The basis of VAT on food was, I believe, that as a basic necessity it should not incur VAT. Therefore most food is VAT free. Takeaways, hot food, snacks, confectionary etc are considered not.
The world of food, its production and consumption has changed greatly since the 1970's when much less processed food was consumed.
My suggestion is to change the categorisation of VAT on food.
No VAT. All unprocessed food e.g. fruit, vegetables, meat, fish - but also including slightly processed food staples such as rice, bread, pasta, flour, oats, dairy, etc. (A list would have to be created similar to what is done currently)
VAT-able. Everything else. This includes everything currently incurring VAT but additionally, and crucially all processed food because that is where most of the added fat, sugar, salt and various other carp is added. These would be currently VAT exempt.
Benefits.
Would encourage healthier eating. Woud encourage home cooking. Would cut obesity, diabetes, heart and orthopaedic problems. Would benefit NHS greatly. Would have positive tax effect on the economy due to increased VAT revenue. People would have more idea what they were eating.
Government would lay down what was non-VAT and everything else is VAT able.
Peanuts are already VATable. Dairy would continue to be nonVAT. Oil and sugar would be treated as a staple under my rules and non-VAT.
I wouldn't punish people who want some sugar in their tea. It is not dictatorial, but it makes people aware that they are putting sugar in their tea. The problem with processed food is that by and large people don't know what they are eating.
Government would lay down what was non-VAT and everything else is VAT able.Peanuts are already VATable. Dairy would continue to be nonVAT. Oil and sugar would be treated as a staple under my rules and non-VAT.I wouldn't punish people who want some
So you'd tax Fatty A for having a Snicker's Bar, but you'd reward Fatty B for his healthy choice of a sandwich made from two slices of wholemeal bread despite the fact that the bread will raise his blood sugar on his journey to diabetes land higher than if he had eaten the Snicker's Bar?
It's funny when you say: "crucially all processed food because that is where most of the added fat, sugar, salt and various other carp is added." And yet you think bread isn't highly processed or full of chemicals, here's a slice of Hovis:
Mmm, that does look healthy - soya and rapeseed oil, sugar, sugar and sugar and some nice emulsifiers.
So you'd tax Fatty A for having a Snicker's Bar, but you'd reward Fatty B for his healthy choice of a sandwich made from two slices of wholemeal bread despite the fact that the bread will raise his blood sugar on his journey to diabetes land higher t
Flowermyth has hit the nail on the head. There would be massive outcries and complaints, perhaps legal action, from food companies whose products are on the list. Bread being the perfect example - massively processed yet a real staple also.
Flowermyth has hit the nail on the head. There would be massive outcries and complaints, perhaps legal action, from food companies whose products are on the list. Bread being the perfect example - massively processed yet a real staple also.
I don't disagree with your point about bread FM. Actually, I only added bread into staples as an afterthought. Imagine the outcry if VAT were put on bread!
What grounds could a company have for legal action? Current VAT laws are pretty arbitrary already.
VAT on food is an outdated, blunt tool. My suggestion updates and sharpens the tool. It doesn't make it into a swiss army knife.
btw, I did consider a 3 tier VAT system but thought it too complex.
I don't disagree with your point about bread FM. Actually, I only added bread into staples as an afterthought. Imagine the outcry if VAT were put on bread!What grounds could a company have for legal action? Current VAT laws are pretty arbitrary al
something does need to be done though. sugars seemed to get away with murder quite litterally compared to fats , tobacco and alcahol.
some peopel think sucrose is the only problem but fructose and sorbitol are just as bad.
something does need to be done though.sugars seemed to get away with murder quite litterally compared to fats , tobacco and alcahol.some peopel think sucrose is the only problem but fructose and sorbitol are just as bad.
When VAT was first introduced, food products actually had it (the VAT - which was 7.5%) taken OFF of the cost instead of being added. This was excellent at the time as the cost of Walnut Whips at the school Tuck shop was reduced by 1/2p.
I've often wondered if it was the government's plan to first make people happy about the cost reduction before hitting them with gradual cost increases over the next couple of years.
Another unfair levying of VAT is on Women's sanitary products!
Most of all; 20 fecking % is a ridiculous amount to charge end users for nearly everything.
When VAT was first introduced, food products actually had it (the VAT - which was 7.5%) taken OFF of the cost instead of being added.This was excellent at the time as the cost of Walnut Whips at the school Tuck shop was reduced by 1/2p.I've often won