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Mick Dundee

Vat Increases To 17.5% On 01/01/2010

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For those who did not know, the reduction in Value Added Tax from 17.5% to 15% will come to an end on the 31/12/2009 and the rate will increase to its previous level of 17.5% at midnight on 1st January 2010.

Plans are being discussed to being discussed about a possible rise in VAT to a new level of 21.5% to bring us on a par with the Eurozone. Although no formal decision is thought to be taken before the General Election. The Tories and Nu Labour are both in favour of the increase to plug a hole in the public overdraft.

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For those who did not know, the reduction in Value Added Tax from 17.5% to 15% will come to an end on the 31/12/2009 and the rate will increase to its previous level of 17.5% at midnight on 1st January 2010.

Plans are being discussed to being discussed about a possible rise in VAT to a new level of 21.5% to bring us on a par with the Eurozone. Although no formal decision is thought to be taken before the General Election. The Tories and Nu Labour are both in favour of the increase to plug a hole in the public overdraft.

I'd rather they did that than increase income tax to be honest

However, I would expect that savings incentives like pension tax relief will get clobbered instead to make people spend to support the economy in favour of tax rises elsewhere

Time will tell...

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For those who did not know, the reduction in Value Added Tax from 17.5% to 15% will come to an end on the 31/12/2009 and the rate will increase to its previous level of 17.5% at midnight on 1st January 2010.

Plans are being discussed to being discussed about a possible rise in VAT to a new level of 21.5% to bring us on a par with the Eurozone. Although no formal decision is thought to be taken before the General Election. The Tories and Nu Labour are both in favour of the increase to plug a hole in the public overdraft.

Ah yes, whenever there's an unpopular policy (and whacking up tax on sales certainly qualifies) then blame it on the EC.

Still, at least it should "help fight deflation" though somehow by the end of the year as the CPI starts heading rapidly upwards I doubt they'll be able to use the tired old deflation bogeyman any more...... :lol:

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For those who did not know, the reduction in Value Added Tax from 17.5% to 15% will come to an end on the 31/12/2009 and the rate will increase to its previous level of 17.5% at midnight on 1st January 2010.

Plans are being discussed to being discussed about a possible rise in VAT to a new level of 21.5% to bring us on a par with the Eurozone. Although no formal decision is thought to be taken before the General Election. The Tories and Nu Labour are both in favour of the increase to plug a hole in the public overdraft.

Inflation we need inflation.....................

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I'd rather they did that than increase income tax to be honest

However, I would expect that savings incentives like pension tax relief will get clobbered instead to make people spend to support the economy in favour of tax rises elsewhere

Time will tell...

I agree with you on this one. (Just this one :))

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Plans are being discussed to being discussed about a possible rise in VAT to a new level of 21.5% to bring us on a par with the Eurozone. Although no formal decision is thought to be taken before the General Election. The Tories and Nu Labour are both in favour of the increase to plug a hole in the public overdraft.

This is of course rubbish, as different nations in the Eurozone have different rates of VAT. There is no common rate of VAT, just a rate band in which each country in the Eurozone has to be within.

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Thanks Mick, you say when and Ill press this button to update my T9 rate on Sage....just say when.

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Thanks Mick, you say when and Ill press this button to update my T9 rate on Sage....just say when.

You mean sage won't just push out an update to you? What kind of a service is(n't) that?

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You mean sage won't just push out an update to you? What kind of a service is(n't) that?

no, it means I can charge £25 for doing it on line for my clients.

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Have others noticed how many of the shops have rounded prices back up,following the VAT cut.

A 99.99 item in my local electrical shop dropped to £97.50 ish,but now seems to have gone back to 99.99,no doubt in January they will have a big poster outside saying "we are not implementing the VaT rise".

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For those who did not know, the reduction in Value Added Tax from 17.5% to 15% will come to an end on the 31/12/2009 and the rate will increase to its previous level of 17.5% at midnight on 1st January 2010.

Plans are being discussed to being discussed about a possible rise in VAT to a new level of 21.5% to bring us on a par with the Eurozone. Although no formal decision is thought to be taken before the General Election. The Tories and Nu Labour are both in favour of the increase to plug a hole in the public overdraft.

VAT rates in the EU must be between certain ranges I think 15% - 25%.

Are you suggesting that 21.5% would be a minimum rate European rate - or just that 21.5% is average across Europe so we would have that rate too - ?

Currently: %

Belgium 21

Bulgaria 20

Czech Republic 19

Denmark 25

Germany 19

Estonia 18

Greece 19

Spain 16

France 19

Ireland 21

Italy 20

Cyprus 15

Latvia 21

Lithuania 19

Luxembourg 15

Hungary 20

Malta 18

Netherlands 19

Austria 20

Poland 22

Portugal 20

Romania 19

Slovenia 20

Slovakia 19

Finland 22

Sweden 25

United Kingdom 15

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Plans are being discussed to being discussed about a possible rise in VAT to a new level of 21.5% to bring us on a par with the Eurozone.

That would only bring us on a par with one country: Ireland. At 15% we are currently on a par with three other countries: Luxembourg, Cyprus, and the Isle of Man.

'VAT Rates Applied in the Member States of the European Community':

http://ec.europa.eu/taxation_customs/resou...at_rates_en.pdf

'Taxation Details for the Isle of Man':

http://www.iomguide.com/taxation.php

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That would only bring us on a par with one country: Ireland. At 15% we are currently on a par with three other countries: Luxembourg, Cyprus, and the Isle of Man.

Wow , and I thought it was just us crazy enough to pay a tax on spending the money we had already been heavily taxed on when we earnt it. People are mad, they really are.

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That would only bring us on a par with one country: Ireland. At 15% we are currently on a par with three other countries: Luxembourg, Cyprus, and the Isle of Man.

'VAT Rates Applied in the Member States of the European Community':

http://ec.europa.eu/taxation_customs/resou...at_rates_en.pdf

'Taxation Details for the Isle of Man':

http://www.iomguide.com/taxation.php

I hope you are not going to allow facts to get in the way of typical Labour spin, remember how cheap our petrol prices are compared to the rest of Europe too. Repeat until you are no longer capaple of forming an opposing view.

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Have others noticed how many of the shops have rounded prices back up,following the VAT cut.

A 99.99 item in my local electrical shop dropped to £97.50 ish,but now seems to have gone back to 99.99,no doubt in January they will have a big poster outside saying "we are not implementing the VaT rise".

This is very true indeed. The change in VAT has made a mockery of the pricing of practically everything, especially the xx.99p stuff out there.

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There are also lower rates in most countries for certain goods.

In the UK, it's 5% on household gas, electric and home insulation products etc.

In Spain, there's a 7% rate I think on more staple goods such as bread, milk, vegetables etc. and in restuarants.

Incidentally, I'm sure a lot of people are unaware that there is 0% VAT on all unprepared food in the UK, meat, fruit, etc.

Edited by deflation

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There are also lower rates in most countries for certain goods.

In the UK, it's 5% on household gas, electric and home insulation products etc.

In Spain, there's a 7% rate I think on more staple goods such as bread, milk, vegetables etc. and in restuarants.

Incidentally, I'm sure a lot of people are unaware that there is 0% VAT on all unprepared food in the UK, meat, fruit, etc.

Gold is zero rated.

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I hope you are not going to allow facts to get in the way of typical Labour spin, remember how cheap our petrol prices are compared to the rest of Europe too. Repeat until you are no longer capaple of forming an opposing view.

Precisely. the government and the spin masters will rely on the fact that most member of the public will believe that there is one rate of VAT across the EU, and we are only having to be brought into line because of "Brussels"

Edited by BalancedBear

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I hope you are not going to allow facts to get in the way of typical Labour spin, remember how cheap our petrol prices are compared to the rest of Europe too. Repeat until you are no longer capaple of forming an opposing view.

Maybe you should look at the facts without parroting the latest edict from Tory Central Office. Go on look up a petrol price comparison across Europe. Dare you.

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