Purchase Tax

From Infogalactic: the planetary knowledge core
(Redirected from Purchase tax)
Jump to: navigation, search

Purchase Tax was a tax on 'luxury' goods sold in the UK from 1940[1] until 1973.[1]

On 21 October 1940, during World War II, Purchase Tax was introduced at a rate of 33​1⁄3% as a tax on sales of "luxury" goods in order to reduce the deemed wastage of raw materials.

At various times the tax was set at different rates depending the government-determined degree of "luxury"[2] of the item.[3]

In preparation for joining the European Economic Community (EU)[4] on 2 April 1973 Purchase Tax was abolished and replaced by Value Added Tax (VAT) at a rate of 10%, shortly to be lowered to 8%.[3]

References

  1. ↑ 1.0 1.1 Lua error in package.lua at line 80: module 'strict' not found.
  2. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  3. ↑ 3.0 3.1 Lua error in package.lua at line 80: module 'strict' not found.
  4. ↑ Lua error in package.lua at line 80: module 'strict' not found.

External links

<templatestyles src="Asbox/styles.css"></templatestyles>

Stub icon

This tax-related article is a stub. You can help Wikipedia by expanding it.
Retrieved from "https://infogalactic.com/w/index.php?title=Purchase_Tax&oldid=641631198"