Sunday, June 20, 2010

VAT, the favourite tax of the wealthy Elite.

 Can the people in Britain be pushed to rebel?

There has been a great deal of chit chat about the potentiality of a rise in VAT, the Value Added Tax imposed on the British people because the EEC (the forerunner of the EU) demanded it. Here's a PDF all about introduction of the VAT, click here to download it.

Most people live in ignorance of this tax, because it is collected without you seeing it, by the seller of the goods.We are financially raped with every transaction made.

In principle, VAT applies to all provisions of goods and services. VAT is assessed and collected on the value of goods or services that have been provided every time there is a transaction (sale/purchase). The seller charges VAT to the buyer, and the seller pays this VAT to the government. If, however, the purchaser is not an end user, but the goods or services purchased are costs to its business, the tax it has paid for such purchases can be deducted from the tax it charges to its customers. The government only receives the difference; in other words, it is paid tax on the gross margin of each transaction, by each participant in the sales chain.

Very nice blurb, but not the truth. The VAT exists to hide the full tax take, to obscure how much is bled from the economy each and very day. Billions are collected and simply pissed away on rubbish, such as immigrants, worthless educational qualifications, war in the Gulf, PC garbage etc et al. Remove this trash, and we can CUT TAXES, whilst spending what does come in more wisely and with greater singular purpose.

VAT impoverishes the poor, as it is levied on virtually EVERYTHING people do: 

UK Fact-File Part 2:
Individual Business Domestic Taxation

2.10 UK Value Added Tax (VAT)

VAT is charged on most goods and services. VAT can only be charged or reclaimed by a VAT-registered business or individual. VAT is charged on certain goods or services sold (output tax) and can be claimed back on VAT paid on goods or services purchased (input tax).
The standard rate of VAT reverted to 17.5% from 15% on 1st January, 2010; a reduced rate of 5% applies inter alia to domestic fuel or power, heating equipment, children’s car seats, some contraceptives and sanitary products, and certain residential property renovations.
Included in the list of supplies that are zero-rated are gold and UK bank notes, books, children’s clothing, charities, food, drugs & medicines, transport and sewage, water services, goods supplies to other VAT-registered entities within the EU, and certain transactions related to the construction of residential property.

The POOR and AVERAGE peoples spend a higher percentage then the WEALTHY of their incomes on the many items covered by VAT. ONLY those who are wealthy are the beneficiaries of this systematic grinding of the masses, and if we fail to act we will end up with the Communists wielding the whip - worse by far if you study the USSR.

It is an absolutely wicked tax, with no redeeming quality.

IF the Tory/LibDem coalition were SERIOUS about a reform to taxation they would introduce a FLAT TAX, with a minimum standard of existence level wherein you would recieve WELFARE PAYMENTS to make up your income to at least subsistence level. No more odd little allowances, just a basic rate of tax for everyone, simple, easy, a percentage.

An example: 

Earned £50,000 in total, with shares, savings, etc ? Basic allowance £25000? Tax payable? 10% of £25000 = £2500. Simple, huh? No other taxes. No electricity tax, no petrol tax, no clothing taxes, tampon taxes or anything else.

Alongside of this however:

The national debt? A fixed term levy on stuff that is a choice, until it is paid down:

A 10% tax on fast food, gold and silver, carbonated drinks, high performance cars, fur based clothing, DVD/CDs, alcohol and tobacco products, video games, internet access, and the rubbish the rich fritter their cash away on (which is their choice) , including a tax on home sales where the house is worth 5 times the average for a three bedroom house in the district,  collected and paid directly to our lenders (through the buy back of government bonds - GILTS) to amortize - KILL - the debt. And then it stops.

Finally we need to accept that the Welfare system is broken beyond repair, and do something different, probably leaving people to choose what they do outside the national minimum subsistence level.

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Listen to me Sweary Mary, I get to decide what passes for good taste, what counts as poor taste, and what is just a Load of Bollocks. I'm not interested in multicultral clap-trap, liberal pleading for felons, or the status of Islam really being the "Religion of Peace(TM)".

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