INCREASE VAT TO 25% ON ONLINE PURCHASES - A Smarter Tax Increase to benefit everyone

The Issue

We need smarter taxation to raise much needed government funds, but we need to make changes that are beneficial across the whole of society, not just follow the typical route of taxing wealthy. Taxing wealth does not work. These individuals will just defer any capital gains tax or leave the UK. They do not need pensions , so will just stop investing - imagine the impact to our financial services business. 

The UK High Street is broken by Online shopping. Online shopping has become about convenience to many and no longer about price. And there is nothing wrong with that, but that should come at a price. Convenience COSTS. You want anything delivered that is ordered online and it costs you 5% more VAT. (exemptions would apply for certain people like disability & NHS keyworkers) This also removes questions over which retailers pay fair UK corporation taxes.

Suddenly we REVIVE THE HIGH STREET. People start shopping in their towns & cities. They pay to park which helps councils, new retailers open and pay business rates rather than charity shops that are exempt from rates, AND we enjoy the experience! We stop returning 50% of what we buy. We meet friends face to face & chat. We visit grocery stores and are tempted by fresh produce so we make better healthy choices. We become more active so we get fitter which helps the NHS. 

Nothing is perfect, but why wouldn't a Government want to try something different like this instead of removing WINTER FUEL PAYMENTS?  Try it for 3 years & see what happens, what have we got to lose? If UK online shopping amounts to £200bn a year , then this raises £10bn, and if we assume the wealthy spend the most online & want the convenience then the wealthy will pay most towards this anyway....

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The Issue

We need smarter taxation to raise much needed government funds, but we need to make changes that are beneficial across the whole of society, not just follow the typical route of taxing wealthy. Taxing wealth does not work. These individuals will just defer any capital gains tax or leave the UK. They do not need pensions , so will just stop investing - imagine the impact to our financial services business. 

The UK High Street is broken by Online shopping. Online shopping has become about convenience to many and no longer about price. And there is nothing wrong with that, but that should come at a price. Convenience COSTS. You want anything delivered that is ordered online and it costs you 5% more VAT. (exemptions would apply for certain people like disability & NHS keyworkers) This also removes questions over which retailers pay fair UK corporation taxes.

Suddenly we REVIVE THE HIGH STREET. People start shopping in their towns & cities. They pay to park which helps councils, new retailers open and pay business rates rather than charity shops that are exempt from rates, AND we enjoy the experience! We stop returning 50% of what we buy. We meet friends face to face & chat. We visit grocery stores and are tempted by fresh produce so we make better healthy choices. We become more active so we get fitter which helps the NHS. 

Nothing is perfect, but why wouldn't a Government want to try something different like this instead of removing WINTER FUEL PAYMENTS?  Try it for 3 years & see what happens, what have we got to lose? If UK online shopping amounts to £200bn a year , then this raises £10bn, and if we assume the wealthy spend the most online & want the convenience then the wealthy will pay most towards this anyway....

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