Unfortunately if they did do that we would have more to worry about than a few rich people only paying 18% (if at all). The (shattered remains of the) economy are unfortunately beholden to relatively few large corporations who have the power to make such demands of the government, because of the money involved for the economy at large as well as the individuals at the top.



That's a very nice sounding egalitarian idea. Yet the entire operation of the global economy is driven by wealth generation whether people agree with it or not. Wealth is generated by people doing work, (and in the old days, producing materials and products) because everyone judges that it is worth a sacrifice of their own resources to gain something that they don't have either the time or the skill to do themselves. Wealth and money are not necessarily the same thing, but at this point in time they are more or less irrecovably intertwined.

Calling wealth generation a fantasy may be fashionable, but it still makes the diference between having a large house and all the material ameneties you could need, or barely being able to eat. That is not nice, nor is it real hapiness, but it is real. The fact that people's judgement on the true value of banking assets (and judging what really has worth as an asset) can bring the system down only makes it dangerous, not imaginary.

They spend huge amounts on doing just that, but as most people will avoid paying if they can then you have vast numbers of relatively small amounts being avoided and therefore virtually impossible to defeat.

Example until about 18months ago it was fiscally sensible for 2 smokers to take a car to France then Belgium then home filling up with the allowed limit of tobacco and Alcohol. Even with 2 nights hotels and 200 miles of petrol they would save several hundred pounds. Only now that the Euro is so much closer to the value of the pound is it no longer viable.

+1

and i thought that the EU was a free trade environment … [smile] …

Yes but you are legally allowed to bring in personal use items for free if bought abroad and you paid the VAT there. I rang up the customs office once in regards to going over the top and what the duty would be on each item so I could pay it on return. I would not have bought anything if the duty added was higher made the total higher than the UK price. They told me that as long as it was for personal use there would not be a problem. I told them what I was planning on getting and read out the list and was told that it was fine.

Raising VAT is not a good idea. It is regressive and hits the middle and working classes disproportionately.

so, where is the free trade ? …

The limit was on spirits. I wanted to bring in three times the allowance. I was still allowed to do so.

The "Allowance" is not really that at all it is "the guidelines issued by HMRC". e.g. no legal limit. Historically there were legally binding limits before we went freetrade in Europe.

There is in law no limit - that’s the point of a free trade area
However it is restricted to personal use. HMRC lost a case not to long ago over this. They impounded someone’s car who was bringing back 3000 fags – The person was able to show that as a 40 a day man they could (in theory) smoke them before the expiry date.

We have done it for Booze for a large party. Have gone across in a transit and come back it crates of beer / wine etc – all for personal use at a party. The most that HMRC can do is ask for proof but since the above case they now rely more on intelligence and getting the guys who do 2 or more trips a day

As you say they are more interested in the dealers, so if you go once a year then they are not interested. Though with the recent drop in the pound against the euro that is greatly reduced as well.

If there is no financial benefit of doing it then no one will.
After all nipping across just to visit a hypermarket in an industrial estate is hardly a fun day trip so the only reason to do it is that you will save a shed load of money on booze and Fags

VAT on elecy and gas? That would be a couple of hundred pounds a year.

Yup and the people who can afford it least would suffer most .................

Exactly. While those on benefits could be helped the low paid would not. This whole idea is badly thought out.