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0 pointspjc501y ago0 comments

Only people who are wrong consider VAT a tariff. Yes, importers have to pay it, but so do local manufacturers.

VAT has basically the same effect as sales taxes with a much more complicated tax incidence.

0 comments

At an individual level, it’s not more complicated: it’s reimbursed instead of exempted. And if you’re charging it, it’s easier, since you simply always charge instead of maintaining your list of exceptions.

pjc50OP1y ago

UK VAT certainly has a complicated list of exceptions, especially "non-luxury food" (see the Jaffa Cake case https://www.astonshaw.co.uk/jaffa-cake-tax/)

freeone30001y ago

But these are per-product, not per-customer. (Businesses, charities, and some customers are exempt from sales tax regardless of what they are buying.)

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freeone30001y ago

pjc50OP1y ago

UK VAT certainly has a complicated list of exceptions, especially "non-luxury food" (see the Jaffa Cake case https://www.astonshaw.co.uk/jaffa-cake-tax/)

freeone30001y ago

But these are per-product, not per-customer. (Businesses, charities, and some customers are exempt from sales tax regardless of what they are buying.)

j / k navigate · click thread line to collapse