VAT to be cut for a year

[Hair Flick]

as part of a stimulus package to kick start the economy.

Some additional products to be zero rated.

Rishi Sunak plans emergency cut in VAT to rescue ailing economy

Rishi Sunak is ready to slash VAT and pump billions into the economy as the government prepares to ease social-distancing rules. The chancellor has ordered officials in the Treasury and HMRC to prepare options to reduce the sales tax, including a cut in the headline rate, and zero rating more produc

www.thetimes.co.uk

 

[Goat Eyes]

I look forward to an extra 10% on my income tax rate.

 

[Kevj]

I look forward to an extra 10% on my income tax rate.

I think a cut on income tax would better promote spending than a cut on VAT.

 

[Goat Eyes]

I think a cut on income tax would better promote spending than a cut on VAT.

A cut in VAT will stimulate both consumers and businesses to spend though.

 

[Roaring Chubby]

I think a cut on income tax would better promote spending than a cut on VAT.

agree. We have become a nation of spenders.

 

[Ciro_DiMarzio]

I think a cut on income tax would better promote spending than a cut on VAT.

Aye. People pay more attention to the number in the bottom corner of their payslip than to the price of what they're buying imo.

 

[Rustie Trombone]

I was going to but a new PC today but I think I'll wait now - might save us a few quid.

 

[Gillythedilf]

Aye. People pay more attention to the number in the bottom corner of their payslip than to the price of what they're buying imo.

I find the VAT rate at 20% stifles business massively.It knocks loads of domestic work on the head /creates a cash economy (especially in sunderland )

Shoe-Rack is correct in slashing the vat,it’ll help things out massively by things being cheaper

 

[Scimmy]

I find the VAT rate at 20% stifles business massively.It knocks loads of domestic work on the head /creates a cash economy (especially in sunderland )

Shoe-Rack is correct in slashing the vat,it’ll help things out massively by things being cheaper

I'm old enough to remember when it was 15% !! Then up to 17.5% , then up to 20%.

 

[Hair Flick]

I'm old enough to remember when it was 15% !! Then up to 17.5% , then up to 20%.

I remember when it was 8% on standard goods and 12.5% on luxury items.

I’d lie if I said I remember the 10% rate so the change in 74 must have been on the news at the time. I do remember going through Makro receipts looking at the different rate items.

 

[Ciro_DiMarzio]

I find the VAT rate at 20% stifles business massively.It knocks loads of domestic work on the head /creates a cash economy (especially in sunderland )

Shoe-Rack is correct in slashing the vat,it’ll help things out massively by things being cheaper

Hopefully it helps the economy bounce back quickly marra.

 

[Scimmy]

I remember when it was 8% on standard goods and 12.5% on luxury items.

I’d lie if I said I remember the 10% rate so the change in 74 must have been on the news at the time. I do remember going through Makro receipts looking at the different rate items.

Yes, it was 8% at one time now that you mention it. Just goes to show how the public are happy to tolerate sneaky gradual tax increases.

 

[Kevj]

Yes, it was 8% at one time now that you mention it. Just goes to show how the public are happy to tolerate sneaky gradual tax increases.

Wasn’t there a period where Income Tax was temporarily reduced to 10% before it was uplifted to 20%?

This gesture may provide immediate stimulus (which is a good thing) but may be a back door method of upping the rate afterwards to recoup tax.

 

[Stormo]

Might be some deals to be had on teles and that.

 

[Exile in Ayr]

I remember when there was no VAT. I also remember when I got paid £1 for my paper round. 240 pennies ( 6 evenings and a Sunday morning). 1965 to 1968. The 4 years of Xmas tips being the highlights by some distance.

 

[Malloy]

Balls, I've just spent about 700 quid on camping equipment in the last week or two

 

[Dave Herbal]

Balls, I've just spent about 700 quid on camping equipment in the last week or two

Bit pointless seeing as the campsites aren’t allowing tents

 

[Goat Eyes]

Balls, I've just spent about 700 quid on camping equipment in the last week or two

Take it back and get a refund.

 

[Redandwhitedust]

I bet if the cut VAT the majority will not pass it on at the till.

Its like when they announce a penny off a pint in the budget... the price still goes up!

 

[CatRyan]

Yes, it was 8% at one time now that you mention it. Just goes to show how the public are happy to tolerate sneaky gradual tax increases.

Makes my job a f***ing nightmare. Have to reconfigure the system and remember after it changes back when dealing with historic stuff. I remember the vat changes back in 2008 the 2011