnover.

Just to be clear about this: if an individual self-employed taxi-driver
(or private hire driver) turned over £85,000 and were honest enough to
report the fact, they would be forced by law to register for VAT and to
charge it on top of the fare.

But turning over £1808 a week (assuming five weeks' non-activity per
annum) would be a tall order. Not so for Uber.





Tim Woodall[_2_] May 30th 19 04:26 PM

Uber and the VAT man
 
On 2019-05-30, Recliner wrote:

Yes, Uber do collect the whole of the fare.

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.


There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


Doesn't this hinge on whether uber are agent or principal?

Here's a related case that went all the way to the court of appeal.
https://www.kwm.com/en/uk/knowledge/...gents-20160101

I don't think the billing matters. If I appoint you as my agent to
collect monies due to me and agree to pay you 10% of whatever you
collect then your turnover is the 10% and mine is 100% regardless of
whether, and how, the 10% ends up in my account and the 90% ends up in
mine.


Tim Woodall[_2_] May 30th 19 04:32 PM

Uber and the VAT man
 
On 2019-05-30, Tim Woodall wrote:
On 2019-05-30, Recliner wrote:

Yes, Uber do collect the whole of the fare.

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.


There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


Doesn't this hinge on whether uber are agent or principal?

Here's a related case that went all the way to the court of appeal.
https://www.kwm.com/en/uk/knowledge/...gents-20160101

I don't think the billing matters. If I appoint you as my agent to
collect monies due to me and agree to pay you 10% of whatever you
collect then your turnover is the 10% and mine is 100% regardless of
whether, and how, the 10% ends up in my account and the 90% ends up in
mine.


https://thevatconsultancy.com/med-ho...supreme-court/

Went all the way to the supreme court - and was reversed at each stage!



Recliner[_3_] May 30th 19 07:07 PM

Uber and the VAT man
 
Tim Woodall wrote:
On 2019-05-30, Recliner wrote:

Yes, Uber do collect the whole of the fare.

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.


There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


Doesn't this hinge on whether uber are agent or principal?

Here's a related case that went all the way to the court of appeal.
https://www.kwm.com/en/uk/knowledge/...gents-20160101

I don't think the billing matters. If I appoint you as my agent to
collect monies due to me and agree to pay you 10% of whatever you
collect then your turnover is the 10% and mine is 100% regardless of
whether, and how, the 10% ends up in my account and the 90% ends up in
mine.


Which would confirm Uber's interpretation, meaning that it doesn't need to
pay VAT, or if it does, only on its net amount, around 22% of the gross
billings.

Uber certainly books and reports 'Gross billings' and 'Revenue', where the
latter is its net take after paying the drivers.


Roland Perry May 31st 19 07:01 AM

Uber and the VAT man
 
In message , at 16:43:29 on Thu, 30
May 2019, JNugent remarked:
On 30/05/2019 15:41, Roland Perry wrote:


JNugent remarked:

*The turnover for someone like Uber or TheTrainline being the
commission* element, not including the money that passes straight
through to the* drivers and Train Companies respectively.

If Uber only received a commission or circuit fee from the driver,
that would be correct and I would certainly not argue with your
proposition.

But how can that correct be in the circumstance where they also turn
over the whole of the fare collected from the passenger
(account-holder) on the spot?

Do they, and send the driver an invoice for their commission later
(end of the month perhaps)?


I assume your "Do they..." was a request for confirmation of what I said.


I was asking for confirmation that they "turn over the whole fare
collected from the passenger, on the spot".

There's two aspects:

The whole fare, and
On the spot.

Yes, Uber do collect the whole of the fare.


No-one ever claimed otherwise. It's what they do after collecting it
which matters.

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.


Therefore you are now agreeing with my proposition that they pay the
driver only part of what they collected from the passenger. Having
deducted their commission.

Whether they pay it "on the spot", or perhaps 'at the end of the week'
or whatever, is peripheral to that particular aspect.

That would nudge them a bit closer to being perceived by the
passenger as a cab company, rather than a booking agent for the driver.


The passenger's view isn't important anyway, but even so, it's hard to
see how "knowing" that Uber issue invoices to drivers [if that were the
case, for which there is no evidence] would affect passengers' opinion
of Uber.


There are two models possible:

Passenger pays for the ride and the whole fare is collected by Uber
and sent to the driver (with Uber being in effect just a form of
merchant services dealing with the card payment). Later, Uber sends a
bill to the driver for his usage of their booking/billing platform.

Or,

Passenger pays Uber for the ride, and they send him (maybe
immediately, maybe later) a piecework payment for having done the
driving aspect.

The perceptual difference being whether the passenger has just
patronised a self-employed driver, or a multi-billion cab company.

TheTrainline, does the train company get paid for the ticket straight
away, or does TTL have 30day (or whatever) credit with them all.
Whatever the answer, their turnover in their published accounts is
just the commission/fee element.


But they are not Uber. And Uber are going to have to argue that the
money they turn over is not part of their turnover.


The two business models are very similar.

Just to be clear about this: if an individual self-employed taxi-driver
(or private hire driver) turned over £85,000 and were honest enough to
report the fact, they would be forced by law to register for VAT and to
charge it on top of the fare.

But turning over £1808 a week (assuming five weeks' non-activity per
annum) would be a tall order. Not so for Uber.


Yes, I think we all understand why the £85k is important.
--
Roland Perry

Roland Perry May 31st 19 07:02 AM

Uber and the VAT man
 
In message , at 16:01:55 on Thu, 30 May
2019, Recliner remarked:

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.


There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


Thanks for digging that out. It is just as I expected.
--
Roland Perry

Roland Perry May 31st 19 07:24 AM

Uber and the VAT man
 
In messge k, at
16:26:38 on Thu, 30 May 2019, Tim Woodall
remarked:
Doesn't this hinge on whether uber are agent or principal?

Here's a related case that went all the way to the court of appeal.
https://www.kwm.com/en/uk/knowledge/...gents-20160101


That's saying MedHotels wasn't acting simply as a conduit for
orders/money but was doing much more, being a self-contained
holiday-business with payments to hotels being imply one of its
overheads.

I don't think the billing matters. If I appoint you as my agent to
collect monies due to me and agree to pay you 10% of whatever you
collect then your turnover is the 10% and mine is 100% regardless of
whether, and how, the 10% ends up in my account and the 90% ends up in
mine.


Yes, TheTrainline is acting as agent for the TOCs, and their turnover is
only the 10% [well, 8% actually].

TheTrainline isn't a tour operator, in the sense of buying lots of
London-Manchester Open Returns off Virgin, and then hoping customers
will turn up and buy them. It's just a real-time conduit for orders.

Similarly, Uber doesn't pre-buy driver-hours (or driver-miles) from the
cabbies, and then hope it can sell them. It's just a real-time conduit
for orders.

--
Roland Perry

Roland Perry May 31st 19 07:28 AM

Uber and the VAT man
 
In message , at 08:24:24 on Fri, 31 May 2019,
Roland Perry remarked:
In messge k, at
16:26:38 on Thu, 30 May 2019, Tim Woodall
remarked:
Doesn't this hinge on whether uber are agent or principal?

Here's a related case that went all the way to the court of appeal.
https://www.kwm.com/en/uk/knowledge/...-agent-the-deb
ate-over-online-travel-agents-20160101


That's saying MedHotels wasn't acting simply as a conduit for
orders/money but was doing much more, being a self-contained
holiday-business with payments to hotels being imply


simply

one of its overheads.

I don't think the billing matters. If I appoint you as my agent to
collect monies due to me and agree to pay you 10% of whatever you
collect then your turnover is the 10% and mine is 100% regardless of
whether, and how, the 10% ends up in my account and the 90% ends up in
mine.


Yes, TheTrainline is acting as agent for the TOCs, and their turnover
is only the 10% [well, 8% actually].

TheTrainline isn't a tour operator, in the sense of buying lots of
London-Manchester Open Returns off Virgin, and then hoping customers
will turn up and buy them. It's just a real-time conduit for orders.

Similarly, Uber doesn't pre-buy driver-hours (or driver-miles) from the
cabbies, and then hope it can sell them. It's just a real-time conduit
for orders.


--
Roland Perry

Recliner[_3_] May 31st 19 08:24 AM

Uber and the VAT man
 
Roland Perry wrote:
In message , at 16:01:55 on Thu, 30 May
2019, Recliner remarked:

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.


There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


Thanks for digging that out. It is just as I expected.


One thing I noticed from those is that Uber automatically repays drivers
for any tolls they have to pay when carrying fares. But not when empty. So
if a driver carried a fare across a toll bridge/tunnel, the toll is added
to the fare and repaid to the driver. But if the driver then has to return
home empty, they have to pay the fare out of their own pocket. So that is
like a self-employed cabbie, not an employee.


Recliner[_3_] May 31st 19 08:25 AM

Uber and the VAT man
 
Recliner wrote:
Roland Perry wrote:
In message , at 16:01:55 on Thu, 30 May
2019, Recliner remarked:

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.

There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


Thanks for digging that out. It is just as I expected.


One thing I noticed from those is that Uber automatically repays drivers
for any tolls they have to pay when carrying fares. But not when empty. So
if a driver carried a fare across a toll bridge/tunnel, the toll is added
to the fare and repaid to the driver. But if the driver then has to return
home empty, they have to pay the fare


toll

out of their own pocket. So that is
like a self-employed cabbie, not an employee.






Roland Perry May 31st 19 08:49 AM

Uber and the VAT man
 
In message , at 08:24:12 on Fri, 31 May
2019, Recliner remarked:
https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


Thanks for digging that out. It is just as I expected.


One thing I noticed from those is that Uber automatically repays drivers
for any tolls they have to pay when carrying fares. But not when empty. So
if a driver carried a fare across a toll bridge/tunnel, the toll is added
to the fare and repaid to the driver. But if the driver then has to return
home empty, they have to pay the fare out of their own pocket. So that is
like a self-employed cabbie, not an employee.


How do they handle the increasingly common "kiss and fly" fees at
airports?
--
Roland Perry

Graeme Wall May 31st 19 09:04 AM

Uber and the VAT man
 
On 31/05/2019 09:49, Roland Perry wrote:
In message , at 08:24:12 on Fri, 31 May
2019, Recliner remarked:
https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


Thanks for digging that out. It is just as I expected.


One thing I noticed from those is that Uber automatically repays drivers
for any tolls they have to pay when carrying fares. But not when
empty. So
if a driver carried a fare across a toll bridge/tunnel, the toll is added
to the fare and repaid to the driver. But if the driver then has to
return
home empty, they have to pay the fare out of their own pocket. So that is
like a self-employed cabbie, not an employee.


How do they handle the increasingly common "kiss and fly" fees at airports?


For practical purposes that is a toll incurred while carrying the
passenger(s) so they should get it repaid.

--
Graeme Wall
This account not read.


Roland Perry May 31st 19 09:50 AM

Uber and the VAT man
 
In message , at 10:04:48 on Fri, 31 May
2019, Graeme Wall remarked:
On 31/05/2019 09:49, Roland Perry wrote:
In message , at 08:24:12 on Fri, 31 May
2019, Recliner remarked:
https://www.ridester.com/uber-payment/amp/


https://www.ridesharingdriver.com/ho...-get-paid-and-
how-to-resolve-payment-errors/

Thanks for digging that out. It is just as I expected.

One thing I noticed from those is that Uber automatically repays drivers
for any tolls they have to pay when carrying fares. But not when
empty. So
if a driver carried a fare across a toll bridge/tunnel, the toll is added
to the fare and repaid to the driver. But if the driver then has to
return
home empty, they have to pay the fare out of their own pocket. So that is
like a self-employed cabbie, not an employee.

How do they handle the increasingly common "kiss and fly" fees at
airports?


For practical purposes that is a toll incurred while carrying the
passenger(s) so they should get it repaid.


If they drop off and collect at the same time (within a window for which
there's a non-excruciating parking fee), do both passengers pay the
whole amount, each pay half, etc etc.

Given that Uber is supposed to quote a charge before you start the trip,
would they only be able to levy the absolute minimum fee on each
individual pax (rather than what it cost the driver)?
--
Roland Perry

Graeme Wall May 31st 19 11:32 AM

Uber and the VAT man
 
On 31/05/2019 10:50, Roland Perry wrote:
In message , at 10:04:48 on Fri, 31 May
2019, Graeme Wall remarked:
On 31/05/2019 09:49, Roland Perry wrote:
In message , at 08:24:12 on Fri, 31 May
2019, Recliner remarked:
https://www.ridester.com/uber-payment/amp/


https://www.ridesharingdriver.com/ho...-get-paid-and-
how-to-resolve-payment-errors/

Thanks for digging that out. It is just as I expected.

One thing I noticed from those is that Uber automatically repays
drivers
for any tolls they have to pay when carrying fares. But not when
empty. So
if a driver carried a fare across a toll bridge/tunnel, the toll is
added
to the fare and repaid to the driver. But if the driver then has to
return
home empty, they have to pay the fare out of their own pocket. So
that is
like a self-employed cabbie, not an employee.
Â*How do they handle the increasingly common "kiss and fly" fees at
airports?


For practical purposes that is a toll incurred while carrying the
passenger(s) so they should get it repaid.


If they drop off and collect at the same time (within a window for which
there's a non-excruciating parking fee), do both passengers pay the
whole amount, each pay half, etc etc.

Given that Uber is supposed to quote a charge before you start the trip,
would they only be able to levy the absolute minimum fee on each
individual pax (rather than what it cost the driver)?


Probably

--
Graeme Wall
This account not read.


JNugent[_5_] May 31st 19 11:22 PM

Uber and the VAT man
 
On 30/05/2019 17:01, Recliner wrote:
JNugent wrote:
On 30/05/2019 15:41, Roland Perry wrote:


JNugent remarked:

Â*The turnover for someone like Uber or TheTrainline being the
commissionÂ* element, not including the money that passes straight
through to theÂ* drivers and Train Companies respectively.

If Uber only received a commission or circuit fee from the driver,
that would be correct and I would certainly not argue with your
proposition.

But how can that correct be in the circumstance where they also turn
over the whole of the fare collected from the passenger
(account-holder) on the spot?

Do they, and send the driver an invoice for their commission later (end
of the month perhaps)?


I assume your "Do they..." was a request for confirmation of what I said.

Yes, Uber do collect the whole of the fare.

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.


There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


....and?

That would nudge them a bit closer to being perceived by the passenger
as a cab company, rather than a booking agent for the driver.


The passenger's view isn't important anyway, but even so, it's hard to
see how "knowing" that Uber issue invoices to drivers [if that were the
case, for which there is no evidence] would affect passengers' opinion
of Uber.

I don't think credit card companies include the total value of
thingsÂ* purchased with their cards in their turnover. But they do
collect theÂ* money from buyers, deduct a commission, they pay the
balance to
vendors. And like no doubt Uber, they don't pay the whole amount
outÂ* andÂ* then send an invoice asking for the commission back
whenever theÂ* traderÂ* feels like it.

I don't now about you, but I pay money to my credit card issuers.
Â*That's what I wrote. They collect the money you pay to them, and
channelÂ* it through to the merchants.

They don't pay money to me.

Â*I didn't suggest they did. They pay money to merchants. But that's
moneyÂ* from you to the merchant, and isn't part of the card issuer's
turnover.

Indeed. They are financial trading entities operating as registered /
recognised banks licenced by the state. They lend money (part of their
capital assets) and only the fees and charges they receive are their
turnover.

They lend money to the buyer (at zero interest rate if they pay it off
on demand). They don't lend money to the merchant.

Does that apply to Uber?

And TheTrainline, does the train company get paid for the ticket
straight away, or does TTL have 30day (or whatever) credit with them
all. Whatever the answer, their turnover in their published accounts is
just the commission/fee element.


But they are not Uber. And Uber are going to have to argue that the
money they turn over is not part of their turnover.

Just to be clear about this: if an individual self-employed taxi-driver
(or private hire driver) turned over £85,000 and were honest enough to
report the fact, they would be forced by law to register for VAT and to
charge it on top of the fare.

But turning over £1808 a week (assuming five weeks' non-activity per
annum) would be a tall order. Not so for Uber.


JNugent[_5_] May 31st 19 11:23 PM

Uber and the VAT man
 
On 30/05/2019 17:26, Tim Woodall wrote:
On 2019-05-30, Recliner wrote:

Yes, Uber do collect the whole of the fare.

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.


There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


Doesn't this hinge on whether uber are agent or principal?

Here's a related case that went all the way to the court of appeal.
https://www.kwm.com/en/uk/knowledge/...gents-20160101

I don't think the billing matters. If I appoint you as my agent to
collect monies due to me and agree to pay you 10% of whatever you
collect then your turnover is the 10% and mine is 100% regardless of
whether, and how, the 10% ends up in my account and the 90% ends up in
mine.


"If".

JNugent[_5_] May 31st 19 11:26 PM

Uber and the VAT man
 
On 31/05/2019 09:24, Recliner wrote:
Roland Perry wrote:
In message , at 16:01:55 on Thu, 30 May
2019, Recliner remarked:

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.

There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/how-do-uber-drivers-get-paid-and-how-to-resolve-payment-errors/


Thanks for digging that out. It is just as I expected.


One thing I noticed from those is that Uber automatically repays drivers
for any tolls they have to pay when carrying fares. But not when empty. So
if a driver carried a fare across a toll bridge/tunnel, the toll is added
to the fare and repaid to the driver. But if the driver then has to return
home empty, they have to pay the fare out of their own pocket. So that is
like a self-employed cabbie, not an employee.


Taxi fare schedules with which i am familiar specify that any toll on
the outward journey is doubled, so as to cater for the return journey.

So that's a difference where Uber is concerned, not a similarity.

Roland Perry June 1st 19 06:51 AM

Uber and the VAT man
 
In message , at 00:26:56 on Sat, 1 Jun
2019, JNugent remarked:
On 31/05/2019 09:24, Recliner wrote:
Roland Perry wrote:
In message , at 16:01:55 on Thu, 30 May
2019, Recliner remarked:

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.

There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/ho...vers-get-paid-
and-how-to-resolve-payment-errors/

Thanks for digging that out. It is just as I expected.

One thing I noticed from those is that Uber automatically repays
drivers
for any tolls they have to pay when carrying fares. But not when empty. So
if a driver carried a fare across a toll bridge/tunnel, the toll is added
to the fare and repaid to the driver. But if the driver then has to return
home empty, they have to pay the fare out of their own pocket. So that is
like a self-employed cabbie, not an employee.


Taxi fare schedules with which i am familiar specify that any toll on
the outward journey is doubled, so as to cater for the return journey.

So that's a difference where Uber is concerned, not a similarity.


Following up on a question I asked earlier, I see that the biggest firm
in my locality has as T&C:

All fares are quoted in Pounds (£) Sterling GBP. The pick up
fare includes initial 30 minutes waiting time, car parking fees,
motorway toll fees and any congestion charges.

But then kind of contradicts itself (drop-off fees are really a parking
charge for the drop-off area, being metered by time) with:

Stansted Airport and London Luton Airport have introduced a drop
off fee to drivers on exiting the airport drop off area, this
fee is currently set at £3.50[1] for Stansted and £3.00 for
Luton. This is an addition(sic) charge to the listed pricing.

The pick-up area at Stansted is a bus-ride away from the terminal
building, which is a bit inconvenient if you've ordered a taxi. Luton
airport describes its premium facility as both pick-up and drop-off.
Birmingham airport (like Stansted) as only drop-off, but I've been
picked up there by taxis.

[1] According to the airport it's £4 for the first 10 minutes, then
£1/minute.
--
Roland Perry

Recliner[_3_] June 1st 19 10:25 AM

Uber and the VAT man
 
Roland Perry wrote:
In messge k, at
16:26:38 on Thu, 30 May 2019, Tim Woodall
remarked:
Doesn't this hinge on whether uber are agent or principal?

Here's a related case that went all the way to the court of appeal.
https://www.kwm.com/en/uk/knowledge/...gents-20160101


That's saying MedHotels wasn't acting simply as a conduit for
orders/money but was doing much more, being a self-contained
holiday-business with payments to hotels being imply one of its
overheads.

I don't think the billing matters. If I appoint you as my agent to
collect monies due to me and agree to pay you 10% of whatever you
collect then your turnover is the 10% and mine is 100% regardless of
whether, and how, the 10% ends up in my account and the 90% ends up in
mine.


Yes, TheTrainline is acting as agent for the TOCs, and their turnover is
only the 10% [well, 8% actually].

TheTrainline isn't a tour operator, in the sense of buying lots of
London-Manchester Open Returns off Virgin, and then hoping customers
will turn up and buy them. It's just a real-time conduit for orders.

Similarly, Uber doesn't pre-buy driver-hours (or driver-miles) from the
cabbies, and then hope it can sell them. It's just a real-time conduit
for orders.


And now there's another contender, prepared to make even bigger losses in
the quest for market sha
https://www.thetimes.co.uk/article/rival-app-kapten-aims-to-drive-uber-off-the-road-as-cab-price-war-begins-ql50hf2d3?shareToken=ae520e4dc8d61cbc54da17360bf58 ba6

This story mentions that Uber now takes a 35% commission from new drivers.



Roland Perry June 1st 19 07:12 PM

Uber and the VAT man
 
In message , at 10:25:49 on Sat, 1 Jun 2019,
Recliner remarked:

And now there's another contender, prepared to make even bigger losses in
the quest for market sha
https://www.thetimes.co.uk/article/r...n=ae520e4dc8d6
1cbc54da17360bf58ba6

This story mentions that Uber now takes a 35% commission from new drivers.


£7.50/hr [Uber driver quoted] and providing your own car, doesn't seem
like it's worth it to me.

But I don't think Amazon delivery drivers have a much better deal.
--
Roland Perry

Recliner[_3_] June 1st 19 10:37 PM

Uber and the VAT man
 
Roland Perry wrote:
In message , at 10:25:49 on Sat, 1 Jun 2019,
Recliner remarked:

And now there's another contender, prepared to make even bigger losses in
the quest for market sha
https://www.thetimes.co.uk/article/r...n=ae520e4dc8d6
1cbc54da17360bf58ba6

This story mentions that Uber now takes a 35% commission from new drivers.


£7.50/hr [Uber driver quoted] and providing your own car, doesn't seem
like it's worth it to me.


That's why only immigrants will do it. It's probably a step up from a car
wash.


But I don't think Amazon delivery drivers have a much better deal.


No, I suppose not.

At least Amazon drivers now turn up in smart newish (unmarked) vans, not
beaten-up private cars, like some other couriers. They also don't seem to
have impossible delivery rounds, as they nearly always turn up on the right
day, and don't falsely pretend they've attempted a delivery when they
haven't (unlike Parcelforce).


Roland Perry June 2nd 19 07:45 AM

Uber and the VAT man
 
In message , at 22:37:39 on Sat, 1 Jun 2019,
Recliner remarked:
Roland Perry wrote:
In message , at 10:25:49 on Sat, 1 Jun 2019,
Recliner remarked:

And now there's another contender, prepared to make even bigger losses in
the quest for market sha

https://www.thetimes.co.uk/article/r...s-to-drive-ube
r-off-the-road-as-cab-price-war-begins-ql50hf2d3?shareToken=ae520e4dc8d6
1cbc54da17360bf58ba6

This story mentions that Uber now takes a 35% commission from new drivers.


£7.50/hr [Uber driver quoted] and providing your own car, doesn't seem
like it's worth it to me.


That's why only immigrants will do it. It's probably a step up from a car
wash.

But I don't think Amazon delivery drivers have a much better deal.


No, I suppose not.

At least Amazon drivers now turn up in smart newish (unmarked) vans,


That may be a regional thing. My Amazon deliveries are still mainly
arriving in a beaten up and rattley ten year old car-based diesel van.
But is unmarked (by signage, anyway)

not beaten-up private cars, like some other couriers. They also don't
seem to have impossible delivery rounds, as they nearly always turn up
on the right day, and don't falsely pretend they've attempted a
delivery when they haven't (unlike Parcelforce).


I expect the Amazon drivers are tracked by their handheld devices which
may forbid the issuing of a "missed delivery" unless they are physically
on the doorstep.

The "silently post a card through the letterbox" syndrome is different,
and is more likely to be caused by the driver discovering the parcel o
his delivery list isn't in his van after all, but he has to register an
attempted delivery to make his quota. Amazon is likely better at
ensuring the vans are properly loaded at the depot.
--
Roland Perry

[email protected] June 2nd 19 08:14 AM

Uber and the VAT man
 
On Sun, 2 Jun 2019 08:45:55 +0100
Roland Perry wrote:
In message , at 22:37:39 on Sat, 1 Jun 2019,
Recliner remarked:
Roland Perry wrote:
In message , at 10:25:49 on Sat, 1 Jun 2019,
Recliner remarked:

And now there's another contender, prepared to make even bigger losses in
the quest for market sha

https://www.thetimes.co.uk/article/r...s-to-drive-ube
r-off-the-road-as-cab-price-war-begins-ql50hf2d3?shareToken=ae520e4dc8d6
1cbc54da17360bf58ba6

This story mentions that Uber now takes a 35% commission from new drivers.

£7.50/hr [Uber driver quoted] and providing your own car, doesn't seem
like it's worth it to me.


That's why only immigrants will do it. It's probably a step up from a car
wash.

But I don't think Amazon delivery drivers have a much better deal.


No, I suppose not.

At least Amazon drivers now turn up in smart newish (unmarked) vans,


That may be a regional thing. My Amazon deliveries are still mainly
arriving in a beaten up and rattley ten year old car-based diesel van.
But is unmarked (by signage, anyway)

not beaten-up private cars, like some other couriers. They also don't
seem to have impossible delivery rounds, as they nearly always turn up
on the right day, and don't falsely pretend they've attempted a
delivery when they haven't (unlike Parcelforce).


I expect the Amazon drivers are tracked by their handheld devices which
may forbid the issuing of a "missed delivery" unless they are physically
on the doorstep.

The "silently post a card through the letterbox" syndrome is different,
and is more likely to be caused by the driver discovering the parcel o
his delivery list isn't in his van after all, but he has to register an
attempted delivery to make his quota. Amazon is likely better at
ensuring the vans are properly loaded at the depot.


That problem is easily solved by visiting a shop and buying the goods there.
When you have a full time job you can't wait in for some oik in a van to show
up sometime between 8am-8pm so end up collecting from the delivery office or
depot anyway. Whats the point?


Recliner[_3_] June 2nd 19 08:43 AM

Uber and the VAT man
 
Roland Perry wrote:
In message , at 22:37:39 on Sat, 1 Jun 2019,
Recliner remarked:
Roland Perry wrote:
In message , at 10:25:49 on Sat, 1 Jun 2019,
Recliner remarked:

And now there's another contender, prepared to make even bigger losses in
the quest for market sha

https://www.thetimes.co.uk/article/r...s-to-drive-ube
r-off-the-road-as-cab-price-war-begins-ql50hf2d3?shareToken=ae520e4dc8d6
1cbc54da17360bf58ba6

This story mentions that Uber now takes a 35% commission from new drivers.

£7.50/hr [Uber driver quoted] and providing your own car, doesn't seem
like it's worth it to me.


That's why only immigrants will do it. It's probably a step up from a car
wash.

But I don't think Amazon delivery drivers have a much better deal.


No, I suppose not.

At least Amazon drivers now turn up in smart newish (unmarked) vans,


That may be a regional thing. My Amazon deliveries are still mainly
arriving in a beaten up and rattley ten year old car-based diesel van.
But is unmarked (by signage, anyway)


Mine come from Hemel Hempstead.


not beaten-up private cars, like some other couriers. They also don't
seem to have impossible delivery rounds, as they nearly always turn up
on the right day, and don't falsely pretend they've attempted a
delivery when they haven't (unlike Parcelforce).


I expect the Amazon drivers are tracked by their handheld devices which
may forbid the issuing of a "missed delivery" unless they are physically
on the doorstep.


Yes, very likely. They certainly track them in real time, and so can you,
as they show them on a map when they're under ten deliveries away, and tell
you how many more they have to do before getting to you.


The "silently post a card through the letterbox" syndrome is different,
and is more likely to be caused by the driver discovering the parcel o
his delivery list isn't in his van after all, but he has to register an
attempted delivery to make his quota. Amazon is likely better at
ensuring the vans are properly loaded at the depot.


I've had more than one Parcelforce 'delivery' where no delivery was
attempted, and no postcard through the door. But on their website, they
claimed that a delivery had been attempted, and the parcel had then been
taken to the local Post Office. My guess is that the driver was running
late, and just dropped all the remaining parcels off there.


Roland Perry June 2nd 19 09:25 AM

Uber and the VAT man
 
In message , at 08:14:05 on Sun, 2 Jun
2019, remarked:
£7.50/hr [Uber driver quoted] and providing your own car, doesn't seem
like it's worth it to me.

That's why only immigrants will do it. It's probably a step up from a car
wash.

But I don't think Amazon delivery drivers have a much better deal.

No, I suppose not.

At least Amazon drivers now turn up in smart newish (unmarked) vans,


That may be a regional thing. My Amazon deliveries are still mainly
arriving in a beaten up and rattley ten year old car-based diesel van.
But is unmarked (by signage, anyway)

not beaten-up private cars, like some other couriers. They also don't
seem to have impossible delivery rounds, as they nearly always turn up
on the right day, and don't falsely pretend they've attempted a
delivery when they haven't (unlike Parcelforce).


I expect the Amazon drivers are tracked by their handheld devices which
may forbid the issuing of a "missed delivery" unless they are physically
on the doorstep.

The "silently post a card through the letterbox" syndrome is different,
and is more likely to be caused by the driver discovering the parcel o
his delivery list isn't in his van after all, but he has to register an
attempted delivery to make his quota. Amazon is likely better at
ensuring the vans are properly loaded at the depot.


That problem is easily solved by visiting a shop and buying the goods there.


Not really, even not-that-local shops don't have most of the things I
buy online. Let alone the range of choice, or open Sundays.

When you have a full time job you can't wait in for some oik in a van to show
up sometime between 8am-8pm so end up collecting from the delivery office or
depot anyway. Whats the point?


We have neighbours, and they take parcels in. Other stuff fits through
the letterbox. Larger things I tend to specify "Click and Collect", so
can fetch them as easily as if that store had the stuff on the shelves
(which it never does).
--
Roland Perry

Roland Perry June 2nd 19 09:30 AM

Uber and the VAT man
 
In message , at 08:43:44 on Sun, 2 Jun 2019,
Recliner remarked:
Roland Perry wrote:
In message , at 22:37:39 on Sat, 1 Jun 2019,
Recliner remarked:
Roland Perry wrote:
In message , at 10:25:49 on Sat, 1 Jun 2019,
Recliner remarked:

And now there's another contender, prepared to make even bigger losses in
the quest for market sha

https://www.thetimes.co.uk/article/r...s-to-drive-ube
r-off-the-road-as-cab-price-war-begins-ql50hf2d3?shareToken=ae520e4dc8d6
1cbc54da17360bf58ba6

This story mentions that Uber now takes a 35% commission from new drivers.

£7.50/hr [Uber driver quoted] and providing your own car, doesn't seem
like it's worth it to me.

That's why only immigrants will do it. It's probably a step up from a car
wash.

But I don't think Amazon delivery drivers have a much better deal.

No, I suppose not.

At least Amazon drivers now turn up in smart newish (unmarked) vans,


That may be a regional thing. My Amazon deliveries are still mainly
arriving in a beaten up and rattley ten year old car-based diesel van.
But is unmarked (by signage, anyway)


Mine come from Hemel Hempstead.


Didn't we decide here was a local hub too, it's quite a way for every
van driver on every delivery run to start from.

not beaten-up private cars, like some other couriers. They also don't
seem to have impossible delivery rounds, as they nearly always turn up
on the right day, and don't falsely pretend they've attempted a
delivery when they haven't (unlike Parcelforce).


I expect the Amazon drivers are tracked by their handheld devices which
may forbid the issuing of a "missed delivery" unless they are physically
on the doorstep.


Yes, very likely. They certainly track them in real time, and so can you,
as they show them on a map when they're under ten deliveries away, and tell
you how many more they have to do before getting to you.

That varies a lot by courier.

The "silently post a card through the letterbox" syndrome is different,
and is more likely to be caused by the driver discovering the parcel o
his delivery list isn't in his van after all, but he has to register an
attempted delivery to make his quota. Amazon is likely better at
ensuring the vans are properly loaded at the depot.


I've had more than one Parcelforce 'delivery' where no delivery was
attempted, and no postcard through the door. But on their website, they
claimed that a delivery had been attempted, and the parcel had then been
taken to the local Post Office. My guess is that the driver was running
late, and just dropped all the remaining parcels off there.


Was that the local sub-post-office counter, or the sorting office?
Usually their missed delivery card gives an option of collection from
one or the other, or a re-delivery. Something the lack of a card is
circumventing.

If it had been left behind at the depot by mistake (or put in the wrong
van) then later sending it to a sub-post-office could be their attempt
to cover their tracks.
--
Roland Perry

Recliner[_3_] June 2nd 19 09:56 AM

Uber and the VAT man
 
Roland Perry wrote:
In message , at 08:43:44 on Sun, 2 Jun 2019,
Recliner remarked:
Roland Perry wrote:
In message , at 22:37:39 on Sat, 1 Jun 2019,
Recliner remarked:
Roland Perry wrote:
In message , at 10:25:49 on Sat, 1 Jun 2019,
Recliner remarked:

And now there's another contender, prepared to make even bigger losses in
the quest for market sha

https://www.thetimes.co.uk/article/r...s-to-drive-ube
r-off-the-road-as-cab-price-war-begins-ql50hf2d3?shareToken=ae520e4dc8d6
1cbc54da17360bf58ba6

This story mentions that Uber now takes a 35% commission from new drivers.

£7.50/hr [Uber driver quoted] and providing your own car, doesn't seem
like it's worth it to me.

That's why only immigrants will do it. It's probably a step up from a car
wash.

But I don't think Amazon delivery drivers have a much better deal.

No, I suppose not.

At least Amazon drivers now turn up in smart newish (unmarked) vans,

That may be a regional thing. My Amazon deliveries are still mainly
arriving in a beaten up and rattley ten year old car-based diesel van.
But is unmarked (by signage, anyway)


Mine come from Hemel Hempstead.


Didn't we decide here was a local hub too, it's quite a way for every
van driver on every delivery run to start from.


All my deliveries are assembled and despatched from Hemel. If I'm scheduled
for early on the round, I can watch him speeding down the M1 and follow his
route through the suburbs, as he drops off the earlier parcels.

There are obviously other Amazon Logistics centres around the country.



not beaten-up private cars, like some other couriers. They also don't
seem to have impossible delivery rounds, as they nearly always turn up
on the right day, and don't falsely pretend they've attempted a
delivery when they haven't (unlike Parcelforce).

I expect the Amazon drivers are tracked by their handheld devices which
may forbid the issuing of a "missed delivery" unless they are physically
on the doorstep.


Yes, very likely. They certainly track them in real time, and so can you,
as they show them on a map when they're under ten deliveries away, and tell
you how many more they have to do before getting to you.

That varies a lot by courier.


Not with Amazon, which is what I'm describing.


The "silently post a card through the letterbox" syndrome is different,
and is more likely to be caused by the driver discovering the parcel o
his delivery list isn't in his van after all, but he has to register an
attempted delivery to make his quota. Amazon is likely better at
ensuring the vans are properly loaded at the depot.


I've had more than one Parcelforce 'delivery' where no delivery was
attempted, and no postcard through the door. But on their website, they
claimed that a delivery had been attempted, and the parcel had then been
taken to the local Post Office. My guess is that the driver was running
late, and just dropped all the remaining parcels off there.


Was that the local sub-post-office counter, or the sorting office?


Lately, with Parcelforce, it's been the local sub-post office. Royal Mail
deliveries (and they don't cheat) go back to the sorting office.


Usually their missed delivery card gives an option of collection from
one or the other, or a re-delivery. Something the lack of a card is
circumventing.


Royal Mail give the option, but not Parcelforce.


If it had been left behind at the depot by mistake (or put in the wrong
van) then later sending it to a sub-post-office could be their attempt
to cover their tracks.


Could be, but I think it's the driver(s) cheating.


JNugent[_5_] June 2nd 19 12:56 PM

Uber and the VAT man
 
On 31/05/2019 08:01, Roland Perry wrote:
In message , at 16:43:29 on Thu, 30
May 2019, JNugent remarked:
On 30/05/2019 15:41, Roland Perry wrote:


JNugent remarked:

Â*The turnover for someone like Uber or TheTrainline being the
commissionÂ* element, not including the money that passes straight
through to theÂ* drivers and Train Companies respectively.

If Uber only received a commission or circuit fee from the driver,
that would be correct and I would certainly not argue with your
proposition.

But how can that correct be in the circumstance where they also turn
over the whole of the fare collected from the passenger
(account-holder) on the spot?
Â*Do they, and send the driver an invoice for their commission later
(endÂ* of the month perhaps)?


I assume your "Do they..." was a request for confirmation of what I said.


I was asking for confirmation that they "turn over the whole fare
collected from the passenger, on the spot".

There's two aspects:

The whole fare, and
On the spot.

Yes, Uber do collect the whole of the fare.


No-one ever claimed otherwise. It's what they do after collecting it
which matters.

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.


Therefore you are now agreeing with my proposition that they pay the
driver only part of what they collected from the passenger. Having
deducted their commission.


Not in the slightest.

They do pay an amount to the driver. Whether that is a fixed proportion
or a flat fee based on time or mileage is more than I know. I cannot
agree that Uber pay the whole of the fare less their (Uber's) commission
to the driver for the rather obvious reason that I do not know it to be
true.

Whether they pay it "on the spot", or perhaps 'at the end of the week'
or whatever, is peripheral to that particular aspect.


Is it? If you say so. I'm not convinced.

That would nudge them a bit closer to being perceived by the
passengerÂ* as a cab company, rather than a booking agent for the driver.


The passenger's view isn't important anyway, but even so, it's hard to
see how "knowing" that Uber issue invoices to drivers [if that were
the case, for which there is no evidence] would affect passengers'
opinion of Uber.


There are two models possible:

Â* Passenger pays for the ride and the whole fare is collected by Uber
Â* and sent to the driver (with Uber being in effect just a form of
Â* merchant services dealing with the card payment). Later, Uber sends a
Â* bill to the driver for his usage of their booking/billing platform.

Or,

Â* Passenger pays Uber for the ride, and they send him (maybe
Â* immediately, maybe later) a piecework payment for having done the
Â* driving aspect.


True enough. In either csae, Uber turns over the whole of the fare.

The perceptual difference being whether the passenger has just
patronised a self-employed driver, or a multi-billion cab company.


The only perception that matters is that of HMRC (and eventually,
perhaps, the courts).

TheTrainline, does the train company get paid for the ticket
straight away, or does TTL have 30day (or whatever) credit with them
all. Whatever the answer, their turnover in their published accounts
is just the commission/fee element.


But they are not Uber. And Uber are going to have to argue that the
money they turn over is not part of their turnover.


The two business models are very similar.


Not at all. Does Trainline get 100% of the turnover of the TOCs running
through its accounts?

Uber certainly gets 100% of its own turnover passing through its books.

Just to be clear about this: if an individual self-employed
taxi-driver (or private hire driver) turned over £85,000 and were
honest enough to report the fact, they would be forced by law to
register for VAT and to charge it on top of the fare.

But turning over £1808 a week (assuming five weeks' non-activity per
annum) would be a tall order. Not so for Uber.


Yes, I think we all understand why the £85k is important.


Uber have to collect and pay VAT (this is not automatically so for other
private hire drivers, proprietors or operators). The question is only
the quantum of their turnover.


JNugent[_5_] June 2nd 19 01:03 PM

Uber and the VAT man
 
On 01/06/2019 07:51, Roland Perry wrote:
In message , at 00:26:56 on Sat, 1 Jun
2019, JNugent remarked:
On 31/05/2019 09:24, Recliner wrote:
Roland Perry wrote:
In message , at 16:01:55 on Thu, 30 May
2019, Recliner remarked:

I don't know what form their subsequent internal accounting procedures
take, but if it were their practice to issue invoices to the driver, I
strongly suspect that we would have heard about that by now.

There's no need to speculate: Uber operates a weekly billing cycle,
Mon-Mon, and issues statements to drivers on Tuesdays. Their net money,
after User's fee, is then transferred to their accounts on Wednesday.

https://www.ridester.com/uber-payment/amp/

https://www.ridesharingdriver.com/ho...vers-get-paid-
and-how-to-resolve-payment-errors/

Thanks for digging that out. It is just as I expected.
One thing I noticed from those is that Uber automatically repays
drivers
for any tolls they have to pay when carrying fares. But not when empty. So
if a driver carried a fare across a toll bridge/tunnel, the toll is added
to the fare and repaid to the driver. But if the driver then has to return
home empty, they have to pay the fare out of their own pocket. So that is
like a self-employed cabbie, not an employee.


Taxi fare schedules with which i am familiar specify that any toll on
the outward journey is doubled, so as to cater for the return journey.

So that's a difference where Uber is concerned, not a similarity.


Following up on a question I asked earlier, I see that the biggest firm
in my locality has as T&C:


I wasn't talking about the policies of a "firm".

I was describing the law, as provided by regulation and local by-law,
made, as the case may be, under the Metropolitan Public Carriage Act
1869 (as amended), the Town Police Clauses Act 1847 and/or the Local
Government (Miscellaneous Provisions) Act 1976.

As I am sure you know, the law does not prescribe or control the charges
made by the drivers or operators of private hire cars (including Uber).
It only controls the fares of taxis. The private hire industry may
charge what it likes (subject to martket conditions).

All fares are quoted in Pounds (£) Sterling GBP. The pick up
fare includes initial 30 minutes waiting time, car parking fees,
motorway toll fees and any congestion charges.

But then kind of contradicts itself (drop-off fees are really a parking
charge for the drop-off area, being metered by time) with:

Stansted Airport and London Luton Airport have introduced a drop
off fee to drivers on exiting the airport drop off area, this
fee is currently set at £3.50[1] for Stansted and £3.00 for
Luton. This is an addition(sic) charge to the listed pricing.


All fine. They can do as they like. There is no question of their not
being allowed to do it. They are not taxis, after all.

The pick-up area at Stansted is a bus-ride away from the terminal
building, which is a bit inconvenient if you've ordered a taxi. Luton
airport describes its premium facility as both pick-up and drop-off.
Birmingham airport (like Stansted) as only drop-off, but I've been
picked up there by taxis.

[1] According to the airport it's £4 for the first 10 minutes, then
£1/minute.


JNugent[_5_] June 2nd 19 01:11 PM

Uber and the VAT man
 
On 02/06/2019 09:14, wrote:
On Sun, 2 Jun 2019 08:45:55 +0100
Roland Perry wrote:
In message , at 22:37:39 on Sat, 1 Jun 2019,
Recliner remarked:
Roland Perry wrote:
In message , at 10:25:49 on Sat, 1 Jun 2019,
Recliner remarked:

And now there's another contender, prepared to make even bigger losses in
the quest for market sha

https://www.thetimes.co.uk/article/r...s-to-drive-ube
r-off-the-road-as-cab-price-war-begins-ql50hf2d3?shareToken=ae520e4dc8d6
1cbc54da17360bf58ba6

This story mentions that Uber now takes a 35% commission from new drivers.

£7.50/hr [Uber driver quoted] and providing your own car, doesn't seem
like it's worth it to me.

That's why only immigrants will do it. It's probably a step up from a car
wash.

But I don't think Amazon delivery drivers have a much better deal.

No, I suppose not.

At least Amazon drivers now turn up in smart newish (unmarked) vans,


That may be a regional thing. My Amazon deliveries are still mainly
arriving in a beaten up and rattley ten year old car-based diesel van.
But is unmarked (by signage, anyway)

not beaten-up private cars, like some other couriers. They also don't
seem to have impossible delivery rounds, as they nearly always turn up
on the right day, and don't falsely pretend they've attempted a
delivery when they haven't (unlike Parcelforce).


I expect the Amazon drivers are tracked by their handheld devices which
may forbid the issuing of a "missed delivery" unless they are physically
on the doorstep.

The "silently post a card through the letterbox" syndrome is different,
and is more likely to be caused by the driver discovering the parcel o
his delivery list isn't in his van after all, but he has to register an
attempted delivery to make his quota. Amazon is likely better at
ensuring the vans are properly loaded at the depot.


That problem is easily solved by visiting a shop and buying the goods there.
When you have a full time job you can't wait in for some oik in a van to show
up sometime between 8am-8pm so end up collecting from the delivery office or
depot anyway. Whats the point?


The difficulty comes in several parts. The first is finding a local shop
that stocks that DVD box set (or whatever) you want. The second is
finding it at an acceptable price, with the third being all the hassle
deliberately inflicted on people buying or collecting items at shops,
with punitive parking charges and shopping streets often not even
allowing traffic into them, etc.

A week or two back, I ordered one of those little adaptors which
converts a car's 12v port into two USB sockets (for power purposes only,
of course). I could have just picked one up at the local sub-PO, believe
it or not. But there, it was £6.99. On Amazon, it was £1.99 and having
been ordered at around 01:00, it arrived at around 15:00 the same day.

Local authorities who think they are being cute by preventing business
from being conducted are often the first to decry the death of the High
Street.

[email protected] June 2nd 19 03:51 PM

Uber and the VAT man
 
On Sun, 2 Jun 2019 10:25:48 +0100
Roland Perry wrote:
In message , at 08:14:05 on Sun, 2 Jun
2019, remarked:
That problem is easily solved by visiting a shop and buying the goods there.


Not really, even not-that-local shops don't have most of the things I
buy online. Let alone the range of choice, or open Sundays.


Unless you're buying dilithium for a warp drive you're building in your
shed I'd be rather surprised if you couldn't find it in a shop.

When you have a full time job you can't wait in for some oik in a van to show
up sometime between 8am-8pm so end up collecting from the delivery office or
depot anyway. Whats the point?


We have neighbours, and they take parcels in. Other stuff fits through


Yeah, and then when you go and collect them the neighbours are out or, as
happened to my wife a few years back, they'd gone on holiday the same day and
she had to wait a week to get her parcel. Also we've stopped accepting parcels
for a certain neighbour who seems to order something every week, we're not the
bloody post office.


Roland Perry June 3rd 19 10:49 AM

Uber and the VAT man
 
In message , at 13:56:23 on Sun, 2 Jun
2019, JNugent remarked:

I don't know what form their subsequent internal accounting
procedures take, but if it were their practice to issue invoices to
the driver, I strongly suspect that we would have heard about that by now.

Therefore you are now agreeing with my proposition that they pay the
driver only part of what they collected from the passenger. Having
deducted their commission.


Not in the slightest.

They do pay an amount to the driver. Whether that is a fixed proportion
or a flat fee based on time or mileage is more than I know. I cannot
agree that Uber pay the whole of the fare less their (Uber's)
commission to the driver for the rather obvious reason that I do not
know it to be true.


Even though you've been given plausible citations which say it is true?

Whether they pay it "on the spot", or perhaps 'at the end of the
week' or whatever, is peripheral to that particular aspect.


Is it? If you say so. I'm not convinced.


Even though you've been given plausible citations which say it is true?

There are two models possible:
* Passenger pays for the ride and the whole fare is collected by
Uber
* and sent to the driver (with Uber being in effect just a form of
* merchant services dealing with the card payment). Later, Uber sends a
* bill to the driver for his usage of their booking/billing platform.
Or,
* Passenger pays Uber for the ride, and they send him (maybe
* immediately, maybe later) a piecework payment for having done the
* driving aspect.


True enough. In either csae, Uber turns over the whole of the fare.


Now you are just being perverse. Paying the driver piece-work (if that
were the model) is absolutely not handing over the whole fare.

TheTrainline, does the train company get paid for the ticket
straight away, or does TTL have 30day (or whatever) credit with them
all. Whatever the answer, their turnover in their published accounts
is just the commission/fee element.

But they are not Uber. And Uber are going to have to argue that the
money they turn over is not part of their turnover.

The two business models are very similar.


Not at all. Does Trainline get 100% of the turnover of the TOCs running
through its accounts?


Through its bank accounts - yes. Through its trading accounts - no.

Uber certainly gets 100% of its own turnover passing through its books.


But the question is: what of the turnover of its drivers passing though
its "books", whatever the latter is supposed to mean.

Just to be clear about this: if an individual self-employed
taxi-driver (or private hire driver) turned over £85,000 and were
honest enough to report the fact, they would be forced by law to
register for VAT and to charge it on top of the fare.

But turning over £1808 a week (assuming five weeks' non-activity per
annum) would be a tall order. Not so for Uber.

Yes, I think we all understand why the £85k is important.


Uber have to collect and pay VAT (this is not automatically so for
other private hire drivers, proprietors or operators). The question is
only the quantum of their turnover.


Indeed. Is it just the commission, or also the drivers' pay.
--
Roland Perry

Roland Perry June 3rd 19 11:06 AM

Uber and the VAT man
 
In message , at 15:51:46 on Sun, 2 Jun
2019, remarked:
On Sun, 2 Jun 2019 10:25:48 +0100
Roland Perry wrote:
In message , at 08:14:05 on Sun, 2 Jun
2019,
remarked:
That problem is easily solved by visiting a shop and buying the goods there.


Not really, even not-that-local shops don't have most of the things I
buy online. Let alone the range of choice, or open Sundays.


Unless you're buying dilithium for a warp drive you're building in your
shed I'd be rather surprised if you couldn't find it in a shop.


The example which for me was a tipping point involved black cup-hooks.

Several shops (including ones with only seasonal DIY sections such as
Sainsbury's) as well as regular hardware stores, pound-stores and so on
had either chrome or white, or both. None had black. It doesn't help if
I can buy chrome cup-hooks in five shops, but black ones in none.

It's also a challenge to get spare parts, even from franchised outlets.
A few years ago I needed a new glass turntable for my Panasonic
Microwave oven, and by some miracle [do you have one nearby?] there was
a Panasonic dealer in my High Street.

They sent me packing, on the grounds that all they really wanted to sell
me was a new flat-screen TV.

A year or two previously I was "forced" to buy a Panasonic laptop by
mail order from a dealership in I think Cornwall, because it was the
only one in the whole country which had availability.

When you have a full time job you can't wait in for some oik in a van to show
up sometime between 8am-8pm so end up collecting from the delivery office or
depot anyway. Whats the point?


We have neighbours, and they take parcels in. Other stuff fits through


Yeah, and then when you go and collect them the neighbours are out or, as
happened to my wife a few years back, they'd gone on holiday the same day and
she had to wait a week to get her parcel.


Obviously the relationships with your neighbours have broken down,
otherwise situations like that wouldn't happen.

Also we've stopped accepting parcels for a certain neighbour who seems
to order something every week, we're not the bloody post office.


I'm happy to accept parcels that regularly for a neighbour who I know
will claim it as soon as they arrive back home an hour or two later. Not
so much for neighbours with a track record of waiting for several days.
--
Roland Perry

[email protected] June 3rd 19 11:20 AM

Uber and the VAT man
 
On Mon, 3 Jun 2019 12:06:40 +0100
Roland Perry wrote:
In message , at 15:51:46 on Sun, 2 Jun
2019, remarked:
Yeah, and then when you go and collect them the neighbours are out or, as
happened to my wife a few years back, they'd gone on holiday the same day and
she had to wait a week to get her parcel.


Obviously the relationships with your neighbours have broken down,
otherwise situations like that wouldn't happen.


They broke down long before that. The problem is that these delivery guys
seem to think everyone is on good terms with their neighbour when it could
be a golden opportunity for said neighbour to screw you over.


Graeme Wall June 3rd 19 11:30 AM

Uber and the VAT man
 
On 03/06/2019 12:20, wrote:
On Mon, 3 Jun 2019 12:06:40 +0100
Roland Perry wrote:
In message , at 15:51:46 on Sun, 2 Jun
2019,
remarked:
Yeah, and then when you go and collect them the neighbours are out or, as
happened to my wife a few years back, they'd gone on holiday the same day and
she had to wait a week to get her parcel.


Obviously the relationships with your neighbours have broken down,
otherwise situations like that wouldn't happen.


They broke down long before that. The problem is that these delivery guys
seem to think everyone is on good terms with their neighbour when it could
be a golden opportunity for said neighbour to screw you over.


Why am I not surprised that Neil has trouble with his neighbours!

--
Graeme Wall
This account not read.


JNugent[_5_] June 3rd 19 02:07 PM

Uber and the VAT man
 
On 03/06/2019 11:49, Roland Perry wrote:
In message , at 13:56:23 on Sun, 2 Jun
2019, JNugent remarked:

I don't know what form their subsequent internal accounting
proceduresÂ* take, but if it were their practice to issue invoices to
the driver, IÂ* strongly suspect that we would have heard about that
by now.
Â*Therefore you are now agreeing with my proposition that they pay the
driver only part of what they collected from the passenger. Having
deducted their commission.


Not in the slightest.

They do pay an amount to the driver. Whether that is a fixed
proportion or a flat fee based on time or mileage is more than I know.
I cannot agree that Uber pay the whole of the fare less their (Uber's)
commission to the driver for the rather obvious reason that I do not
know it to be true.


Even though you've been given plausible citations which say it is true?


Lots of incompatible things might be plausible.

"Plausible" does not mean the same as "definitive".

Whether they pay it "on the spot", or perhaps 'at the end of the
week'Â* or whatever, is peripheral to that particular aspect.


Is it? If you say so. I'm not convinced.


Even though you've been given plausible citations which say it is true?


See above.

The word "plausible" used to be a weasel word attached to con-men and spivs.
Â*There are two models possible:
Â* Â* Passenger pays for the ride and the whole fare is collected by Uber
Â*Â* and sent to the driver (with Uber being in effect just a form of
Â*Â* merchant services dealing with the card payment). Later, Uber sends a
Â*Â* bill to the driver for his usage of their booking/billing platform.
Â*Or,
Â* Â* Passenger pays Uber for the ride, and they send him (maybe
Â*Â* immediately, maybe later) a piecework payment for having done the
Â*Â* driving aspect.


True enough. In either csae, Uber turns over the whole of the fare.


Now you are just being perverse. Paying the driver piece-work (if that
were the model) is absolutely not handing over the whole fare.


I realised too late that "turns over" might be misinterpreted (whether
inadvertently or mischievously) as "handed over".

I mean that all of the money taken from the CC account of the hirer is
turned over (meaning simply "taken" or "collected") by Uber.

I hope that's clearer.

TheTrainline, does the train company get paid for the ticket
straight away, or does TTL have 30day (or whatever) credit with
them all. Whatever the answer, their turnover in their published
accounts is just the commission/fee element.

But they are not Uber. And Uber are going to have to argue that the
money they turn over is not part of their turnover.
Â*The two business models are very similar.


Not at all. Does Trainline get 100% of the turnover of the TOCs
running through its accounts?


Through its bank accounts - yes. Through its trading accounts - no.


Rubbish.

That could not be true unless trainline.com were the only way of buying
a railway ticket. And it isn't.

Uber certainly gets 100% of its own turnover passing through its books.


But the question is: what of the turnover of its drivers passing though
its "books", whatever the latter is supposed to mean.


That's a matter to be decided by HMRC and/or the courts.

Just to be clear about this: if an individual self-employed
taxi-driver (or private hire driver) turned over £85,000 and were
honest enough to report the fact, they would be forced by law to
register for VAT and to charge it on top of the fare.

But turning over £1808 a week (assuming five weeks' non-activity per
annum) would be a tall order. Not so for Uber.
Â*Yes, I think we all understand why the £85k is important.


Uber have to collect and pay VAT (this is not automatically so for
other private hire drivers, proprietors or operators). The question is
only the quantum of their turnover.


Indeed. Is it just the commission, or also the drivers' pay.


Indeed. That is the question which has to be decided by an official body
(probably the Court of Appeal, in the end).

David Cantrell June 3rd 19 02:56 PM

Uber and the VAT man
 
On Sun, Jun 02, 2019 at 08:14:05AM +0000, wrote:
On Sun, 2 Jun 2019 08:45:55 +0100 Roland Perry wrote:
The "silently post a card through the letterbox" syndrome is different,
and is more likely to be caused by the driver discovering the parcel o
his delivery list isn't in his van after all, but he has to register an
attempted delivery to make his quota. Amazon is likely better at
ensuring the vans are properly loaded at the depot.

That problem is easily solved by visiting a shop and buying the goods there.
When you have a full time job you can't wait in for some oik in a van to show
up sometime between 8am-8pm so end up collecting from the delivery office or
depot anyway. Whats the point?


Taking my most recent Amazon order as an example, I probably could find
all the items in shops within a few miles, but I'd have to visit them
all in turn and spend most of Saturday doing so. Better by far to have
Amazon deliver to me. If they try to deliver while I'm out I can tell
them what day to try again (I can make sure that I'm working at home on
that day) or I can make one trip to their depot to pick everything up,
and then I can spend Saturday doing something better with my time like
cricket.

In practice, for most stuff I have them deliver to me at work, I only
have really bulky stuff delivered to me at home.

--
David Cantrell


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