22 July 2008
The Transport and Technical Services Department has announced that the cost of some paycards and season tickets has been reduced following legal advice received concerning the introduction of GST.
The cost of a single unit of parking is prescribed by the Public Parking Places Order at 54p. GST on this amount rounds up to 56p and all the subsequent unit charges were based on this latter figure. For instance, a 2 unit paycard was double a single unit paycard and this has been the convention since paycards were introduced. Monthly season tickets have always been treated in a similar way and rounded to the nearest pound.
However, TTS has subsequently discovered that this additional income resulting from rounding the price of paycards and season tickets cannot be retained in the Car Park Trading Fund or charged as GST.
John Richardson, Chief Officer of Transport and Technical Services said “The department very much regrets this error and having identified it, has taken steps to correct it as soon as possible. The advice we have now received shows that, regrettably, some Paycards, Season Tickets and Half Monthly Permits have been sold at an incorrect price since GST was introduced. The error does not relate to 1 unit paycards, but applies only to purchases of 2 or 4 Unit Paycards after 6 May 2008 and also Season Tickets and Half Monthly Permits for June and July.”
The overcharge amounts to 1p for a 2 Unit Paycard, 2p for a 4 Unit Paycard, 12p for a Half Monthly Permit and 24p for a monthly Season Ticket. The 1 unit paycard has been correctly charged at 56p.
John Richardson continued “The department will refund any overpayment as long as proof of purchase, such as a current or expired season ticket or a shop receipt, is available. These refunds can be claimed back from the Car Park Administration Office in Sand Street before 30 September 2008.
Given the number of paycards sold in any one year, it was important that we addressed this error as soon as possible. Currently approximately 5 million paycards are sold annually, of which about 4 million are 1 unit paycards which are unaffected. The department estimates that about £2,000 has been collected over and above what it can legally keep. These monies, less any refunds made to customers, will be donated to the Association of Jersey Charities and I would hope that those customers who have been unable to provide proof of purchase will at least know that their overpayment has been donated to a worthy cause.”
The amended GST inclusive prices that will be charged from today (with old prices in brackets) are:
||OLD charge |
|1 Unit Paycard
|2 Unit Paycard
|4 Unit Paycard
|Half Season Ticket