Misleading Advertising: Landbase Trading Co. Ltd trading as lotistar.com breaks UK advertising rules for quoting VAT-exclusive prices to consumers.
The CAP Code states “Quoted prices must include non-optional taxes, duties, fees and charges that apply to all or most buyers”. The pricing for products on lotistar.com, a fast fashion retail website, shows prices exclusive of VAT. VAT is subsequently added once payment for an advertised product has been processed through Paypal.
In order to comply with the Code, lotistar.com would need to quote their prices inclusive of VAT.
The CAP Compliance team contacted Landbase Trading Co. Ltd but, in the absence of an assurance to amend lotistar.com, took the decision on 28 February 2022 to place their company details on this section of the ASA website. These details shall remain in place until such time as Landbase Trading Co. Ltd has amended lotistar.com to comply with the CAP Code.