Rudi Posted November 24, 2008 Report Share Posted November 24, 2008 Have the budget changes helped anyone at all? The changes don't benefit me at all really. What was the point of reducing VAT by 2.5% when fuel goes up and so will National Insurance. I'm glad I no longer smoke and don't really drink. As a single, childless person I don't benefit from tax credits. I thought they might cut income tax but, no. The whole thing just seems to be giving a little but taking it back in another way - so why the huge amounts of borrowing? £500 billion Link to comment Share on other sites More sharing options...
Abby Posted November 24, 2008 Report Share Posted November 24, 2008 It sucks. I'm a small business owner, responsible publican, childless, low income but self-employed living in a rural area so need my car. We'll be lucky if we're not worse off after this, though I'm hoping we'll be neutral instead. Certainly no improvements. Don't see how these measures are going to kick-start the economy Link to comment Share on other sites More sharing options...
boosboss Posted November 24, 2008 Report Share Posted November 24, 2008 Wait till the VAT goes up to 22.5% to compensate for the cut. Link to comment Share on other sites More sharing options...
Rudi Posted November 24, 2008 Author Report Share Posted November 24, 2008 (edited) We'll be lucky if we're not worse off after this, though I'm hoping we'll be neutral instead. Certainly no improvements. Yeah, I'll hopefully just tread water. I was hoping for a freeze or decrease of fuel duty as I rely on my car too. Edited November 24, 2008 by Rudi Link to comment Share on other sites More sharing options...
Abby Posted November 24, 2008 Report Share Posted November 24, 2008 Wait till the VAT goes up to 22.5% to compensate for the cut. Yes I really can't wait for that treat Makes shutting for 4 months to avoid the VAT barrier very attractive, despite the fact that would mean we couldn't pay our bills let alone live Link to comment Share on other sites More sharing options...
Happylittlegreensquirrel Posted November 24, 2008 Report Share Posted November 24, 2008 I am not sure that the reduction in VAT helps me ( self employed VAT registered on flat rate ) unless the rate I have to pay the VAT man drops by 2.5 % as well Link to comment Share on other sites More sharing options...
cycas Posted November 24, 2008 Report Share Posted November 24, 2008 I am not sure that the reduction in VAT helps me ( self employed VAT registered on flat rate ) unless the rate I have to pay the VAT man drops by 2.5 % as well VAT shouldn't really affect you one way or the other as a business - you'll need to charge less, but you also have to pay less to the VAT man? Businesses don't pay VAT as such, they just collect it, then pay it to the govt. Stuff you buy as an individual will be cheaper. Petrol prices will hit me hardest, where I live. I have no alternative to using a car. Link to comment Share on other sites More sharing options...
Happylittlegreensquirrel Posted November 24, 2008 Report Share Posted November 24, 2008 VAT shouldn't really affect you one way or the other as a business - you'll need to charge less, but you also have to pay less to the VAT man? Businesses don't pay VAT as such, they just collect it, then pay it to the govt. I charge my clients VAT at 17.5 and as a flat rate registered business I pay 12.5 to the VAT man ( 11.5 % for the first year ) if the VAT man now wants 9.5% ( or 10.5 after the first year ) then it won't impact on me , if that does not happen then I would be 2% worse off mind you as I am currently unemployed I am worrying in advance some what Link to comment Share on other sites More sharing options...
celeste Posted November 25, 2008 Report Share Posted November 25, 2008 A friend pointed something out to me today. Some retailers are claiming they won't be passing on the VAT saving for a while as they have had to buy stock in at the old VAT rate.....but......when prices go up ( usually fags and booze) the higher price is charged straight away, but presumebly that stock will have been bought in at a lower VAT rate (hope this is making sense ) if they are quick enough to charge us the higher rate why aren't they passing on the lower rate just as quickly ? I'm off to watch part2 of Survivors........tis rather good Link to comment Share on other sites More sharing options...
krusewalker Posted November 25, 2008 Report Share Posted November 25, 2008 Have the budget changes helped anyone at all? The changes don't benefit me at all really. What was the point of reducing VAT by 2.5% when fuel goes up and so will National Insurance. I'm glad I no longer smoke and don't really drink. As a single, childless person I don't benefit from tax credits. I thought they might cut income tax but, no. The whole thing just seems to be giving a little but taking it back in another way - so why the huge amounts of borrowing? £500 billion is fuel going up? how come? at the moment the fuel prices are going down because the cost of a barrel of fuel has dropped in the marketplace for last few weeks. Link to comment Share on other sites More sharing options...
Rudi Posted November 25, 2008 Author Report Share Posted November 25, 2008 is fuel going up?how come? at the moment the fuel prices are going down because the cost of a barrel of fuel has dropped in the marketplace for last few weeks. Fuel duty will go up, therefore prices will. There was a suggestion that increases might be frozen but it didn't happen. As you say, it might be offset by a drop in the market but the drops aren't really being passed on and the likelihood is that prices will climb again before we ever get the full benefit of falling costs. Link to comment Share on other sites More sharing options...
suzeanna Posted November 25, 2008 Report Share Posted November 25, 2008 Fuel..as in petrol...is going up on Monday because the Chancellor is sticking another 2p duty on it. Talk about give with one hand and take away with the other..and they always manage to take more than they give! Link to comment Share on other sites More sharing options...
krusewalker Posted November 25, 2008 Report Share Posted November 25, 2008 Ah! didnt know duty was going up monday. mind you the fuel price drop has come thru round my way. we can get 89p now. was 1.05 a few weeks back. Link to comment Share on other sites More sharing options...
Tobleronie Posted November 25, 2008 Report Share Posted November 25, 2008 Fuel prices should not go up, they have raised the duty rate to compensate on the reduction of VAT, what it means is that businesses that claim back the vat on purchases will be hit: at the moment £100 worth of fuel is £100 plus vat at 17.5 % = total net cost to business consumer £100 Under the new rules the duty has been raised with VAT reduced means £102.75 net cost to business and the 15% paid to vat, so transport costs which affect every single business will be affected - help out the country I don't think Why couldn't they make vat nil on electric and gas bills that would help every single person, homes and businesses alike................. Link to comment Share on other sites More sharing options...
krusewalker Posted November 25, 2008 Report Share Posted November 25, 2008 err, run that one by me again! Link to comment Share on other sites More sharing options...
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