Paul M Foster wrote:
There are two sides to every problem and simply fighting for one >side is as bad. What is needed is a reasoned debate rather than >things like 'The Cat Signal' which personally I find as >objectionable as the laws it's complaining about!
The real problem is the VAT tax itself. In my opinion, VAT is worse than direct income tax. The only good thing about VAT is that you (presumably) don't have to file returns with every state/province involved.
The EU does have VAT sorted nicely across all the states of Europe, and I simply fill in a VAT return each quarter in the UK. For VAT registered European customers we simply bill them 0% rated, so there is no need for cross border paperwork at all. But European customers who are not VAT registered pay the rate of of the country the supplier is based in, which gives some small plus and minus advantages. Anything that comes into Europe through proper channels will also have VAT added as part of 'customs charges' and businesses simply claim it back, hence the irritation at supply channels bypassing the normal trade routes :( In theory those goods should have had VAT paid when they came into a European warehouse, so it would be nice to know what loophole they use to avoid it ;)
And at least VAT only applies when I spend money, higher income tax would hit everything I earn ... but this is getting very much off topic for the list, as 'The Cat Signal' is anyway in my book.
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