Reduce telephony costs and meet HMRC regulations
There have been some pretty ugly stories in the press telling us about companies that have fallen foul of Her Majesty’s Revenue and Customs (HMRC), where VAT has been claimed on charges incurred through personal use of business phones.
Claiming VAT on an organisation’s total phone bill, rather than just the business element, breaks current VAT regulations and can lead to a formal investigation followed by substantial fines and back-payment demands. HMRC are getting a lot tougher now, with the introduction of anti-avoidance measures and an increasing practice of looking through organisations’ transactions in detail. This makes accurate VAT reclamation a key focus for VAT registered companies.
Having access to a system which provides automatic monitoring and reporting on personal calls can take away the pain of dealing with this. Damovo Web-Bill accurately apportions and reports on personal use as well as providing other important features to help control telephony expense.
An interesting by-product of introducing a personal call monitoring system is that once users are presented with their own tally of calls every month, usage decreases – in many cases quite dramatically - often to the tune of 25%!
Experience tells us that by providing education and visibility of costs to users this is the best way to drive down usage and gain control of telephony costs. By making users accountable for how they use their phone and by providing sensible guidelines (with some flexibility) organisations will achieve the best results.
Read our Frequently Asked Questions guide for more detailed information.
Thank you to all of you who have forwarded suggestions for subsequent instalments of Interpreter, these have been duly noted. Please keep up the suggestions and feedback to talktous@damovo.com
