leedswolf
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- Feb 3, 2010
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In the UK, VAT replaced Purchase Tax. Unlike VAT, Purchase Tax was applied at the point of manufacture and distribution, not at the point of sale. The rates of Purchase Tax for various classes of goods at the start of 1973, when it gave way to VAT, were 13%, 22%, 36% and 55%. VAT was originally set at 10%.Tbf VAT is a terrible idea. One of the most regressive taxes. Think it was a condition of joining the EEC?