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Jersey and Guernsey lose VAT case against UK Treasury
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Old 16-03-2012, 04:23   #1
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Jersey and Guernsey lose VAT case against UK Treasury

Quote:
Phil Balderson said he would have to move parts of his supplement business away from the island

Legal challenges against the scrapping of a tax loophole that allowed the Channel Islands to sell DVDs and CDs VAT-free have failed.

Jersey and Guernsey lost their cases after three days in the High Court to try to stop the UK Treasury ending Low Value Consignment Relief (LVCR).

Mr Justice Mitting ordered the islands to pay half the UK government's legal costs.

Both island governments said they were considering an appeal.
http://www.bbc.co.uk/news/world-europe-jersey-17375046
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Old 16-03-2012, 14:46   #2
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Re: Jersey and Guernsey lose VAT case against UK Treasury

I hoping that ruling will help us cut out debts, now can deal with the hundreds of billions stolen from the government in tax evasion and avoidance?
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Old 16-03-2012, 15:35   #3
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Re: Jersey and Guernsey lose VAT case against UK Treasury

So what does this ruling mean am I right to assume those companies like play, tesco, hmv, asda who used the loophole to sell games, dvd, cd from the channel isles will now have to cough up backdated vat.

Does this mean the bill passed onto the customers who bought such goods from these.
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Old 16-03-2012, 15:36   #4
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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Originally Posted by mertle View Post
So what does this ruling mean am I right to assume those companies like play, tesco, hmv, asda who used the loophole to sell games, dvd, cd from the channel isles will now have to cough up backdated vat.

Does this mean the bill passed onto the customers who bought such goods from these.
The prices themselfs will also increase by 20% now that they include VAT
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Old 16-03-2012, 15:57   #5
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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The prices themselfs will also increase by 20% now that they include VAT
would that be tesco's if you see it clearly seems to have VAT omitted wonder how they got away with it.

I would assume they paying it but you never know.

So can all those who used the service be getting whopping tax bill as the companies reclaim it.

Now lets have show hands who used these companies online if so

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Old 16-03-2012, 15:58   #6
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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Originally Posted by mertle View Post
would that be tesco's if you see it clearly seems to have VAT omitted wonder how they got away with it.

I would assume they paying it but you never know.

So can all those who used the service be getting whopping tax bill as the companies reclaim it.

Now lets have show hands who used these companies online if so

Does anyone know if Amazon did this, if not do your DVD shopping there
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Old 16-03-2012, 16:16   #7
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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Does anyone know if Amazon did this, if not do your DVD shopping there
amazon been named on this article as doing the same Alan

http://www.ft.com/cms/s/0/c42fef0c-6...44feab49a.html

Quote:
Internet retailer Amazon and major supermarkets including Asda Tesco use third-party consignment companies such as Indigo Starfish and The Hut to fulfil web orders for cut-price DVDs and CDs from the Channel Islands.
The islanders fear comapnies shift operations to Switzerland
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Old 16-03-2012, 16:26   #8
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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Originally Posted by mertle View Post
amazon been named on this article as doing the same Alan

http://www.ft.com/cms/s/0/c42fef0c-6...44feab49a.html



The islanders fear comapnies shift operations to Switzerland
Sadly, nothing will change then
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Old 16-03-2012, 16:38   #9
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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Originally Posted by Alan Fry View Post
Sadly, nothing will change then
nope companies today got no sense of patriotism will circumvent to any lengths to make its profits.
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Old 16-03-2012, 16:44   #10
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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nope companies today got no sense of patriotism will circumvent to any lengths to make its profits.
These days the world is globalised, for better or worse, maybe North Korea could become a tax haven
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Old 16-03-2012, 16:46   #11
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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maybe North Korea could become a tax haven
No not another daft idea by you.
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Old 16-03-2012, 16:50   #12
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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No not another daft idea by you.
That was a joke, unless agents of the State Security Department of North Korea were looking at this thread
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Old 16-03-2012, 22:31   #13
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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Originally Posted by mertle View Post
nope companies today got no sense of patriotism will circumvent to any lengths to make its profits.
Strange - I could have sworn the consumer benefited from the not paying of the VAT as well?
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Old 17-03-2012, 01:08   #14
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Re: Jersey and Guernsey lose VAT case against UK Treasury

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Strange - I could have sworn the consumer benefited from the not paying of the VAT as well?
I cant deny it I am just guilty thats why would like consesus cableforum users who used them.

Now personally I only used them infrequent when struggled to find it in shops films want namely The Killer John Woo & Hard Boiled asian films with chow yun fat. Timeless classics which for some reason was at one point very hard to get hold off. I love chinese/hk films plus martial arts films it was at one time extremely niche. You either went without used online.

As local places got it less used the online even detriment to saving money. I just hate online shopping it too risky I already in the passed got done so got me clamming up to use it anymore even though bank re-emburst it. Martial arts films much dearer due to importing so not uncommon to see them still £16.00 for even dvd at £22.00 BD. They are coming down.

Still I have used the online therefore guilty.

I do think if these companies threaten to take there custom due to pettyness somewhere else then its disgraceful.

Are they hoping threats mean the government wont make them do it.
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Old 17-03-2012, 09:38   #15
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Re: Jersey and Guernsey lose VAT case against UK Treasury

No, they are probably doing it to

A) keep the price down
B) keep the margin up

If the VAT is included, they have to pay it to HMRC - they don't keep any of it.....
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