Just a VAT Dave

I just think that its a bloody liberty that you have to pay another 20% of the price on an Item just to give to the government , where as Company directors and self employed often get their firm to purchce the item and claim the VAT on it .

easy-

form you own co. & get a vat no.
 
Pay Per Mile.

Successive governments from Major onwards have been eyeing up motorway tolls, then pay per mile, but the technology to implement it does not yet exist.

Toll booths on the M25 and M6 would cause massive traffic jams, and any government implementingthis would be committing electorial suicide, and they know it.
 
easy-

form you own co. & get a vat no.

That was the basis of the Indian gold fraud of the seventies and eighties.

Set up a bullion/jewellery business in Wembley (ground zero for Indian jewellers).

Register it for VAT.

Buy a million pounds worth of gold (you don't actually get the gold, you just buy title to it, pay later). Sell it for a million quid plus VAT.

Shut down business and vanish off the face of the earth with the VAT burning a hole in your pocket..
 
Successive governments from Major onwards have been eyeing up motorway tolls, then pay per mile, but the technology to implement it does not yet exist.

Toll booths on the M25 and M6 would cause massive traffic jams, and any government implementingthis would be committing electorial suicide, and they know it.
There will be enough electronics in electric cars for the government to, at lease, dip into the manufacturers databases.
 
There will be enough electronics in electric cars for the government to, at lease, dip into the manufacturers databases.

And there'll be enough (ageing) geeks like me who'll figure out a way around it.
 
That was the basis of the Indian gold fraud of the seventies and eighties.

Set up a bullion/jewellery business in Wembley (ground zero for Indian jewellers).

Register it for VAT.

Buy a million pounds worth of gold (you don't actually get the gold, you just buy title to it, pay later). Sell it for a million quid plus VAT.

Shut down business and vanish off the face of the earth with the VAT burning a hole in your pocket..

More recently-

British Pakistani's selling mobile phones ect...
 
VAT It’s also the tax system most often under attack from organised criminals

Especially by RoPs, business/shop runs for two years, then cousin buys it. Former owner vanishes along with all money due to HMRC. Investigation is 'racist' and not done

Talking of 'racist'
Grooming Gang Report Release petition please spread it as wide as you can.


They must expect full-blown race riots and lynchings over this. What other legitimate claim could they have to it being "not in the public interest" to release their findings, other than the findings being so damning that they expect people to drive RoPs out?
 

endure

GCM
More recently-

British Pakistani's selling mobile phones ect etc

FOC :mrgreen:

SPELLING.jpg
 
Looking back (with regards to VAT) into the early 70's, there was a hidden double whammy over about 3/4 years that impacted disposable income. Decimalisation in 1971. You have to be of a "certain age" to recall the jiggery pokery retailers embarked upon to ensure their (cough) margins were preserved going from 240 pence to the pound to 100.
I managed 3 retail outlets at the time ( London & Italian quality gent's outfitters)

Clearly, we had to re-price every item. and the general "rule" was never to round down something like a tie @17s/6d, but round it up to the next even price to (cough) keep it simple. Stealth inflation you could say. As I recall, some of the top line stuff went up by over 10% overnight. Some of us might recall the "Access Card" as the first generally available credit card. That was the finger out the dyke for "buy now pay later"...which was to become the biggest domestic & budgeting housekeeping cancer ever.

There were "rules" about rounding up but policing them would have been an exercise in futility.
Then the compounding effect of VAT on top of inflated point-of-sale prices pretty much meant that Joe Public scratched his national head to try and figure why there was even more "month at the end of the money".
I vividly recall my weekly food bill ( I was earning about £26.00 P/w) went from around £5.00 or £6.00 P/w to over £8.00.Then my Glasgow-Falkirk train fares shot through the roof. In general, I found I had pretty much zero "life style" cash left. Hardly surprising the 3 Day Week & Winter of Discontent followed later.
No doubt about it, we are born free and taxed to death.
 
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The increase in your food bill had nothing to do with VAT. Food is exempt.

If decimalisation upped your food bill from £5 to£8+ your grocer was taking the piss (or really bad at maths)..
 
The increase in your food bill had nothing to do with VAT. Food is exempt.

If decimalisation upped your food bill from £5 to£8+ your grocer was taking the piss (or really bad at maths)..
Excepting foods regarded as confection ,bottled water (!) etc.
I guess I should have said "Weekly shop". Lots of confusion at the time such as Jaffa ( a cake) being VAT free, but a chocolate McVities not so.
Funny you used the term "Grocer" It was...Templeton Galbraith if you recall them?
Well before superstore era.
 
Especially by RoPs, business/shop runs for two years, then cousin buys it. Former owner vanishes along with all money due to HMRC. Investigation is 'racist' and not done
Not quite, I have freinds who work in investigations in HMRC. The problem is that (as it had been explained to me) once the business changes hands they cannot investigate that business under the new owner unless they target them specifically and under a new investigation.
By all accounts this change of hands will happen just as they are getting to the stage where that can start to get a prosecution.
One particular sideline I was told about was childcare (ok this isn't VAT). In a particular community they would have one woman who'd get herself up as doing childcare for all the others and she go paid the childcare money given by the govt, then split it with the other mums taking a cut for herself.
They knew they exact time to bail and a month or so later a new women in the community would be made childminder for them. They would then have to bin the previous investigation to start a new one.
This isn't HMRC's fault, but the way the law is laid out and annoys them just as much as it would us.
The community in question isn't asian or indeed a modern immigrant one but does like to keep itself to itself quite a bit.
 
I`ve been an unpaid tax (VAT) collector for years like most other business owners , I had a theory that it would be better to increase fuel tax by a large lump and abolish VAT , no one can fiddle the fuel tax on a grand scale that they`d have to pay on fuel .
 
That was the basis of the Indian gold fraud of the seventies and eighties.

Set up a bullion/jewellery business in Wembley (ground zero for Indian jewellers).

Register it for VAT.

Buy a million pounds worth of gold (you don't actually get the gold, you just buy title to it, pay later). Sell it for a million quid plus VAT.

Shut down business and vanish off the face of the earth with the VAT burning a hole in your pocket..
It still happens. Companies shipping full trailers around Europe working the system for the best tax pay off then returning the load to its origin
 
As discussed above VAT can be reclaimed against outputs where a business is VAT registered. So whilst the end user does foot the final bill at least the businesses do not have to pass on the full 20% accumulated all down the line.

What does cost each and every one of us is Insurance Premium Tax (IPT). Introduced at 3% (from memory) it soon multiplied and stands today at 12%. Business can not off set this so the end user pays this multiple times in the form of liability and transport insurance all down the line.

IPT is the tax that hurts most of all.
 

Gout Man

LE
Book Reviewer
For me the one of biggest cash-cow rips is fuel which levies the VAT compounded onto the fuel tax.
In essence you pay fuel tax, then VAT on fuel duty.
Basically £1.00 of fuel attracts nearly 80p for the Treasury.
28 billions in all- fuel tax receipts to HMRC in 2019 apparently.
View attachment 454345
Makes you think what they are going to do when all electric vehicles come into play.
Thats a lot of money and will probably see a backtrack from the government of the day.
 
Not quite, I have freinds who work in investigations in HMRC. The problem is that (as it had been explained to me) once the business changes hands they cannot investigate that business under the new owner unless they target them specifically and under a new investigation.
By all accounts this change of hands will happen just as they are getting to the stage where that can start to get a prosecution.
One particular sideline I was told about was childcare (ok this isn't VAT). In a particular community they would have one woman who'd get herself up as doing childcare for all the others and she go paid the childcare money given by the govt, then split it with the other mums taking a cut for herself.
They knew they exact time to bail and a month or so later a new women in the community would be made childminder for them. They would then have to bin the previous investigation to start a new one.
This isn't HMRC's fault, but the way the law is laid out and annoys them just as much as it would us.
The community in question isn't asian or indeed a modern immigrant one but does like to keep itself to itself quite a bit.

I know a hotel owner in the UK. Went a bit mental and bought a load of new , very expensive furniture for the “hotel” all VAT free. . HMRC rocked up months later and asked about every piece . O er . It’s there in my study/lounge/bedroom.

Well here is your bill then sir.
 

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