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VAT's going on?

13 April 2006 / Mike Thexton
Issue: 4053 / Categories: Comment & Analysis , HMRC powers , VAT
MIKE THEXTON summarises the VAT changes in the 2006 Budget.

VAT GAVE GORDON Brown the background for the most contrived and extended joke in his speech (possibly in the history of Budget speeches) — listing the things he would not be imposing VAT on through food and newspapers to children's clothing and footwear 'including flip-flops' a dig at David Cameron who has been accused of 'flip-flopping' over policies. Mr Brown may need to sharpen the rapier of his wit if he is to take on Prime Minister's questions. He could of course work the same joke into a comment about closing down CGT avoidance schemes …
The things he did change included the usual uplifting of the registration thresholds (up by £1 000 to £61 000 from 1 April 2006) and related figures and the adjustment of the scale rates for the private use of fuel (which apply to the first return period...

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