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stevemo

Will The Vat Rise "stick"

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I'm wondering whether the VAT rise to 20% will stick, or will it be reversed fully, or more likely, partially, down to 18.5 or 19% if shop sales drop as dramatically in 2011 as some people are predicting - it's no more than a hunch, but I'm thinking that there is a good chance of a revison in an attempt to keep us all consuming, as was done when VAT was temporarilly dropped to 15%. Thoughts, anyone.

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I'm wondering whether the VAT rise to 20% will stick, or will it be reversed fully, or more likely, partially, down to 18.5 or 19% if shop sales drop as dramatically in 2011 as some people are predicting - it's no more than a hunch, but I'm thinking that there is a good chance of a revison in an attempt to keep us all consuming, as was done when VAT was temporarilly dropped to 15%. Thoughts, anyone.

Why did you post this off topic?

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I think twiddling with vat whilst the banks burn our money is almost pointless.

Much fairer to tax higher wages more heavily but they're never going to do that.

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I think twiddling with vat whilst the banks burn our money is almost pointless.

Much fairer to tax higher wages more heavily but they're never going to do that.

Would it raise enough though? There are only so many people earning "high" wages (I presume you mean very high) so it probably wouldn't be very productive). Also, people will get round it by taking bonuses, and other benefits. My other half's grandfather was marketing director for a paint company years back and the scandinavian tax system basically meant that howqever much they raised his pay he was actually getting virtually no more with each pay rise. In order to counter this the company simply sent him over seas for months at a time ostensibly on company business. He went to Italy to learn Italian for 3 months, the US to do something, think the middle east for a bit.

People on "high" wages will always manage to get round these problems. If they can't they'll just nick off abroad for good. I think a better way is to reduce direct taxation and put more on VAT, especially on privey or luxury goods, at least that way it feels like you are atually getting something for your money rather than just having it taken off you and you at least have some discretion as to whether to pay it.

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  • 309 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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