What should be done with the 2.5% VAT reduction - Poll

[#1]

Re-sellers should reduce the price to consumers with the same enthusiasm they will use to insist their suppliers do the same.
DM

[#2]

Methinks you misunderstand how the supply chain works.
Suppliers will just charge less VAT, which is reclaimed by (most) businesses anyway.
Most (all?) B2B prices are quoted net of VAT anyway.
Only consumer prices include VAT on relevant goods & services.
As a sole trader below the VAT threshold it's all different for me though. But most things I buy should now be a bit over 2% cheaper.

[#3]

Quote from: Mav

Can't see how that is correct. How can the amount VAT has been reduced by still belong to the government? I agree, though, that It'll be extra profit for the suppler. I really don't think suppliers/retailers will bother to adjust all their prices to benefit the buyer. You'll probably just see prices rise by a little over 2% for most smaller-priced items. Of course, the difference in larger-priced items willl be more noticable so the suppliers would then more likely be forced to offer it back to the buyer/consumer.

What I was trying to say VAT is the government money and plusnets should be paying it over to the government not using it to invest in "improved service" and if VAT goes down the full saving should be passed on to the customer, and not increasing their profit by stealth.
They should have NEVER have discussed this issue in the first place they are a major PLC (BT) they should have known better
puddy

[#4]

Quote from: puddy

They should have NEVER have discussed this issue in the first place they are a major PLC (BT) they should have known better

It is good that PlusNet PLC discussed the VAT with there customers, I say good on them for doing that! 

[#5]

Quote from: puddy

.... They should have NEVER have discussed this issue in the first place they are a major PLC (BT) they should have known better

I didn't think they had prior to posting on the Blog what is happening. All the topics on the forum about VAT have been started by customers as far as I am aware.

[#6]

Quote from: Midnight

It is good that PlusNet PLC discussed the VAT with there customers, I say good on them for doing that!

So they discussed it and  say "we will pocket the 2.5%"for us" would you still feel the same way?
Bet if vat went up to 18% in 12 month time which it will plusnet would take the extra vat from us straight away?
They won’t turn round and say we will take a hit and not pass on the increase will they?
When it does go up in 12/09 they will make money on the vat by front invoicing the date of vat increase instead of working out which days are at the old vat rate and which days are at the new rate vat.

puddy

[#7]

Quote from: puddy

Bet if vat went up to 18% in 12 month time

Isn't it due to go up 01/10?
My bet is that it'd go up to 20% - maybe that's worth another poll

[#8]

Quote from: Mav

Isn't it due to go up 01/10? My bet is that it'd go up to 20% - maybe that's worth another poll

hopefully brown will be long gone and Dave "the toff salesman " will be in power then I don’t hold much for "calamity clegg" getting in either
I thought the 15% vat rate will only last 12 months
Puddy
ps none worth voting for!!!!

[#9]

Quote from: puddy

I thought the 15% vat rate will only last 12 months

13 months.

[#10]

13 months to cover two christmas periods.
Ian

[#11]

Let's see...
Decimalisation (15th Feb 1971) where we went from 240 pence in the pound to 100 pence in the pound. 1p increase is worth a lot more than 1d.
Fuel changed from gallons to litres. A penny on a litre is worth a lot more than 1p on a gallon.
Now we are playing games with VAT.
There's nothing new under the sun
For our younger viewers 1d was the old pre-decimalisation penny.

[#12]

and we use to weigh things in Cwt and Stones

[#13]

Yeah...I used to weigh a respectable 12 stones now I weigh a massive 168 pounds

[#14]

But thats only 76.2 Kilo's

[#15]

Thanks for the boost in confidence Pierre