De La Feria, R (2023) The UK VAT at 50: the Good, the Bad and the Ugly. British Tax Review, 30 (3). pp. 279-294. ISSN 0007-1870
Abstract
Adopted 50 years ago, the UK VAT is one of the oldest VATs in the world. On its 50th anniversary, this article considers its strengths and weaknesses, and sets out a vision for what should be the priorities for reform. It argues that being an early adopter of a tax that would go on to become a global tax phenomenon has had significant consequences on the design and functioning of that tax. On one hand, being an earlier adopter has allowed the UK to benefit from the technical advantages of the tax, namely in terms of efficiency and neutrality, whilst at the same time contributing to the country’s global soft power within the tax field. On the other hand, being an early adopter has enshrined some initial administrative and design features, which have stalled progress, and have resulted in the UK VAT lagging behind those of other countries. Whilst slow progress is being achieved in some areas, namely digitalisation of tax administration, in other areas, in particular base design, it is still absent. This article concludes that making the UK VAT fit for the next 50 years, means not only a continuation of the process of modernising its administration, but also entails addressing the elephant in the room: reforming the UK VAT base.
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2023 Thomson Reuters and Contributors. This is an author produced version of an article published in British Tax Review. Uploaded in accordance with the publisher's self-archiving policy. |
Dates: |
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Institution: | The University of Leeds |
Academic Units: | The University of Leeds > Faculty of Education, Social Sciences and Law (Leeds) > School of Law (Leeds) |
Depositing User: | Symplectic Publications |
Date Deposited: | 20 Jun 2023 15:50 |
Last Modified: | 25 Jul 2024 00:13 |
Published Version: | https://papers.ssrn.com/sol3/papers.cfm?abstract_i... |
Status: | Published |
Publisher: | Sweet and Maxwell |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:200485 |