Was VAT increase 20%?

Talking about expensive train fares. My car has a strong possibility of not passing the MOT in a couple of weeks time. I checked out how much a train ticket would cost me to get to work. £55 one way. Don't think I will be using public transport in a looooong time.

[anna]

They have said it is because of the increase of raw materials and so have used the VAT increase to also increase the rest of their prices to cover these costs.

As for travel, they havent exactly been fair or transparent with that, they havent increased costs across the board, only where they can actually get more money out of people, such as the lines that are most used.

BTW dont think the increase in costs actually mean a better rail system, oh no, it just means they are getting the money from you that the government no longer puts into the system. So instead of the overall tax payer paying for the rail system, commuters are now.

Apparently it will get worse next year.

[maviczap]

As pointed out on the news there's not only the increase in VAT, but also the increase in fuel duty, so some liberal application on prices of luxery goods such as water can only be expected from the profiteering brigade.

Delivery for your water to Boots will now cost more, to they are factoring this into the price, its VAT + Fuel duty,

The same will happen if we ever join the Euro, I hope not, but a lot of German businesses made lots of extra money by rounding up their prices when it was introduced

Bottled water is subject to VAT. Even although they say food is not, which is true, it will all have to go up anyway as a direct result. Transport, packaging etc will all go up so the food will have too, to cover these costs.
Tough times are ahead, a lot of people are struggling as it is, wages will not rise to cover this so it looks like a bleak 2011 is on the horizon.

[maviczap]

Originally Posted by bris

Bottled water is subject to VAT. Even although they say food is not, which is true, it will all have to go up anyway as a direct result. Transport, packaging etc will all go up so the food will have too, to cover these costs.

Some food is subject to VAT, some is not, its a very complex area of VAT.

The Vat man versus McVities in the jaffa cake saga is a good example, Vat man says its a biscuit so liable to vat, McVities says its a cake so not liable. VAT man won the arguement in court I think

Plus not all food is liable to 20% VAT, some is rated a a 5% VAT rate.

If you buy a chocolate muffin at a coffee shop and eat it there, you pay VAT. If you take it away and eat it you don't pay VAT

Although the trader may pocket the VAT he doesn't charge you as a nice fat profit.

I'm so glad that I walk to work!

price couldincrease in other areas effecting your bottled water price,

shipping/haulage costs?

Originally Posted by maviczap

Some food is subject to VAT, some is not, its a very complex area of VAT.

The Vat man versus McVities in the jaffa cake saga is a good example, Vat man says its a biscuit so liable to vat, McVities says its a cake so not liable. VAT man won the arguement in court I think

No, McVities won by arguing that stale jaffa cakes go hard like stale cakes, not soft like stale biscuits.

[maviczap]

Yep, you are right, but its an example of the different VAT rates on food

[Littlepeahead]

Is it still the law that VAT is not charged on men's razors as these are seen as an essential item whereas it is charged on women's 'sanitary products' as these are classed as a luxury?!

I'd love to walk to work but it's a 120 mile round trip. No chance of getting a job closer to home, as I've already worked for Essex CCC and there's only ever going to be one Lord's. I do sometimes bike it on summer weekends but my sanity levels aren't up to the M25 and Finchley Road twice a day.

I shall today write to my MP to complain about the bus service being reduced, it's not as though I live out in the sticks, it's a big modern housing estate with lots of people who need to get to the station to commute.

About the only thing I've paid for this year so far which has proved to be value for money are my cricket club Memberships of MCC and Essex - Alastair Cook made them worth every penny overnight - a good Essex boy has made me happy today.