Monday, 28 May 2012

Government U turn on vat on static caravans and pasties.



The sighs of relief could be heard the length and breadth of the country; in every cafe, bar and restaurant; in very work place and home; in everywhere, in fact: the government had dropped its plan to tax static caravans. I leapt for joy and punched the air myself as if energised by the joy of the collective consciousness even though I don’t possess or intend to a static caravan. Likewise, the hungry busy luncheoner who fancies a hot pasty. As long as the wrap of potatoes, carrot and steak chunks is cooling down after cooking there will be no vat. Let the rejoicing begin.
So, who thought of these everyday purchases as being ripe for tax? Was an HMRC operative on holiday in Cornwall and, as the rain bucketed down, looked over to see a caravan park with caravans that looked as if they had not moved for a long while; that were stationary, that were not being used for travel but as an abode; caravans that had long grass and bushes growing around them: caravans that were static - and so, they concluded, a liability was due. And, as the HMRC operative sat pleased as Punch  and watching the cloud stuffed sky offload its precipitations, they then turned their attention to the piping hotted-ness of the pasty they had bought at the Tasty Pasty shop in the high street. The operative thought, ‘this heatedness of this pasty is surely a taxable enhancement.’
If the HMRC have done a U turn on taxation of these two staples of our daily lives you can bet there is an operative out there right now frowning at some other goods or services that have hitherto enjoyed exemption or zero rated-ness. They will have to find the money from somewhere.

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