We want to create a greener future together with you: to make sure steps we take to overcome the economic crisis don’t neglect the climate crisis. That’s why we don’t pass on the local VAT reduction in Germany, but invest in the future. That’s the Greener Deal.
Why our prices remain stable.
The German government has decided to temporarily reduce VAT by 3%, from 19% to 16%. If passed on, this would mean prices would go down by approx. 2.5% for customers in Germany.
The challenge: short-term steps we take to overcome the economic crisis shouldn’t neglect the future. We believe now is the time to invest in the ecological future. At ARMEDANGELS we wondered how we can make a difference that could contribute to the fight against climate change. We will not pass on the effect of VAT reduction. Instead we make a deal with our customers: The Greener Deal.
Investing in the future: This is The Greener Deal
Our prices remain stable, but we will donate the difference to organisations that fight climate change and environmental crises. The only notable effect for our customers is that we continue fighting for a better planet- just like we’ve been doing for the past 13 years.
3% for our future. That is our Greener Deal.
Who will benefit from The Greener Deal?
For the next 6 months, while the VAT reduction is in place, we’re planning to support different non-profit organisations and initiatives that are engaged in fighting climate change and environmental crises. In September, 2.5%* of our Webshop revenue created in Germany will go to the Foundation Conservation Carpathia. The foundation is committed to the conservation and restoration of the natural Carpathian ecosystem for the benefit of biodiversity by acquiring, protecting and administrating forests and natural grasslands.
In the month of September, 2.5% of our webshop revenue are donated to the Foundation Conservation Carpathia. The foundation is committed to the conservation and restoration of the natural Carpathian ecosystem for the benefit of biodiversity by acquiring, protecting and administrating forests and natural grasslands.
Frequently asked questions
VAT is a national consumption tax that is only applied by and in the country in which a product is supplied or a service is provided. Accordingly, the German value added tax is only applicable to deliveries and services in Germany. For our Greener Deal this means - the gross prices remain the same, no matter if you live in Germany or anywhere else.
So, now let's do the math: The value added tax is always included in the gross prices shown, it is simply added to the net price by the retailer. For example, 19% value-added tax on a denim for €100 net price means that another 19% = €19 is added. The gross price is then €119, and the retailer pays the VAT to the tax office and does not keep it himself.
With 16% VAT, the difference between €119 and €116 is a reduction and saving of €3 or about 2.5%.
Our prices remain the same. The difference of 2.5% on our webshop sales in Germany will be donated as part of our green deal.
This model will also come to an end when the economic stimulus package ends. However, we are already considering how to continue in the long term.
No, because although we do not pass on the reduction in VAT 1:1 to our customers in Germany, we do not keep the savings for ourselves either. But if there is a marketing effect in the sense that the issue of combating climate change is receiving more attention in this context, we will gladly take it with us.
No, the amount will only be calculated and donated after the return period.