[Gllug] [OT] Times Article on ABD was Fighting a virus

[John Winters]

David Damerell wrote:
> On Wednesday, 21 Feb 2007, Mike Brodbelt wrote:
>> Christopher Hunter wrote:
>>> On Wed, 2007-02-21 at 21:03 +0000, John Winters wrote:
>>>> To make that completely clear - if I do a bit of work for you, and the 
>>>> work is subject to all the usual tax charges (VAT, both slices of NI, 
>>>> and Income Tax at 23%) then for each pound which you hand over, the 
>> Don't forget you pay VAT on a lot of your outgoings as well, which
>> whacks that figure straight up to 70%.
> 
> Of course, if creative accounting isn't enough, you can just use plain
> old innumeracy. If John's 53% is right (and it assumes I'm a
> contractor payments for whose services are subject to VAT, which I'm
> not),

No, it doesn't assume you're a contractor, although that's a handy way 
of looking at it in order to understand the calculation.

Although it's possible that the work you do is not subject to VAT on 
delivery of whatever service it is to a consumer (e.g. you're a 
book-binder) the modal case is that it is subject to VAT so it makes 
sense to include it.

John
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