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Vat

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    #11
    What's the fuss about? It's not like you earned the VAT in the first place.

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      #12
      Originally posted by Bovvered
      What's the fuss about? It's not like you earned the VAT in the first place.
      Well, it's part of the price the end customer pays, but it is removed from the chain before it can trickle down to oneself. Theoretically if there were no VAT, the customer would pay his supplier the same amount, the supplier (who might be your client) would keep more of that, and would have more to be able to give to you (or to his suppliers, one of whome would be your client...). So in a basic supply and demand model, the demanders of your services would be better off and should be prepared to pay a higher price because they have more to pay with.

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        #13
        Originally posted by expat
        Theoretically if there were no VAT, the customer would pay his supplier the same amount, the supplier (who might be your client) would keep more of that, and would have more to be able to give to you
        How'd you work that out? All my clients know full well they can claim the VAT back from HMCE, so why would they worry about paying it?

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          #14
          Originally posted by threaded
          You want to try Denmark: 25%.

          What is better they charge it on any import. i.e. buy some books from Amazon UK and they bang another 25% on top.

          Now what was that EU ruling that said they weren't allowed to do that?
          Depends on where you buy from. They cant charge another tax on top of something you have bought in the EU because tax has already been paid HOWEVER if you buy something from america then its open season for tax collection.

          Anyone know how England is getting on with its challenge in the EU on this?

          Mailman

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