Guest 640- Registered: 21 Apr 2007
- Posts: 7,819
#1
This is quite fascinating news from Ireland...who are dropping vat to a relatively lowly 9% across a whole range of services and charges. This is a bold and very creative move, a very creative move, to get their economy fast forwarding again. Standard VAT in Ireland is 13.5%. Even then it is a lot lower than here as we all know only too well. We thunder onto the scales at a massive 20%, so as you can see we are hamstrung here in the UK by crippling taxes, our recovery is hamstrung , its like fighting David Haye with one hand tied behind your back, all our wallets are sealed by the heavy leaden chains of taxation. Free us up so that we can spend is the cry!
Restaurants are particularly keen on this new move in Ireland, it will get people dining out again, one of the worst hit sectors, bills will be lower so people are freed up to spend that bit more and more often.
So a fascinating move. Very brave, perhaps a bit of a gamble...but could work bigtime.
howard mcsweeney1- Location: Dover
- Registered: 12 Mar 2008
- Posts: 62,352
#2
that is surprising news, in the situation they are in probably a good move.
tax rises and spending cuts seem to have hit a lot harder there than here.
i notice that greece has 3 or 4 levels of v.a.t.
Guest 645- Registered: 12 Mar 2008
- Posts: 4,463
#3
Howard
I think Alec said that VAT had risen to 23% killing off most restaurant businesses that rely on Tourism for their income..
A great move by Eire to stimulate the economy and put more cash back into the workers pockets.
Marek
I think therefore I am (not a Tory supporter)
#4
It has to be a positive risk - well done Ireland.
Guest 698- Registered: 28 May 2010
- Posts: 8,664
#5
In France VAT on fixed price menus in restaurants below a certain price is only 5%, the same as on most processed foodstuffs.
I'm an optimist. But I'm an optimist who takes my raincoat - Harold Wilson
Guest 696- Registered: 31 Mar 2010
- Posts: 8,115
#6
It's hard to see how this move on the part of the Irish government can be in line with the austerity measures required by the EU and the IMF, but it certainly is a good move, and a brave one.
I hope the Irish go a step further and abolish VAT altogether!
#7
It's in line with those measures because it addresses the issues. It is intended to increase spending and protect jobs. That seems to me to support austerity measures.............
howard mcsweeney1- Location: Dover
- Registered: 12 Mar 2008
- Posts: 62,352
#8
the cut is until december 2012, in my view ireland is actually trying to do something to stimulate our economy while we have to watch our leaders wringing their hands and bemoaning the position.
#9
I can only agree.
