Tags Tagged With Economy
How Does The Government Recover The Vat Rate Change Shortfall?
Obviously, in reducing the VAT rate from 17.5% to 15% for a year will create a shortfall in the government's finances for the year. There are a variety of predictions on exactly how much this will be, however, most agree that it will be somewhere in the region of £12.5 billion. The government will have to make this up in some way or another: One option the Treasury has considered, but is now denying is to INCREASE the tax rate as the economy recovers. The plans seen on an Revenue
Should The Republic Of Ireland Reduce Vat?
News is emerging that concerned border towns in Ireland are calling for Finance minister Brian Lenihan to cut VAT by 6% from 21% to 15% in line with the UK's announced VAT rate change. Irish towns that border with the UK run the risk of shoppers deciding to take advantage of the strong exchange rate and the lower VAT rate in the UK and doing their christmas shopping across the border. Lenihan has admitted that the large numbers of Republican shoppers travelling north to shop in N