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Related Tag Articles: england
What Items are Zero Rated from VAT in the UK?
09 June 2010
VAT is something many businesses will have to contend with when purchasing items and when attempting to sell them. The UK's VAT isn't quite as high as other European countries, but in 2009, the nation suffered a 3.7% consumer inflation bump, and then Chancellor Alastair Darling (pictured) declared that VAT should be restored to 17.5% on a wide range of goods and services. Similar to a sales tax, the value added tax is a levy tacked on based on estimated value as a product goes from material stage, manufacturing and finally distribution. This tax is ultimately passed on to the consumer, so finding zero-rated items is the ideal for most small businesses. This creates big savings on expenses and, of course, customers appreciate the lower prices.It's hard at times to find a proper niche in the market and grab a product that isn't subject to VAT. This becomes especially difficult when dealing online, as most affiliates are working to sell high-end electronics. However, there are a few products for online businesses not subject to the high VAT.
Tags:
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britain,
uk,
england,
zero rated,
european union,
Posted in: Legal, Financial Planning, Strategy, | Comments (0)
Posted in: Legal, Financial Planning, Strategy, | Comments (0)
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