I Have A Second Dream.

jambutty · 25-03-2008, 16:05

Taxation

The onus of taxation would be placed on what is bought and not what is earned for the majority.

Thus there would be no Income Tax or National Insurance contributions on earnings that are below the national average plus 10%. Instead VAT would be increased to make up the shortfall for all goods and services except food items, children’s clothing and luxury goods. Food and children’s clothing would carry a 10% VAT, whilst luxury goods would attract 50% VAT.

Earnings above the national average plus 10% would attract Income Tax and National Insurance contributions of 20% with an increasing sliding scale for higher earnings.

Money from salaries sent abroad would attract a VAT of 10%.

Un-earned income like share dividends and savings interest would attract a VAT of 10%.

All benefits would be increased pro rata to compensate for the additional VAT payable.

Tracy J · 25-03-2008, 17:13

sounds like you put a lot of thought in to this,,,have you ever considered running for council your self,,,,

onlyme · 25-03-2008, 18:14

i have a dream too... not sure this is the right thread tho....

Got lost on the first %

jambutty · 26-03-2008, 18:50

Quote:

Originally Posted by Tracy J

sounds like you put a lot of thought in to this,,,have you ever considered running for council your self,,,,

Nope! Too old and in below par health.

Accisue · 26-03-2008, 19:10

Oh my word.... i'm totally baffled!!! Can someone put that in english please. i'm useless with vat and %.

jambutty · 27-03-2008, 12:03

Quote:

Originally Posted by Accisue

Oh my word.... i'm totally baffled!!! Can someone put that in english please. i'm useless with vat and %.

Maybe you should have paid more attention during your maths classes at school?

Value Added Tax - VAT is a tax added to the cost of an item so that the government can pay for the services that we, the public, require.

At the risk of being accused of drifting off topic but in the interests of helping out a fellow member with her percentage problem……..

Percentage means a one hundredth part of something. So if you want to add 25% to some total you are adding 25 one hundredths of the total to that total.

For example.
25% of 300 is 75 and you calculate it like this:
Divided the 300 by 100 and then multiply the answer by 25.
300/100 = 30 x 25 = 75

So a question for you! What is 25% of £820?
Answer:- 820/100 = 8.2 x 25 = 205

Turn that around to what percentage of £820 is £205?
Divide 820 by 100 and then divide the result into 205
820/100 = 8.20. 205/8.20 = 25.

VAT in general is 17.5%.

The price of goods in shops that you see has already had the VAT added to it so to work out what the 17.5% VAT is you divide the price by 117.5 and multiply the result by 17.5.

If an item costs £963.50, what is the VAT?
963.50/117.5 = 8.2 x 17.5 = 143.50

If you want to know what the price of an item is before VAT has been added.
If an item costs £963.50. 963.50/117.5 = 8.2 x 100 = 820.00

Hope that helps.

jaysay · 27-03-2008, 12:07

Quote:

Originally Posted by jambutty

Maybe you should have paid more attention during your maths classes at school?

Value Added Tax - VAT is a tax added to the cost of an item so that the government can pay for the services that we, the public, require.

At the risk of being accused of drifting off topic but in the interests of helping out a fellow member with her percentage problem……..

Percentage means a one hundredth part of something. So if you want to add 25% to some total you are adding 25 one hundredths of the total to that total.

For example.
25% of 300 is 75 and you calculate it like this:
Divided the 300 by 100 and then multiply the answer by 25.
300/100 = 30 x 25 = 75

So a question for you! What is 25% of £820?
Answer:- 820/100 = 8.2 x 25 = 205

Turn that around to what percentage of £820 is £205?
Divide 820 by 100 and then divide the result into 205
820/100 = 8.20. 205/8.20 = 25.

VAT in general is 17.5%.

The price of goods in shops that you see has already had the VAT added to it so to work out what the 17.5% VAT is you divide the price by 117.5 and multiply the result by 17.5.

If an item costs £963.50, what is the VAT?
963.50/117.5 = 8.2 x 17.5 = 143.50

If you want to know what the price of an item is before VAT has been added.
If an item costs £963.50. 963.50/117.5 = 8.2 x 100 = 820.00

Hope that helps.

Well JB I was quite good at maths when at school, mind you that was 46 years ago, but could you explain it to me as well please