VAT increase 'costing taxpayer €700m'

For a long time I am arguing that the VAT increase was wrong, finaly the Minister sees it the same way as he confessed at a private business lunch on Friday.

Now next step for him is to review the VAT overall and lower it while at the same time introducing it to food products so that we are near to a "sales tax" than he will get in more money and we don't need to discuss the introduction of new tax bands.

No surprise really. Lenihan totally f***ed up! To increase VAT while our nearest neighbours lower it is total madness.

It is so so so true.

We have a little one on the way were pricing a buggy recently. Down here it was 780 and up north 520. That 6.5% difference in Vat was all that came between the two prices

Can anyone context that figure. In the great scheme of things how big a screw up is it?

Chocks away said:

Can anyone context that figure. In the great scheme of things how big a screw up is it?

Click to expand...

Not much of a screw up. The journalist reported what was said incorrectly.

Here is analysis of the VAT change:
http://www.irisheconomy.ie/index.php/2009/03/15/budget-vat-change-did-not-cost-e700-million/