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Originally Posted by JSWolf
You are wrong here. VAT was removed from eBooks. The priced then became £3.32.
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No it didn't.
Again, you do not understand how VAT works.
It does not affect directly the price the consumer pays. Changing the VAT level does not mean automatic change in prices, any more than changing the level of corporation tax would. It is not US sales tax.
The seller decides what price to charge, that is the price the consumer pays.
From that price, the seller has to remit a certain percentage to the government. That is what is controlled by the VAT level.
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How do you remove VAT from something and have the price stay the same without the non-VAT price being raised?
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For a consumer, the concept of non-VAT price is meaningless. All consumer goods are (legally required to be) priced with VAT included, the displayed price is the price paid.
Non-VAT prices only have any meaning for business to business transactions.