Tory's to hike up VAT to 19.5%

[magentadreamer]

Sorry it's a DM story but another reason not to trust the party that gave us record unemployment, sky high mortgage rates in the 80's the poll tax and sold off the family silver amongst other things.

www.dailymail.co.uk/news/election/article-1269677/Tories-secret-plot-raise-VAT-19- 5-emergency-June-Budget.html

good post animula

'So shall we all piss off overseas expat - where would all the low earners be then - being taxed to buggery and not having jobs in many of the service industries that's where!
'
Sure, why not? Plenty of people to fill your boots for less money, Mme. Including immigrants.

Alouise, when she goes to America, will soon find out they are very big fans of 'If you don't like it, get out.'

Really - how many are economists or bankers who are going to have half an idea of international bond markets and credit ratings etc??????

The 'poor' need to do their bit in the recovery too. It can't be just the rich who pay off the humungous debts that yet another Labour government has left us. There are enough high earners to do this. If you overtax the rich, the poor will be affected to a much larger extent that having to pay a few extra pennies in an indirect tax.

Yes, Blueberry, my dad, an American national (dual with Mexico), worked all over the world before retiring.

Plenty have come and gone from the US.

It still hasn't fallen down without these crucial high earners.

They're easily replaced by immigrants from other countries like India who don't moan about how put upon they are paying tax.

'how many are economists or bankers who are going to have half an idea of international bond markets and credit ratings etc?????? '

Oh, plenty of UK- and US-educated Indian or Asian nationals who are quick studies, too.

"It can't be just the rich who pay off the humungous debts that yet another Labour government has left us."

sorry .. someone help me out here? I thought it was the rich and ever so knowledgeable about high finance that got us all into this mess.

'Cos I cant help but think it should be those same people who get us out.

A drop in the ocean, Nellie. Someone to blame, and hide the mess created by the prudent Gordo.

Don't overtax anyone, is the answer. It doesn't have to result in the hot water cutting out at 11pm or the streets being dangerous. Just keep it at a level that prevents job flight abroad and ensures everyone ends up paying a fair share when you take the disproportionate burden of VAT into account.

It's hard to say something is right or wrong since it comes down to ideology.
Personally I don't think higher intellect/ability to land a better paid job is any more a reason to deserve a better standard of life than class or physical strenght.

If you look at the bigger picture, rich people benefit just as much in the long run from less poverty and decent public benefit systems. You can't make money off people who have no money.

I don't earn much but I pay my taxes gladly, and I hope I still feel the same way when I'm rich and famous

Increased taxes/VAT or cuts to public spending, that is the question..

Nobody "employs" entrepreneurs and investors!!!!

What are you going to do, put an ad in the job centre to replace the ones you lose???

I think it depends whether people feel they're getting value for money out of their taxes. And a decent benefits system is part of that. If the benefits system has holes, then do everything you can to fix them/change the system to ensure it's fairer, but no need to spend time berating people who make use of the holes in the benefit system. I can't understand the Tory passion for denouncing "scroungers". Just do what you can to fix the system.

"Increased taxes/VAT or cuts to public spending, that is the question.. "

It will have to be both. This countries finances are in a mess.

Riven - you probably think I am a complete bitch but it is your story and others like you that make me so cross about how much money is wasetd in this country - not everyone sheould get everything - it should be the very deserving people like you who have to struggle everyday - I would vote for the first party that came along and said it was going to do more to get long term unemployed or sick back into work whilst really making a difference in the lives of carers and making work accessible for the diasbled.

Now I know you are going to pick holes in what I have said but most people don't want any sort of cuts to affect carers or the disabled in society but they want them to be fair to all and that means not just increasing taxes for higher earners.

""Increased taxes/VAT or cuts to public spending, that is the question.. "

It will have to be both. This countries finances are in a mess. "

Yes, but there is a choice what you'd prefer to see the most of. Which is down to ideology.

If you pay in more than you take out, you will not want to see taxes raised dispropotionately.

If you take out more than you put in, you will not want to see public service cuts.

But both sets of people will end up unhappy because both taxes will need to be raised, and services cut.

If the average spend per family per annum is £5000 on vatable goods/services the increase in VAT would amount to £100.

Would that extra £1.92 per week be a real killer to the lower income families?

I think it is inevitable that VAT will be applied to childrens clothes/shoes, books, newspapers and magazines withing the first year of a new administration. So stock up now.

Crackfox - you could be right on the books/newspapers etc - we have libraries/the internet!

I would be surprised about childrens' clothes/shoes though.

I think a bigger overall VAT increase is more likely.