VAT rise..anyone worried?

[britain]

Gonna get my Vespa done up in the new year. Guessing it shouldn't bother me too much. Depends how much i spend....

 

[manbearpig]

Gonna get my Vespa done up in the new year. Guessing it shouldn't bother me too much. Depends how much i spend....

Gay

 

[Mr Krugga]

No, its only £2.50 more out of every £100, that's nothing really.

You're still paying £17.50 on top of that £100 currently. It means that an effective cost raises by 2.13% which isn't that much really.

It can be a lot if you're planning to buy a car next year though.

 

[britain]

Hmm showing my age i guess

 

[Pawnless Endgame]

Buying something for £100 now incl. VAT: To work out new rate, divide £100 by 1.175 then times by 1.2, which is £102.13. So every £100 spent now will cost an extra £2.13 which isn't that bad. Plus, most food don't attract VAT. Just ready-made stuff, alcohol and eating out (as that is classed as a service).

Edit: Mr Krugga beat me to it on the £2.13 bit

 

[britain]

Now lambretta's are a different story!!!
The vat rise will make a difference!

 

[Mr-White]

The worrying thing is, now it's gone up it won't come back down

MW

 

[Over Clocker]

An extra £25 on every £1,000 spent ....... doesn't really make a difference tbh

 

[godinman]

No.

 

[FatBoyObese]

Now lambretta's are a different story!!!
!

Very true....Lambretta's are not in the slightest bit GAY......vespa's however............

 

[Draeger]

Pain in the backside but hey-ho. Not much we can do to avoid the increase.

 

[imb4tman]

An extra £25 on every £1,000 spent ....... doesn't really make a difference tbh

It's less than that because you have to take the current VAT off before adding 20% back. It's only an extra £17.73 when you spend £1000

 

[kwerk]

No, its only £2.50 more out of every £100, that's nothing really.

£20 out of every £100 you spend, which has already been taxed as income, isn't nothing.

 

[imb4tman]

£20 out of every £100 you spend, which has already been taxed as income, isn't nothing.

It's not £20 out of £100.

 

[kwerk]

They are raising it to 20% right? That's £20 out of £100 (which you have already been taxed on when you earned it).

 

[Mr Krugga]

They are raising it to 20% right? That's £20 out of £100 (which you have already been taxed on when you earned it).

Wait, what? Don't you distinguish between income tax and Value Added Tax?

Or is it your maths that is based on an unknown science?

 

[craptakular]

Are they going to put it back to 17.5% after 12 months?

 

[Mr Krugga]

Are they going to put it back to 17.5% after 12 months?

Why would they? Budget deficit won't shrink by itself, it's still too large to talk about saving.

 

[doodah]

They are raising it to 20% right? That's £20 out of £100 (which you have already been taxed on when you earned it).

EDIT - Ignore, misread.

 

[imb4tman]

They are raising it to 20% right? That's £20 out of £100 (which you have already been taxed on when you earned it).

No, it's £16.67