VAT increase and impact on fuel

[528Sport]

With the pending vat increase how will this impact on fuel prices?
Is VAT currently only on the true fuel cost (ie 40p/ltr rest being mad up of tax) or is vat added after other taxes?

just wondering

[Eric Mc]

Just a hunch - but I expect they will increase by at least 2.5%.

[ewenm]

VAT is charged on the fuel+duty price.

[hornetrider]

Eric Mc said:

Just a hunch - but I expect they will increase by at least 2.5%.

And will round up, of course.

[528Sport]

ewenm said:

VAT is charged on the fuel+duty price.

thanks that's what I wanted to know

Edited by 528Sport on Thursday 21st October 16:53

[jbi]

taxing you for the privileged of being taxed

[Lost_BMW]

One of those 'hidden' elements of govt. revenue collection in that not many know of or think about this. Being taxed on tax, so when one tax goes up so does the cost of the other tax part just feels 'wrong'! I bet many would be outraged if they cottoned on to this.

But hey, our road infra structure benefits class need more cash.

[Einion Yrth]

Lost_BMW said:

One of those 'hidden' elements of govt. revenue collection in that not many know of or think about this. Being taxed on tax, so when one tax goes up so does the cost of the other tax part just feels 'wrong'! I bet many would be outraged if they cottoned on to this.

But hey, our road infra structure benefits class need more cash.

All tax is theft. I find myself utterly bemused that people feel that in some, strange, way some theft is in some way less 'fair'.

[wolves_wanderer]

Remember when they reduced vat they increased fuel duty to make sure fuel didn't get cheaper. I wonder if they will do the reverse now...

[Lost_BMW]

wolves_wanderer said:

Remember when they reduced vat they increased fuel duty to make sure fuel didn't get cheaper. I wonder if they will do the reverse now...

Erm? That'll be a no then!

[Pageo]

Interesting that Petrol in my area went up to £1.21.9 but this morning it fell to £1.17.9. The VAT increase will push it above the £1.20 barrier again.

When will the goverment realise that when fuel goes up so does inflation and bills. I think that if Fuel suddenly dropped to £1 a litre or less overnight ( it's not going to happen but... ) You will then see prices of food fall, and the economy would improve.

All we can hope is the French continue the strikes which would slow down the oil market in the EU (slighty) which would knock several pennies off a litre for a bit...

[Tsippy]

Pageo said:

All we can hope is the French continue the strikes which would slow down the oil market in the EU (slighty) which would knock several pennies off a litre for a bit...

The RAC were suggesting the french strikes could force petrol prices over £1.25 per litre

[Halb]

Can't we just nuke Iraq and steal all their oil?

[oyster]

Pageo said:

Interesting that Petrol in my area went up to £1.21.9 but this morning it fell to £1.17.9. The VAT increase will push it above the £1.20 barrier again.

When will the goverment realise that when fuel goes up so does inflation and bills. I think that if Fuel suddenly dropped to £1 a litre or less overnight ( it's not going to happen but... ) You will then see prices of food fall, and the economy would improve.

All we can hope is the French continue the strikes which would slow down the oil market in the EU (slighty) which would knock several pennies off a litre for a bit...

Are you for real?

1. The French strikes will restrict fuel availability and INCREASE proces, not cut them.

2. The country is in huge debt. Do you honestly believe the government will reduce fuel taxes in this scenario?

[anonymous-user]

Came across this one a while back, sure makes you wince to see how much tax we get ripped of for

http://www.thisismoney.co.uk/petrol-bills-calculat...

[Big E 118]

Tsippy said:

Pageo said:

All we can hope is the French continue the strikes which would slow down the oil market in the EU (slighty) which would knock several pennies off a litre for a bit...

The RAC were suggesting the french strikes could force petrol prices over £1.25 per litre

I saw an economist on telly the other day quoting £1.25 per litre from Jan 11, just when I'm planning on buying a V8

[Silver993tt]

Einion Yrth said:

All tax is theft.

so how does infrastructure get paid for? For example the roads & pavements that you use?

Edited by Silver993tt on Friday 22 October 13:16

[Pageo]

I am for real. I know that the goverment will never deduct it. Im saying that increasing it will make things a lot worse.

And i must of got the wrong end of the stick as i thought that if oil production has slowed for one country then its markets would fall etc, which would lower the oil cost, as the oil companies need to continue the same output levels?

[sherman]

oyster said:

Are you for real?

1. The French strikes will restrict fuel availability and INCREASE process, not cut them.

I dont understand how France blocking their refineries will make our petrol dearer?

[Oilchange]

I don't like the idea of any taxes rising but I remind myself it's inevitable due to the BAG OF st situation the last government left us with...