VAT Increase

[PJ Tiling]

Will it have much of an impact on you?

 

[SandyFloor]

For those of us not vat registered working for the public our overheads will rise by 1.89% plus our customers will have less excess income to spend on home improvements so that's not good. My concern there is customers put too much emphasis on price rather than quality.

I think it really comes down to customers having the confidence to invest in their homes without worrying too much about their own jobs and income so hopefully the economy will turn round and show a steady growth and unemployment starts falling. I'm no economist so I have to hope the current government get it right.

 

[mikethetile]

I hope they get it right too sandy but going by their past performance I doubt they will, early signs are not looking good

 

[marbleman]

it will push the private market into cash only , as people just dont like paying vat at 17.5% so whatwill 20% do

 

[White Room]

I don't it will make a major difference to the domestic

 

[Diamond Pool Finishers]

other European countries are paying less :incazzato:

 

[doug boardley]

it will push the private market into cash only , as people just dont like paying vat at 17.5% so whatwill 20% do

but if you're not VAT registered it shouldn't make much of a difference,( apart from 2.5% on materials, fuel etc)

 

[Polishtradesman]

VAT increase here too. From 22% to 23%. I say no to taxes i say no to usless administration, leave our money for us, only frre market and liberalism.

 

[Daz]

For those servicing a domestic market that are below the VAT threshold, the materials costs will rise. I will adjust my day / sqm rate accordingly so no financial impact.

As far as the customer is concerned I feel that there will be a slow down, but I'm not too stressed yet, there will always be people investing in tiling so I may have to work harder to win the jobs.

 

[mikethetile]

there will be a general rise in the cost of living of more than 2.5%

and it will cause a slowdown in the recovery as peeps will have less disposable income

everyone needs to be paying less tax not more

I can understand the goverments argument that this is a tax on spending not income, if so go back to the first principles of vat where it was on luxuries not day today essentials, you can hardly describe fuel for work as a luxury or tools of your trade for that matter

all building work , tools and materials should be exempt inc the vans we have to buy

if the government were being truthfull about all of this they would have decreased income tax first and then increased vat

 

[Polishtradesman]

It should not be income tax a all in my opinion. They stole our money to give it to people who dont want to work. I hate social policy. You got in UK so big social that you will need Margaret Iron Lady again. I wish we have got such a prime minister in Poland, becouse all Europe is going wrong way and someone will pay for it, we gonna pay for it i afraid or our children

 

[Dan]

but if you're not VAT registered it shouldn't make much of a difference,( apart from 2.5% on materials, fuel etc)

And of course your living costs too though doug! Which means your earnings will need to increase also.

I think it'll mean more than 2.5% even on a business NOT VAT registered. Perhaps less of an impact on those who ARE VAT registered providing their customers are too?

 

[RockCeramics]

Had to do an Estimate for an up & coming job (if i get it that is)
On completion my Estimate would bring my earnings over the VAT threshold of £69k+
So i had to put VAT on part of Estimate which increases my quote by x amount.
Spoke to HMRC/VAT and they said i would have to contact thn 30days before i reach the threshold to register. But they did state that if i can prove that my next 12 months earnings will be below threshold then they say i might not have to register.
I suppose this all goes whether i get my estimate approved, if not i might be able to reduce by 17.5% if i dont need to reg for vat.

 

[mikethetile]

Had to do an Estimate for an up & coming job (if i get it that is)
On completion my Estimate would bring my earnings over the VAT threshold of £69k+
So i had to put VAT on part of Estimate which increases my quote by x amount.
Spoke to HMRC/VAT and they said i would have to contact thn 30days before i reach the threshold to register. But they did state that if i can prove that my next 12 months earnings will be below threshold then they say i might not have to register.
I suppose this all goes whether i get my estimate approved, if not i might be able to reduce by 17.5% if i dont need to reg for vat.

20% if your going to be paid after january1st 2011

 

[Deleted member 1779]

Will it have much of an impact on you?

We cant change the price of the Bathroom Fitters from £49.99 to £51.06 because it looks weird and also we have all the printed material and catalogues done.

To change the catalogues would not be cost effective.

So we will have to absorb the loss off our bottom line. So instead of the kit being £42.55 before VAT it will now have to be £41.66 (OK so a difference of £0.89p) But we will have to miss out on that 89p and take it off our bottom line.

Will the VAT make a difference? Yes... To us ! We will be worse off.