Tags Tagged With Vat rate
A Better Deal For Who? Companies And Stores Taking Advantage Of The Vat Rate Change
The idea behind the UK VAT rate change was to increase consumer spending by lowing prices on goods, thus letting their money go further. However, it would appear that this is not the case across the board. Legally, the government cannot force companies to reduce their prices. Many companies have kept their prices the same, and are simply pocketing the 2.5% difference caused by the VAT rate change, leaving consumers angry and worse off. Perhaps most shockingly, councils are not p
Has The Vat Rate Change Failed?
In an interview for the BBC, David Cameron has claimed that the VAT Rate Change has failed, saying "The VAT cut has been an unbelievable and expensive failure." When we look at the numbers, it's hard to say otherwise - even after that VAT rate change, the numbers of shoppers was down in December compared to previous years data. Compared to last year, retail footfall was down 3.1% in December from a year earlier, traditionally a busy period in the run up to Christmas. On the VAT
Uk Vat Rate Changes
The Chancellor announced in his Pre-Budget Report that, on the 1st of December, the standard VAT rate will reduce from 17.5% to 15% until the end of next year. For consumers, this means that the providers of any standard rate VAT products and services should charge the new rate of VAT from this date. Only standard-rated sales are affected. There are no changes to sales that are zero-rated or reduced-rated for VAT. Similarly, there are no changes to the VAT exemptions.