Clean It Up
UK Window Cleaning Forum => Window Cleaning Forum => Topic started by: Moderator David@stives on November 24, 2008, 11:11:01 pm
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For those who are vat registered will you pass on the vat saving to you customers ?
Domestics ? Do you think some will ask you for a discount ?
Commercial ?
Will you keep the same net figure on your bill, or will you keep the gross the same therefor increasing the net ?
I think it will cause loads of hassle, then the same again in 13 months.
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Am I might be very stupid here? I thought that if you was registered VAT then you had to add the currant vat 17.5/15% to the fee you charge, so there for you would surely have to reflect the % drop in your Total bill to each customer regardless of type.
Simon.
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Yes - will pass savings on to customers i.e. keep the same net plus new tax = new final price. If VAT had gone up I would also have passed that on to the customer.
On positive side my prices will become "slightly" more competitive when compare with some of my non-VAT competitors.
It would have been nice if the Chancellor had raised the threshold for VAT to 500K.
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Am I might be very stupid here? I thought that if you was registered VAT then you had to add the currant vat 17.5/15% to the fee you charge, so there for you would surely have to reflect the % drop in your Total bill to each customer regardless of type.
Simon.
David seems to run a different VAT system to the rest of us!!
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William
The reason i am asking is do you think tesco will pass on the savings across all of its produts.
Also the news was full of people suggesting that consumers wouldnt see the tax savings as they reckoned a lot of retailers might not pass it on
I am not saying i wouldnt pass it on, I am just asking after someone said , they would probably keep there domestics the same.
I admitted i got my calculations wrong yesterday.
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Im NOT vat registered and think it will be a nightmare for those who are. The changeing down now and then again in 13months. I think if I was vat registered I might use it as way of increasing my prices but not showing on the invoice.
Tell the customer that as there was "due" to be a price increase in the new year you have decided to do it now but make it lower so there will not be an increase in the invoiced total.
Imagine the confusion to some customers..... charge £117.50 this month then £115 next month then £125 in Jan then another price change in Dec next year and then another in the Jan the year after.......
Better to make it look like your doing them a favour by makeing the price stable during that time and it would also look like your takeing the hit when the vat goes back up.......
One good thing though.......... My new SL-x will be cheaper...... lol
Regards
Mr H
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William
The reason i am asking is do you think tesco will pass on the savings across all of its produts.
I guess the answer to this Dave will be when you see a 4-pack of beans normally at 99p being sold for 96p.
I doubt that'll happen. I doubt they'll do ANYTHING in all honesty.
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.99p & 95p are hook prices, ie short of the next pound.
Although 96.6p or 93.1p is cheaper retailers use 99 & 95 to get you in the door, so I would assume that them prices will remain, so making a slightly larger margin for the retailer.
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William
The reason i am asking is do you think tesco will pass on the savings across all of its produts.
I guess the answer to this Dave will be when you see a 4-pack of beans normally at 99p being sold for 96p.
I doubt that'll happen. I doubt they'll do ANYTHING in all honesty.
Not a chance, the RRP's on all products, I think will stay the same and large companys will just make slightly more profits and not even considder passing the savings on to the consumers
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Hi
Places like Tesco's will not change much as there is no vat on normal food items
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One good thing though.......... My new SL-x will be cheaper...... lol
Regards
Mr H
You hope if Alex passes on the savings!
Hope he does, i got some orders to make :D but not as much as a SL-X
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Am I might be very stupid here? I thought that if you was registered VAT then you had to add the currant vat 17.5/15% to the fee you charge, so there for you would surely have to reflect the % drop in your Total bill to each customer regardless of type.
Simon.
David seems to run a different VAT system to the rest of us!!
:o :o ;D ;D 8) 8)
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i thought alot of food was vat free??
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i thought alot of food was vat free??
Food is VAT free, books are VAT free, children's clothing is VAT free; other stuff too; probably. Also, don't confuse VAT with duty, which is applied to alcohol and cigs; that's a different subject altogether.
However, items that could be thought of as luxuries incur vat, such as electrical goods, cars, and vibrating marital aids.
But there's nothing stopping a small adult purchasing children's clothing for their own personal use and conning the tax man out of his VAT money (personally I think when-ever someone small buys children's clothes they should sign a declaration stating that it is not for their own use).
Anyway, VAT is a complicated subject; I used to run the accounts for a large infantry battalion and VAT was mostly guess work for me, but since even my auditors didn't really understand it, I was never properly questioned about how I accounted for it.
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i thought alot of food was vat free??
Food is VAT free, books are VAT free, children's clothing is VAT free; other stuff too; probably. Also, don't confuse VAT with duty, which is applied to alcohol and cigs; that's a different subject altogether.
However, items that could be thought of as luxuries incur vat, such as electrical goods, cars, and vibrating marital aids.
But there's nothing stopping a small adult purchasing children's clothing for their own personal use and conning the tax man out of his VAT money (personally I think when-ever someone small buys children's clothes they should sign a declaration stating that it is not for their own use).
Anyway, VAT is a complicated subject; I used to run the accounts for a large infantry battalion and VAT was mostly guess work for me, but since even my auditors didn't really understand it, I was never properly questioned about how I accounted for it.
I wear large boys clothing, nice them being cheaper too. I like tight t shirts shows off the abs :P Not my fault we have chubby children we have to cater larger clothes for, guess it my perk for being healthy and a bit of a fitness freak. Living in Wales, i find it hard to find clothes to fit, unless i go baggy - if i moved back to Essex i'd find shops doing sizes that fit. ::)
Marital Aids!! ;D LOL
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William
The reason i am asking is do you think tesco will pass on the savings across all of its produts.
Also the news was full of people suggesting that consumers wouldnt see the tax savings as they reckoned a lot of retailers might not pass it on
I am not saying i wouldnt pass it on, I am just asking after someone said , they would probably keep there domestics the same.
I admitted i got my calculations wrong yesterday.
Fair enough David, i'll stop my ribbing now! ;D ;D
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Come on then Tosh give us your eggspurt opinion on the cake/biscuit vat debate.
Are Jaffacakes vatable? ;D
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I am not saying i wouldnt pass it on, I am just asking after someone said , they would probably keep there domestics the same.
You have to pass it on if you are Vat registered, unless of course you are going to have a sneaky price increase at the exact same time as the actual Vat drops.
The whole idea of dropping the Vat from 17.5% to 15% was to give the public a bit more money in their pockets to spend, not so businesses could put their prices up to make more profit.
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Come on then Tosh give us your eggspurt opinion on the cake/biscuit vat debate.
Are Jaffacakes vatable? ;D
Mick,
I would say that both cake and biscuits are VAT rated zero since they're food stuffs; but adding VAT to sugary and fatty foods that Chavs commonly eat such as cheesy puff balls, Tesco take away microwave Indian meals for two, and mini chicken kievs,... etc, would greatly reduce obesity.
I mean, for example VAT added to Gingster's pasties would reduce coronary heart-disease amongst the Charva classes by roughly 30%*, thereby saving the NHS a small fortune on by-pass surgery and type-two diabetes treatments; thereby off-setting the 100 trillion pound borrowing that Darling has...
I can't go on, apparantly it's my turn to take the dog for a walk. >:(
*Statistic just made up from a Geordie brain.
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I am not saying i wouldnt pass it on, I am just asking after someone said , they would probably keep there domestics the same.
The whole idea of dropping the Vat from 17.5% to 15% was to give the public a bit more money in their pockets to spend
but he's gone and scupered that hasn't he! He's taken it away by charging more for cigs, fuel and booze. What was the point in it all yesterday? Bunch of hypocrites.
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I am not saying i wouldnt pass it on, I am just asking after someone said , they would probably keep there domestics the same.
The whole idea of dropping the Vat from 17.5% to 15% was to give the public a bit more money in their pockets to spend
but he's gone and scupered that hasn't he! He's taken it away by charging more for cigs, fuel and booze. What was the point in it all yesterday? Bunch of hypocrites.
dont forget vehicle tax is set to rise again too! what he gives with one hand he takes more away with the other.
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The whole idea of dropping the Vat from 17.5% to 15% was to give the public a bit more money in their pockets to spend
but he's gone and scupered that hasn't he! He's taken it away by charging more for cigs, fuel and booze. What was the point in it all yesterday? Bunch of hypocrites.
I'm not sure about fuel, but with cigs and booze, the raise in duty is so that 'us kids' ie the UK population, don't go spending this wind-fall on stuff that's not good for them.
I like Labour, I even, dare I say it, like Gordon Brown (even if he is a Jock), but it is a Nanny/Orwellian state we live in.
Get used to it; it's not going to change.
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I like Labour, but i dont like this massive headache he has given my, just waiting for George to come on and help me.
Helen
I reckon most people wont pass the cost saving on they will simply charge more net.
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Come on then Tosh give us your eggspurt opinion on the cake/biscuit vat debate.
Are Jaffacakes vatable? ;D
Mick,
I would say that both cake and biscuits are VAT rated zero since they're food stuffs; but adding VAT to sugary and fatty foods that Chavs commonly eat such as cheesy puff balls, Tesco take away microwave Indian meals for two, and mini chicken kievs,... etc, would greatly reduce obesity.
I mean, for example VAT added to Gingster's pasties would reduce coronary heart-disease amongst the Charva classes by roughly 30%*, thereby saving the NHS a small fortune on by-pass surgery and type-two diabetes treatments; thereby off-setting the 100 trillion pound borrowing that Darling has...
I can't go on, apparantly it's my turn to take the dog for a walk. >:(
*Statistic just made up from a Geordie brain.
;D ;D
For the record though cakes = no vat. biscuits + vat. Something to do with traditional bakery items such as bread, tea cakes, geordie barm cakes :o ;D etc including Jaffacakes are free from VAT.
Work that one out.