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For a VAT to work they have to levy the tax at each stage. Import is a stage... But regardless, US exporters to the EU end up paying more taxes than domestic E
by NewJazz 2y ago
For a VAT to work they have to levy the tax at each stage. Import is a stage...
But regardless, US exporters to the EU end up paying more taxes than domestic EU producers.
No, because the domestic EU producers are paying VAT at each stage of their production process. The US manufacturers need to catch up!
- kvemkon 2y ago> the domestic EU producers are paying VAT at each stage of their production process. As long as I know, VAT should be payed only once for a finished product when sold to the very end customer.
- Muromec 2y agoNo. The vat is payed by the seller on full price of what they sell. So does their supplier. The trick is -- yoy get tax credits when your supplier is a vat payer. As a result, the tax is collected in parts over the final price sold to the non-business customer. Which is why being a registered one man company with a vat number allows you to get back vat for your laptop
- surfmike 2y agoWe pay sales tax on business inputs as well. But unlike European producers, that tax is not deductible from from the final VAT.
- NewJazz 2y agoSounds like we need our own VAT.