What is VAT? | Back to Basics

Our latest Back to Basics video explains what is value-added tax (VAT) and how it works. bit.ly/3tp28VN
00:01 - What is VAT?
00:30 - How do value-added taxes work?
02:46 - Why VAT?
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[@SmoothOthello]

you had way too much fun making this

[@m.s.599]

I find it weird that we pay taxes twice. Once when we get paid and then again when we buy stuff.

[@junaid7197]

This video explains VAT brilliantly. Thank you for making.

[@niroshasudarshani3607]

Ohhh nice explanation dr🎉

[@maths8619]

I need to know about Silva credit banking

[@wafflygamer2278]

20% The standard rate of VAT increased to 20% on 4 January 2011 (from 17.5%). Some things are exempt from VAT , such as postage stamps, financial and property transactions. ... VAT rates for goods and services.

[@caucausation2882]

Great finely I’ve got it

[@WhatDuhAzn]

So is vat artificial inflating prices?

[@KW-gb9cd]

3:33 Funding for creating equality? What exactly does that mean?

[@a_als]

Eg. building more schools in low income areas to help gain equal access to education

[@theofficialmascot]

it means they try to make you feel good about getting ripped off and being charged extra

[@ollalab7138]

AMAZING

[@Dorothy_t3]

Just when you thought you knew it all, here's important refund information

[@exentr]

So, my concernings is. I am a fisherman. I sell my fish to the fish company. The fish company pays me the fish + 10% VAT. But what do I do with VAT? May I spend the VAT money to keep my business running and as a salary or do I save VAT till the tax authorities demand the VAT? Pardon my English

[@curb_shifter]

now explain inflation as hidden tax,... aaand go

[@rushdHBTS]

Most people don't have time to understand VAT. They pay blindly.

[@josephpeters2619]

So it’s a sales tax with extra steps.

[@shoarmik6389]

I still don't get the argument that without VAT businesses would collect a tax, what tax are we talking about?

[@surbon514]

The sales tax we pay in the US, for example. It can be anywhere from 0-10% (6% here, and it's NOT included in the price tag) This kind of tax is basically all paid for by the final consumer, if a mechanic buys parts from a parts company, he doesn't pay tax and worry about credits. The final consumer pays that 6% here, and 4 times a year, the mechanic submits his payment and tax forms to the government.

[@YAHUAHlaughs]

Whether illegally or legally they earn the same amount of money so it motivates them to report the taxes collected because they’re getting the money back either way

[@Jennifer_30n]

Binance's CEO opens up about future developments in an exclusive interview

[@Charles_1219]

Playfully, high five! Your money's gone on a little adventure from the bank to your Visa/Mastercard card and made it in one piece!

[@oo--7714]

Honestly it’s too high, I wouldn’t be malding if it was 4-10% but 20%, too excessive holy shit.

[@surbon514]

That's understandable, but it's so hard to compare apples to apples in two different countries. France and the UK both have minimal property taxes, whereas in the US, they can be quite high since here, most of the responsibility for paying for local services and schools falls on property owners. This drives up rent, too! Consider retirees for example. They make fewer major purchases so even though the rate is 20% in the UK and France, but they end up in good shape because if you're not gaining much, you're not spending much on VAT purchases. We Americans can't make our property/school taxes drop.

[@surbon514]

I think VAT is needlessly complicated and unfair to the poor and working classes. Except for Switzerland and the Nordic countries, Europeans make much lower salaries than Americans on average. The poor and working classes would get crushed even further in my country, the US, if they had to pay 20% VAT on everything. That's a VERY big bite of what little income some people have!

[@thelonercoder5816]

and Europeans love to brag about all their benefits lmao.. this is why they get so much social benefits.. high taxes.

[@UrbanMouse]

So VAT is why the poor and working classes or so much better off in the US ?

[@jlhqxi]

BA?

[@HamguyBacon]

Food should not be taxed at all, In this model the public is paying 40% vax tax on all goods.

[@9mmwaffle.]

Pro tip: give tax breaks to the consumer so everyday people don't pay the bill. In the US particularly corporations are avoiding taxes like the plague

[@m.s.599]

Still don’t get it. So basically everyone just screws everybody ? Is that it?

[@nicholassunderbruch7131]

Watch the video again

[@viacheslavsavateev6522]

Thank you. Even my wife now understands…

[@kimmanning2913]

We can do whatever we want. Their sin vat is full.

[@katavenger]

The USA would probably still use the same high income tax as it does now along with the VAT. So people would pay even more. Of course more could be used for "Social" programs. Socialism at it's best? Ya right . . .

[@melgibzon3d]

"Our olf friend, Value added tax" Taxes are not your friend :D

[@khall187]

What an absolute joke VAT is.

[@saintmay1952]

It is!

[@Betty___47s]

The Bitcoin transfer has been successfully wrapped up-kudos to you!

[@plasmaman9592]

That's the stupidest thing I have heard of in regards to tax. I'm surprised those countries don't revert back to Bartering for goods on the low end

[@ScottP6397]

People ware waking up too!!! What your trying to pull!!! And it's not going to work!!!

[@Wilhelm96]

What? 😂

[@wvmy]

Vat tax? You made a video about market value and profit. This is not vat tax dawg 😂. You basically sell it based on its value you have bought it for and selling it for its prophet. And giving its dividends to each company that was involved. That's not vat lmao. Tax in general comes from government not from or by the people.

[@theofficialmascot]

This video almost as cringe as the tax itself

[@noseyparker6969]

Last comment but worth the scrolling.

[@Abhinavkumar-og3xd]

Please speak in hindi.

[@PicklMyNickle]

So it's just theft disguised as a good thing like every other tax.

[@Betty_81]

Playfully, high five! Your money's gone on a little adventure from the bank to your Visa/Mastercard card and made it in one piece!