Thursday, 24 March 2011

Politics: Unpopular And Dangerous

A small business interest group is urging the UK government to meddle with some taxes. Again...

This time the proposal is actually sensible, although most people (especially with their consumer hats on) will not really like it. In the spot-light - again - is the VAT exemption for small value items delivered from the Channel Islands. Yes, that's the one where a CD you order from Amazon is delivered to you from Jersey at an exorbitant postage price - borne by Amazon, but nevertheless outrageous - so you can have your ears tickled for less. A tax loophole the size of Jersey if ever there was one. To make it clear where I stand on this: if the exemption were meticulously applied only to produce, and companies, from Channel Islands then I could see the point to the whole scheme. Island life is expensive enough as it is, and islanders generally deserve some breaks. However, for Tesco, Amazon, and the likes, otherwise based and fully established elsewhere to be allowed to rob your and mine budget (and that's where your healthcare and suchlike comes from) is truly criminal, and a savvy citizen should oppose it.

So, George Osborne, take note and can or repair Channel Island VAT exemption...