

New UK mobile operator donates 10% of your bill and 25% of profits to charity - EdwardQ
http://news.techworld.com/mobile-wireless/3411845/uk-mobile-network-peoples-operator-donates-quarter-of-profits-charity/

======
mooism2
This doesn't appear to be tax efficient.

They donate 10% of your bill _after VAT_ , so 8.3%. I'd actually be paying VAT
on my donation. Meanwhile the charity can't claim back my income tax on the
donation.

e.g. if my phone bill is £24/month, then £4 of that goes to the government as
VAT, and TPO passes £2 of the remaining £20 to a charity of my choice.

Alternatively, if we don't tie the charity to the phone service, then I get
charged £21.60/month for phone service (£18 + £3.60 VAT). And I can separately
give £2/month to a charity, on which they can claim back 50p/month income tax
(assuming 20% rate), so they actually get £2.50/month. (Unless they can claim
back national insurance as well?) So I would pay less, the charity would get
more, and the phone operator would do just as well... but would have to rely
solely on the "25% of profits to charity" shtick in their marketing.

