2021 Disney Vacation Club Annual Dues

[SL6827]

Is there something up with the resorts that Disney is still selling having the lowest dues?

 

[zavandor]

I've reached out to Yvonne's office to request a conversation around the official policy. I'll update everyone after I have that conversation. In the interim, if someone can help me confirm the year that this practice started, that would be helpful. Thanks.

Thank you for doing this.
I want to think there is some miscommunciation here, someone was ill informed when they replied to you. I cannot believe DVC has simply decided to keep the tax refund for the first year after a contract is sold. They have to give it back to the seller or to the new owner.
Or maybe they keep it in the balance and use it to offset the bill the next year before splitting it into a cost per point.

It would be interesting to see what happens in the opposite case. If estiamted taxes are lower than the actual taxes, does DVC pays the difference for contract sold during the year? I very much doubt that, if they debit the extra cost to the new owner, than this would be bordering criminal. Is there a case in the last 5-6 years when a resort had taxes underestimated in the budget?

 

[EM Lawrence]

I bought my first resale contract this year and reimbursed the seller for 2020 dues. So I’m following this thread with great interest. Thank you to those of you who are doing the investigation.

 

[jimim]

I have not read it all yet but remember what they said is that the dues would be credited from 2020.

2021 budgets would not include that. But, when the bill actually comes, that is where you’d see the credit. So, I’m waiting to see if we see that somewhere.

But, I notice that the rise at RIV is smaller which means other resorts with larger changes will be closing that gap.

a credit? An actual credit? Not a “oh the check is in the mail, but now we lost it, so now we need to research it. It will next here some time 2022” like the season pass horror.

 

[Sandisw]

a credit? An actual credit? Not a “oh the check is in the mail, but now we lost it, so now we need to research it. It will next here some time 2022” like the season pass horror.

Lol. Yes, they indicated that if there was a credit due to closings they would give it to owners vs putting in capital reserves which is what normally happens

Not expecting it to be much at all. I am guessing less than the rise of 2021 dues except for VGC and AUL which may see a larger amount.

 

[EM Lawrence]

Any updates on this?

 

[Sandisw]

Any updates on this?

No news on anything regarding the dues. I don’t expect we will get info until after the annual meeting on Dec 10th,

I have not gotten a response yet about why the housekeeping charge for RIV is so much higher than the others,

I am going to send another email on Tuesday as that will be 2 weeks.

 

[Bing Showei]

I'm still waiting to hear back from Member Accounting after being bounced by Yvonne's office. They're convinced this is a Member Accounting question. I'm not so sure.

I'll gladly update the community as soon as I speak with someone at Disney.

In the interim, if anyone who bought a resale contract between 2010 and 2017 can take two minutes and help me out, it would be hugely appreciated.

At the bottom of this earlier post, I provide instructions on how to look at your tax history. I'm interested in seeing the oldest activity on your account (should be around December the year you closed); this should reveal when transferred contracts stopped being credited. Please PM me.

The more information I have when I speak to Disney, the more helpful it would be. Thanks.

 

[mort1331]

Transaction Detail
Sort by:
Oldestundefined

Transaction Date	Activity	Payment Type	Amount	Balance
Dec 16, 2014	Charge	Annual Dues Billing	$806.04	$806.04
Dec 16, 2014	Adjustment	Estimated Taxes	$228.94	$1,034.98
Jan 08, 2015	Charge	Annual Dues Billing	$806.04	$1,841.02
Jan 08, 2015	Adjustment	Adjustment Debit	$806.04	$1,034.98
Jan 08, 2015	Adjustment	Estimated Taxes	$228.94	$1,263.92
Jan 08, 2015	Adjustment	Tax Adjustment	$228.94	$1,034.98
Jan 23, 2015	Payment	Direct Debit	$86.23	$948.75

Dec 15, 2013	Adjustment	Billing Adjustment	$9.22	-$9.22
Dec 15, 2013	Charge	Annual Dues Billing	$1,717.68	$1,708.46
Dec 15, 2013	Payment	Cash/Check	$9.22	$1,699.24
Dec 15, 2013	Adjustment	Adjustment Debit	$858.84	$840.40
Dec 15, 2013	Adjustment	Estimated Taxes	$435.62	$1,276.02
Dec 15, 2013	Adjustment	Reapply Payment	$18.44	$1,294.46
Dec 15, 2013	Adjustment	Overpayment Debit	$9.22	$1,285.24
Dec 15, 2013	Adjustment	Tax Adjustment	$213.20	$1,072.04
Jan 15, 2014	Payment	Direct Debit	$89.35	$982.69

here are 2 older ones for me. As you can see they credited myself the taxes, not the seller.
I dont know if this helps ya all

 

[Bing Showei]

here are 2 older ones for me. As you can see they credited myself the taxes, not the seller.
I dont know if this helps ya all

This is hugely helpful. Thank you for taking the time to do this.

If I’m reading this correctly, and please someone correct me if I’m not, but it appears that in 2014, the policy was changed. In 2013, it appears you were credited with the over tax payment ($9.22).

However, on your 2014 resale purchase, that tax adjustment is absent, and you paid only dues owed ($1,034.98), which was comprised of two parts, $806.04 for dues and $228.94 for estimated 2015 taxes. There was no adjustment for any over/under payment for 2014 taxes paid by the previous owners.

By posting this, I think you’ve identified that the year this policy change occurred in 2014.

I had a conversation with a manager in Member Accounting who confirmed that she also sees a gap in accounting for these tax over/under payments on the transfer year of my resale contract in 2017. This is now being researched, as she agrees that clarity around how these tax over/under payments are reconciled should be made available to the membership.

I’ll update as I get more information. Thanks again for posting these numbers, mort1331.

If anyone else who bought in 2013 and 2014 can confirm the tax adjustment situation on their contract, please do PM me. Thanks.

 

[Ronaldo17]

Transaction Detail
Sort by:
Oldestundefined

Transaction Date	Activity	Payment Type	Amount	Balance
Dec 16, 2014	Charge	Annual Dues Billing	$806.04	$806.04
Dec 16, 2014	Adjustment	Estimated Taxes	$228.94	$1,034.98
Jan 08, 2015	Charge	Annual Dues Billing	$806.04	$1,841.02
Jan 08, 2015	Adjustment	Adjustment Debit	$806.04	$1,034.98
Jan 08, 2015	Adjustment	Estimated Taxes	$228.94	$1,263.92
Jan 08, 2015	Adjustment	Tax Adjustment	$228.94	$1,034.98
Jan 23, 2015	Payment	Direct Debit	$86.23	$948.75

Dec 15, 2013	Adjustment	Billing Adjustment	$9.22	-$9.22
Dec 15, 2013	Charge	Annual Dues Billing	$1,717.68	$1,708.46
Dec 15, 2013	Payment	Cash/Check	$9.22	$1,699.24
Dec 15, 2013	Adjustment	Adjustment Debit	$858.84	$840.40
Dec 15, 2013	Adjustment	Estimated Taxes	$435.62	$1,276.02
Dec 15, 2013	Adjustment	Reapply Payment	$18.44	$1,294.46
Dec 15, 2013	Adjustment	Overpayment Debit	$9.22	$1,285.24
Dec 15, 2013	Adjustment	Tax Adjustment	$213.20	$1,072.04
Jan 15, 2014	Payment	Direct Debit	$89.35	$982.69

here are 2 older ones for me. As you can see they credited myself the taxes, not the seller.
I dont know if this helps ya all

Looks like you found it, last credit was in 2013, good job buddy!

 

[KAT4DISNEY]

If anyone else who bought in 2013 and 2014 can confirm the tax adjustment situation on their contract, please do PM me. Thanks.

Sorry but apparently I took a couple of years off from resale purchases. However in surrounding years I found this -

Resale purchase in 2008 - received a tax credit back for that year.
Resale purchased in 2011 - was charged the tax shortfall.
Resale purchased in 2012 - received the tax credit back.
Resale purchased in 2018 at 2 locations - no adjustment received but there were tax credits due back for both locations.

Sold a couple of contracts in 2010/2011 and of course did not receive any credits nor charges for tax differences.

I must say I'm also disappointed in myself for not noticing the lack of the credit on the most recent purchases and not very happy with DVC about it.

 

[wishicouldgomoreofte]

Maybe i'm slightly odd here, but i always budget / account for a 5% increase when looking to work out how much i need to save each month for next years dues...

I SO WISH I could have a gingerbread latte! (your signature)

 

[gisele2]

I confirmed with member accounting this morning that owners who acquire a contract on the resale market, irrespective of whether or not they compensated the seller for dues, will not receive any credit adjustments for either tax overestimations, or interestingly, resort closures (she had volunteered this last bit without my prompting - not sure how much to read into that).

At some point in the past, as late as 2012, this was not the case and whoever held the deed indeed received the tax credit.

But it appears at some point between 2012 and 2017, Disney guidance has changed and every transfer of a deed essentially means extra money that Disney pockets.

While on an individual basis this is not significant, given the volume of resale contracts that change hands annually, cumulatively, the tax overestimations due to the membership is not an insignificant amount. This should not be Disney's to keep.

This raises the ethical question of how DVCMC not refunding the seller (original owner) or the buyer (new owner) serves to benefit the membership and calls into question the organizations willingness to quietly change this guidance.

It was suggested that I email member accounting for more information and I've done that, but this is pretty sketchy.

Disney had a process in place to credit the current deed holder and actively made a choice to cease that practice without accounting for where the money goes.

So even if my contract states that I will receive the credit for 2020 ( if there is one) Disney will keep the money because I am a new owner ?

 

[KAT4DISNEY]

So even if my contract states that I will receive the credit for 2020 ( if there is one) Disney will keep the money because I am a new owner ?

That's actually different than what has been going on which is a property tax true up. The other that I think you are referencing is supposed to be an operating expense credit back which has never been done before that I'm aware of. We don't yet know what DVC had planned for that with those who have purchased resale in 2020.

 

[gisele2]

That's actually different than what has been going on which is a property tax true up. The other that I think you are referencing is supposed to be an operating expense credit back which has never been done before that I'm aware of. We don't yet know what DVC had planned for that with those who have purchased resale in 2020.

Thanks for the clarification.

 

[jbh275]

Dues are averaging 5%. VGF will break $10 in 10 years.

 

[gisele2]

Question from a rooky DVC member, if I want to pay with disney gift cards my annual dues, can I do it online or, do I have to call CM?

 

[RoseGold]

Dues are averaging 5%. VGF will break $10 in 10 years.

Why would you say that? VGF has historically been among the lowest with the slowest growth. I'd bet AKL or RIV to hit $10 before VGF.

 

[RivShore]

Question from a rooky DVC member, if I want to pay with disney gift cards my annual dues, can I do it online or, do I have to call CM?

You can pay with gift cards online.