the linden dollar.

[xBaeBeex]

 

so i was just looking at the linden price converted to australian dollars, and the us price on google to aus.

in particular the 99 annual premin fee... can someone explain these to me?

 

below are the images i have taken from the marketplace of 99 dollars and then 99 dollars on google. .. 

the green image is my actual bank statement from this year that i paid for the annual plan.. i just want to know how this all works. 

 

 

[Chaser Zaks]

Second Life is subject to VAT and GST. What you are seeing is likely a 20% VAT/GST being applied, plus the transaction fee from the bank or credit company. In AUD, the transaction costs 136.12 AUD, with 13.61 AUD in GST. That'd leave 6.98 AUD transaction fee from the bank or credit company.

The reason it shows as 100.49 instead of 99.00 is likely due to a 1.49 some tax or transaction fee that LL is seeing.

It is important to note that prices on the Invoice are shown in two different currencies. The "LindeX Currency Buy" and "Total now due in $" are shown in USD, while the total now due is shown in AUD.

(My math may be a bit fuzzy here, because I considered the 1.49 after the GST and banking fee math)

Edited November 6, 2020 by Chaser Zaks

[Lindal Kidd]

Well, hold on there.

The "$99 Premium Fee" has NOTHING to do with Linden Dollars.  If you want an annual Premium membership, you pay $99 USD, you do NOT buy $L.  If you're wanting a Premium membership, go to the Account section of your Dashboard page, and click the Premium Membership link there.

Your screenshot shows a buy of $L.  Any time you buy $L, a transaction fee of $1.49 USD is tacked on.  That explains the $100.49.  While a lot of European countries charge a Value Added Tax, Australia is not on LL's list of VAT countries.  Besides, VAT is not charged for purchases of $L.  I suspect the difference between your currency converter number and the number shown by LL is the addition of one or more currency conversion fees.  You could call LL Billing at 800-294-1067 and ask.

Edited November 6, 2020 by Lindal Kidd

[Charlotte Bartlett]

Hi

If you purchase a premium membership or own a Region you always pay in USD directly to Linden Lab (so no use of the LINDEX).
If you purchase in world content (e.g. hair, clothes) you need to buy Game Tokens (Linden Dollars) using the LINDEX.

Annual Premium Membership Fee

USD 99 + 10% GST = USD 108.99   
USD 108.99 x AUD Bank FX rate 1.45573921 = AUD 158.53
Final Total Cost = AUD 158.53

As FX rates are fluid and not static so on 25 June 2020 when you were charged, the market FX rate for USD/AUD sat in the region of 1.4519.   FX rates change real time whilst your bank has it's treasury desks open.   Worse case your bank made a 0.42 AUD profit from you as a small spread on the FX rate,  or just due to timing of the charge during the day,  or due to an International transaction fee (your bank can tell you which it was).

Your screenshot of the Google FX Rate is showing a 1M average FX Rate from yesterday which will never match what your bank is using.   Your bank will use a spot rate based on what it's treasury desk's rates are (it's how banks make money trading FX) - FX rates against the USD have moved considerably between 25 June and today.

LINDEX - Buying Game Tokens (Linden Dollars) for use in Second Life to purchase things (e.g. Avatar clothing)

The LINDEX is only used for buying in game tokens - "Linden Dollars" for purchase of items in Second Life (or selling any surplus you have if you need a refund on your game tokens).   The math will however follow the same methods as above for those in Australia.  However,  you will have an additional USD 1.49 added as a fee first for using the LINDEX to purchase game tokens.  The fee is larger if you sell Linden Dollars for a refund back into USD.
 

 

Edited November 6, 2020 by Charlotte Bartlett

[Charlotte Bartlett]

2 hours ago, Lindal Kidd said:

Well, hold on there.

The "$99 Premium Fee" has NOTHING to do with Linden Dollars.  If you want an annual Premium membership, you pay $99 USD, you do NOT buy $L.  If you're wanting a Premium membership, go to the Account section of your Dashboard page, and click the Premium Membership link there.

Your screenshot shows a buy of $L.  Any time you buy $L, a transaction fee of $1.49 USD is tacked on.  That explains the $100.49.  While a lot of European countries charge a Value Added Tax, Australia is not on LL's list of VAT countries.  Besides, VAT is not charged for purchases of $L.  I suspect the difference between your currency converter number and the number shown by LL is the addition of one or more currency conversion fees.  You could call LL Billing at 800-294-1067 and ask.

It was covered in a post here for the GST add on for Australians - > 

 

[Lindal Kidd]

Thanks, Charlotte.  LL needs to update their VAT pages.  Besides, I see an inconsistency here.  They say they add VAT/GST to "LindEx transaction fees", which would be the $1.49 USD fee (among others)...but I don't see it added in the screenshot the OP posted.

[Charlotte Bartlett]

45 minutes ago, Lindal Kidd said:

Thanks, Charlotte.  LL needs to update their VAT pages.  Besides, I see an inconsistency here.  They say they add VAT/GST to "LindEx transaction fees", which would be the $1.49 USD fee (among others)...but I don't see it added in the screenshot the OP posted.

I did wonder that too - However, as the screenshot is cut off so I couldn't calc to see if they did embed 10% GST.    

If the OP @xBaeBeexdoes read this and hopefully she does:

 If she goes to her account history page the transaction will show the tax amount so she can confirm there what they charged her.

+ Yes they do need to update their documentation, that's a good catch!. The blog wording as you mention specifies GST (Goods and Services Tax) but then links to a page over VAT (Value Added Tax) for other countries.   Terminology makes this tricky globally.   If any other Australian's see this posts they may be able to check a recent Linden purchase and check the account history page to clarify for us too.   I am not based in Australia so can't check myself.

This page here also needs a bit of a refresh - > http://wiki.secondlife.com/wiki/Linden_Lab_Official:Value_Added_Tax_(VAT)_Frequently_Asked_Questions#Linden_Lab_is_based_in_the_United_States._Why_are_you_charging_VAT_for_Norwegian_and_European_Residents_or_GST_for_Australian_Residents.3F

Plus this link should be removed - > http://www.house.gov/jec/news/news2006/pr109-98.pdf (it doesn't exist)

Edited November 6, 2020 by Charlotte Bartlett

[Marianne Little]

4 hours ago, Lindal Kidd said:

Well, hold on there.

The "$99 Premium Fee" has NOTHING to do with Linden Dollars.  If you want an annual Premium membership, you pay $99 USD, you do NOT buy $L.  If you're wanting a Premium membership, go to the Account section of your Dashboard page, and click the Premium Membership link there.

Your screenshot shows a buy of $L.  Any time you buy $L, a transaction fee of $1.49 USD is tacked on.  That explains the $100.49.  While a lot of European countries charge a Value Added Tax, Australia is not on LL's list of VAT countries.  Besides, VAT is not charged for purchases of $L.  I suspect the difference between your currency converter number and the number shown by LL is the addition of one or more currency conversion fees.  You could call LL Billing at 800-294-1067 and ask.

You are sure that we don't pay VAT when we purchase §L?

I know I pay VAT for tier, I only hope VAT is not tacked on purchase of §L.

[Charlotte Bartlett]

37 minutes ago, Marianne Little said:

You are sure that we don't pay VAT when we purchase §L?

I know I pay VAT for tier, I only hope VAT is not tacked on purchase of §L.

We aren't that I am aware of from when I lived in the UK.  

 Linden Dollars you are not buying from Linden Lab, but another resident.
You should see it for where you purchase services or fees directly from LL (so USD tier, Lindex Fees etc).

Edited November 6, 2020 by Charlotte Bartlett

[Lindal Kidd]

According to LL, you pay VAT on $L transactions, but only on the fees LL charges, not the $L bought or sold.  However, check your transaction details.  As I noted in my post above, it doesn't look like LL charged the OP the Australian GST on their transaction fee.