4 ms·

The problem is that some countries are within the European union but are tax havens. Luxemburg is such a country with 15% VAT but most other countries have 20%+

by acd 12y ago

The problem is that some countries are within the European union but are tax havens. Luxemburg is such a country with 15% VAT but most other countries have 20%+ VAT. The solution should be to have one VAT level which is higher than 15% and the same in the whole union.

dublinclontarf 12y ago
Is tax haven another term for tax competition?
- moomin 12y ago
  I'd argue that tax competition is where one jurisdiction uses tax law to attract substantive business to their country (e.g. a factory, a call centre, a movie). I'd call it a tax haven is where there's no actual change in the operation of business except for a couple of lawyers and accountants. And that's kind of the point. If you buy from Amazon in the UK, the goods are already stored in a warehouse in the UK, the consumer is in the UK, the guys doing the deliveries will be UK citizens. It's a UK operation.
yc1010 12y ago
Won't happen 1. Countries like UK where the EU is constantly demonized in the tabloids (and hence in the mind of average person who reads this trash) would have their populations screaming murder, hell there already strong calls to leave the EU 2. Countries like Ireland have increased VAT to insane levels as a revenue raising measure to pay for huge deficits run up by banking fiascos and huge welfare/healthcare commitments Anyways even the US has individual states setting their own sales taxes (or none) albeit at a quite lower average level than anywhere in EU What is needed is clear exemption EU wide for online businesses selling service (And maybe even goods) for lets say 10 years, to encourage competition There is a reason the likes of Amazon, Ebay etc have appeared in the US first
- NicoJuicy 12y ago
  Let them leave the EU, without such a big nation they are nothing (being financial capital of the world won't change much for the EU, but a lot for the UK). UK needs EU, weither they like it or not.

by acd 12y ago

dublinclontarf 12y ago

Is tax haven another term for tax competition?

moomin 12y ago
I'd argue that tax competition is where one jurisdiction uses tax law to attract substantive business to their country (e.g. a factory, a call centre, a movie). I'd call it a tax haven is where there's no actual change in the operation of business except for a couple of lawyers and accountants. And that's kind of the point. If you buy from Amazon in the UK, the goods are already stored in a warehouse in the UK, the consumer is in the UK, the guys doing the deliveries will be UK citizens. It's a UK operation.

yc1010 12y ago

Won't happen 1. Countries like UK where the EU is constantly demonized in the tabloids (and hence in the mind of average person who reads this trash) would have their populations screaming murder, hell there already strong calls to leave the EU 2. Countries like Ireland have increased VAT to insane levels as a revenue raising measure to pay for huge deficits run up by banking fiascos and huge welfare/healthcare commitments Anyways even the US has individual states setting their own sales taxes (or none) albeit at a quite lower average level than anywhere in EU What is needed is clear exemption EU wide for online businesses selling service (And maybe even goods) for lets say 10 years, to encourage competition There is a reason the likes of Amazon, Ebay etc have appeared in the US first

NicoJuicy 12y ago
Let them leave the EU, without such a big nation they are nothing (being financial capital of the world won't change much for the EU, but a lot for the UK). UK needs EU, weither they like it or not.