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Topic History of: Chancellor King
Max. showing the last 5 posts - (Last post first)
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zooloo |
dixie wrote:
[quote]Stores work to "price points", be it |
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dixie |
Stores work to "price points", be it |
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BR |
1. retail spending usually goes up at this time of year
2. retail profits are falling - they have had to slash prices in order to maintain this small increase
3. most stores rely on October - December for their annual profit, hence Woolies is already rocking and more will go under.
The VAT reduction will improve things for businesses. Whether it is enough is open to question.
Shops etc only need to to reprogramme tills. They can either remove 2.5% from people's overall bills or most modern systems can reprice via barcodes with a simple push of a couple of buttons. It will not need massive man hours. Signage could be a problem in the first few weeks but most signage is updated weekly or monthly in any case so it will soon catch up.
Lets wait and see what the result is - I think we are in a deep hole so this VAT cut is welcome. I still think other temporary freezes as CAMERON has suggested are good ideas - freeze council tax for 2 years - freeze small business tax liabilities for 2 years to improve cash flow.....create a lending bank for small businesses. |
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Andy H |
Dear All;
I still think you have missed a small, but in fact, major point here.
How many man hours is it going to cost to re-invoice customers and clients with a new 15% vat invoice and replace a 17.5% one, or are they all supposed to just be in assumption of the regulation?
For example, "Mrs Brown" down the old council estate, will probably pay for her new boiler for the winter at 2.5% more than it should cost, this practice will go up and down the land and I feel that it will create another black hole in the economy.
VAT is a rather silly tax and very vague.
AH |
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JK2006 |
So it looks like Darling Darling has taken my advice on VAT - and completely missed my point.
My suggestion of two months totally VAT free would have cost LESS than a silly 2.5% cut for a year yet would seem SO massive and be SUCH a huge statement that I'm sure it would be a massive kick up the ladder for retail whereas 2.5% will do very little and be wasted. |
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