APD: the new amounts

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Viewing 11 posts - 16 through 26 (of 26 total)

  • MrMichael
    Participant

    Do I like paying taxes? NO
    Do I like paying APD? NO
    Do I want our government to deliver essential services and look after vulnerable people? YES.

    So any cut in APD (UK or just in Scotland) has to be made up somehow from somewhere, whether it be for social services protecting vulnerable children to the defence of the realm to MP’s subsidised lunches, the appetite of our governments coffers will not diminish, and it will have to find pickings elsewhere.


    LuganoPirate
    Participant

    Trouble is most governments spend and spend and even if they taxed us at 100% they’d still want to spend more.

    The fact is also that while many on this forum are savvy enough to travel via AMS etc 99% of travellers are not or can’t be bothered so government continue to rake it in. Only when a critical number do the channel hop and the coffers are affected or BA start screaming will HMG take any notice.


    conshaldow
    Participant

    MrMichael – 15/03/2016 14:14 GMT

    The idea (with Scotland anyway I believe) is that the government will make up the APD shortfall with the monies received via the economic benefits they say will be created with the abolition of APD.

    The question is whether the numbers work, and if the economic benefits does indeed outweigh the loss upon abolishing APD.

    It looks as if it’s all but certain, with the SNP likely to have a landslide victory at this years Scottish General Election, and the fact that it rings true with a lot of the public north of the border. It’ll be an interesting development.

    The UK government could do worse than allow Scotland to be the test pilot for such a move.


    canucklad
    Participant

    I totally agree with you Simon, government needs dosh, but I question the methodology and even more, how the money is spent. In particular the relationship between centralised government and local councils,

    It’s that time of year again, when our roads and bridges are scarred with bollards. The bridge that spans our local river is getting its annual makeover and maintenance. Does it need it , Ehmmm no….But West Lothian council need to spend, spend, and spend to ensure they maintain their budget. So much for saving cash in this time of austerity.

    As for reducing APD, several different reports believe that there would be a net gain in taxation revenue through increased tourism and localised business growth


    AnthonyDunn
    Participant

    Can anyone remind me just how much VAT is levied on transportation, notably air transportation? And can anyone provide any form of rationalisation for one particular area of economic activity being totally exempt from taxes?


    MrMichael
    Participant

    Canucklad, Conshaldow, your dead right, if the economic benefits to the treasury somehow stack up, then sure…cut it or even abolish it. The problem is that central government departments often get their sums wrong, or don’t even do any sums to start with. I was at a meeting with the DVLA where the subject of making car Log Books (V5) virtual. Sounds sensible, easier for most people, loads of paper saved. However, I challenged the economics as a replacement V5 has a charge of £25. They looked aghast at the question, but fortunately someone from the treasury was in attendance and pointed out it was looking like huge £33m hole in the DVLA’s budget if they went ahead. Back to the drawing board on that one (and virtual tax discs). But the problem is the same, getting the sums right. If it can be absolutely shown where the loss will be made up, then fine make the cut to ADP, but make sure first before the taxpayers of Britain get what they don’t want, kids dying due to a third world social system.


    AnthonyDunn
    Participant

    @ canucklad – 15/03/2016 09:22 GMT

    Mobile phones and flowers are subject to VAT whereas food (from wherever it comes) is not.

    For those applauding the SNP’s latest populist play regarding APD, might I suggest watching Andrew Neil’s interview with the Scotch First Minister on the “Sunday Politics” this last Sunday 13Mar16:

    http://www.bbc.co.uk/iplayer/episode/b072nrp3/sunday-politics-london-13032016

    From Andrew Neil’s interview, with Scotch tax revenues now £10,000 per capita per annum whereas these were £10,700 in 2011-12, with a Scotch government deficit of over 10% of GDP (over twice that of the rest of the UK) and with a per capita deficit of some £2,400, it was pointed out that an independent Scotland would have had either to raise taxes by 16% or cut expenditure by 14% to balance the books (and be permitted entry to the EU). Incidentally, it’s now the rest of the UK (err, read London and the South-East) which is now making up the difference to those north of the border.

    It will be fascinating to see either which other taxes are going to have to be raised or which services are going to have to be cut to fund the APD reduction for a socio-demographic which is an appreciably better off section of the population.


    canucklad
    Participant

    An update from up north…….north of the border that is!

    Whilst being interviewed on BBC radio’s Good Morning Scotland , Kezia Dugdale , the Labour leader in Scotland has announced that because APD is a regressive tax against the poor and because it heavily favours the rich, if Labour win May’s election , APD will stay.
    The income generated, to be used to subsidize poor families first house ourchase.

    When pressed on Gideon’s plans to shortly remove APD for under 16 year olds, she hummed, hawed and finally , after reiterating her opinions on it being a rich freinfly tax, intimated that there will be no change to the tax as it stands.

    In summary, if Kezia and co find themselves holding power at Holyrood then it seems it’s going to be a full role reversal, if you fly with family. north of the border you’ll pay more !


    mikeact
    Participant

    Me too, have used AMS for a number of years now…must have saved a small fortune. Also starting BA flights ex EU, also saved amazing amounts.


    canucklad
    Participant

    Another update for those of you interested , the Scottish Parliament now has control of APD north of the border, after
    MSPs voted by 108 to 11 to replace APD, with a new devolved Air Departure Tax from April 2018.
    The Air Departure Tax Bill sets out the structure of the new tax and how it will be collected and managed by Revenue Scotland.
    The Scottish government wants the tax cut by 50 per cent, before eventually scrapping it completely.

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