The Cellar: a friendly neighborhood coffee shop, with no coffee and no shop. Established 1990.
1 of 1- xoxoxoBruce
- The Future is Unwritten
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VAT tax
Do I understand this right, the VAT is added to the price when you buy something?
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- Limey
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Re: VAT tax
xoxoxoBruce wrote:
Do I understand this right, the VAT is added to the price when you buy something?
Prices are listed with and without VAT for items which might be bought by both a business or an individual.
If your business turnover is over a certain amount you have to be VAT registered, which means that:
a) you have to charge VAT on the goods and services you supply (to anyone and everyone)
b) you must pay that VAT to the government after you have deducted any VAT on goods and services you have bought in the course of your business.
Hope this helps.
Living life on the edge.
- glatt
- TM
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Re: VAT tax
And you get to add an accountant to your staff to track all that, so don't forget to work their salary into the prices too.
- monster
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Re: VAT tax
To the end consumer, it's basically a sales tax, but in the UK, it is added into the advertised price for most goods and services, rather than being added at the time of payment. As well as the purchases by businesses Limey explained, if you buy from abroad, you sometimes don't need to pay VAT or can reclaim it, so some suppliers -particularly those who retail online and B2B- will also show the price without VAT.
The most difficult thing is the decision to act, the rest is merely tenacity Amelia Earhart
- Diaphone Jim
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Re: VAT tax
Don't see much aluminum straight pipe any more.
I bought some stuff at Home Depot yesterday. Don't look for my there any more either..
I understand that the 127 pound price is with VAT. That still works out to $177 compared to $92 + sales tax.
What is up with that?
Last edited by Diaphone Jim (1/14/2021 1:02 pm)
- monster
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Re: VAT tax
ah, but see, that's Aluminium
The most difficult thing is the decision to act, the rest is merely tenacity Amelia Earhart
- Diaphone Jim
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Re: VAT tax
Why does Ridgid ship its wrenches to the UK through China?
- xoxoxoBruce
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Re: VAT tax
If the sale price already has the VAT added in then the price of the wrench before tax is GBP 21.50 or $ 29.23 US.
That sounds way too low. Or is the price GBP 107.50 ($146.15) plus the tax of GBP 21.50, so you pay GBP 129.00 (175.38).
A side note;
Ridgid has the patent on that type pipe wrench...
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Thread Starter- Limey
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Re: VAT tax
...the price GBP 107.50 ($146.15) plus the tax of GBP 21.50, so you pay GBP 129.00 (175.38) ...
This.
Living life on the edge.