VAT rise..anyone worried?

britain · 10 Dec 2010 at 20:22

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

manbearpig · 10 Dec 2010 at 20:25

britain said:
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 · 10 Dec 2010 at 20:26

manbearpig said:
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 · 10 Dec 2010 at 20:27

Hmm showing my age i guess

Pawnless Endgame · 10 Dec 2010 at 20:36

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 · 10 Dec 2010 at 20:36

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

Mr-White · 10 Dec 2010 at 20:38

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

MW

Over Clocker · 10 Dec 2010 at 21:06

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

godinman · 10 Dec 2010 at 21:07

FatBoyObese · 10 Dec 2010 at 21:17

britain said:
Now lambretta's are a different story!!!
!

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

Draeger · 10 Dec 2010 at 21:23

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

imb4tman · 10 Dec 2010 at 21:30

Over Clocker said:
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 · 10 Dec 2010 at 21:33

manbearpig said:
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 · 10 Dec 2010 at 21:34

kwerk said:
£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 · 10 Dec 2010 at 21:36

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 · 10 Dec 2010 at 21:39

kwerk said:
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 · 10 Dec 2010 at 21:39

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

Mr Krugga · 10 Dec 2010 at 21:40

Oxy said:
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 · 10 Dec 2010 at 21:41

kwerk said:
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 · 10 Dec 2010 at 21:41

kwerk said:
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

VAT rise..anyone worried?

Wise Guy

Wise Guy