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Get ready for a special "summer budget"

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    Get ready for a special "summer budget"

    "McDonnell also revealed that a Labour government would hold a special “summer budget” before the parliamentary recess in July to implement key planks of its ambitious economic manifesto, including big rises in spending on the NHS and schools, and the abolition of student tuition fees."

    https://www.theguardian.com/politics...medium=twitter

    They want to cut VAT from tax increases on the wealthy:

    "VAT is a proportional tax paid on all sales and is expected to raise £120.1 billion in 2016–17." ( from https://www.ifs.org.uk/bns/bn09.pdf )

    So 1% cut in VAT will require £1.2 bln of tax increase per annum.
    Last edited by AtW; 3 June 2017, 21:09.

    #2
    Would you like to try again. A 1% cut in vat would cost slightly more than £1.2bn it's over £6bn
    merely at clientco for the entertainment

    Comment


      #3
      Originally posted by eek View Post
      Would you like to try again. A 1% cut in vat would cost slightly more than £1.2bn it's over £6bn
      1% cut on £120 bln is £1.2 bln loss of tax per annum.

      £6 bln over 5 years (assumed length of next Parliament).

      Comment


        #4
        Vat is 20% knocking it down to 19% (I.e. By 1%) requires £6bn (£120bn/20) being found from elsewhere.
        merely at clientco for the entertainment

        Comment


          #5
          Originally posted by eek View Post
          Vat is 20% knocking it down to 19% (I.e. By 1%) requires £6bn (£120bn/20) being found from elsewhere.
          Oh tulip

          You are right...



          This is much worse than!

          £6 bln per annum is £30 bln over 5 years, just 1% reduction (20% to 19%), for comparison massive divi hike was projected to deliver a LOT less!

          Comment


            #6
            Originally posted by AtW View Post
            Oh tulip

            You are right...



            This is much worse than!
            Don't worry - your figures are still more robust than most of Labour's numbers

            Comment


              #7
              Reducing Vat from 20% to 19% is a 5% cut in Vat.
              Will work inside IR35. Or for food.

              Comment


                #8
                leave it at 20% its absolutely fine.

                Maybe cut reclaim in certain companies.

                Vat is one tax most people actually pay.
                Always forgive your enemies; nothing annoys them so much.

                Comment


                  #9
                  Originally posted by vetran View Post
                  leave it at 20% its absolutely fine.

                  Maybe cut reclaim in certain companies.

                  Vat is one tax most people actually pay.
                  The trick is to maximise taxes that foreign visitors and tourists pay, as there will be hordes more of these if the pound drops against the dollar and/or Euro.
                  Work in the public sector? Read the IR35 FAQ here

                  Comment


                    #10
                    Originally posted by OwlHoot View Post
                    The trick is to maximise taxes that foreign visitors and tourists pay, as there will be hordes more of these if the pound drops against the dollar and/or Euro.
                    Unless there are more terrorist attacks...
                    Brexit is having a wee in the middle of the room at a house party because nobody is talking to you, and then complaining about the smell.

                    Comment

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