Wiggle remove VAT from children's helmets

daymobrew

Earlier this week I was trying to buy some children's bike helmets from Wiggle. I noticed that the price jumped 23% from £17.99 to £22.13 when I set the delivery destination to Ireland. My LBS was charging 20 euro but could not get the colours I needed.

I queried the change, pointing out that there is no VAT on children's helmets in Ireland, and after a few emails they corrected the issue. Cool.

ashleey

Great work. Now lobby the politicians to remove it from adult helmets too!

daymobrew

ashleey wrote: »

Great work. Now lobby the politicians to remove it from adult helmets too!

According to info from the EU in 2003, the European Commission seem to want to remove[/b[ special VAT rates

Why doesn't the Commission propose reduced rates for products which improve road safety, especially helmets and protective clothing for motorcyclists?

Unfortunately this is not an objective which can be achieved by a reduction in the rate of VAT: even if a reduced rate were applied, the purchasing price of such equipment is still high and a focus on special incentives to encourage people to buy it and use it is preferable.

The standard rate is in fact applicable throughout the Community except for the UK, which currently enjoys a specific derogation allowing it to keep a zero rate for motorcycle and bicycle helmets. The current proposal for a Directive proposes to exclude zero rates for non-Annex H products: the standard rate will therefore be applied across the Community.

Beasty

ashleey wrote: »

Great work. Now lobby the politicians to remove it from adult helmets too!

I presume the zero rating is on the basis of them being considered "children's clothing" rather than anything to do with safety

tbh, zero-rating is a bit of an anomaly with the VAT system, particularly so far as children's clothing is concerned. I remember when VAT was introduced in the UK in 1973 - I was 12 at the time, but nearly 6' 2", and never was able to benefit from zero rating, whereas there are lots of small adults that are actually getting subsidised by the rest of us. (I know it's going a bit off topic, but it is Friday;))

ashleey

My 9 year old daughter has gone into size 5 adult shoes (yes she is a good swimmer), so I feel your pain in my wallet.

What about the special VAT treatment introduced for 'tourist activities', like eating out? Seeing as it's a ranting day, the dim wits in charge can manipulate any stuff they like.

Beasty

ashleey wrote: »

What about the special VAT treatment introduced for 'tourist activities', like eating out? Seeing as it's a ranting day, the dim wits in charge can manipulate any stuff they like.

Someone somewhere will note an upturn in Tourists visiting Ireland this year. There will be some pronouncement that they have been flocking to Ireland to take advantage of the low VAT - then someone will point out that the devaluation in the Euro in recent months is worth getting on for 4 times as much as that VAT reduction to anyone coming from outside the Eurozone (and let's face it, not many from within the Eurozone will be travelling too far this year)

Kav0777

Beasty wrote: »

..whereas there are lots of small adults that are actually getting subsidised by the rest of us..

and so you should, you take up more space

ashleey

Beasty wrote: »

Someone somewhere will note an upturn in Tourists visiting Ireland this year. There will be some pronouncement that they have been flocking to Ireland to take advantage of the low VAT - then someone will point out that the devaluation in the Euro in recent months is worth getting on for 4 times as much as that VAT reduction to anyone coming from outside the Eurozone (and let's face it, not many from within the Eurozone will be travelling too far this year)

My mate in Luxembourg says they are seeing Greek cars visiting for the first time. I don't think they are visiting The Grund

ROK ON

Beasty wrote: »

I presume the zero rating is on the basis of them being considered "children's clothing" rather than anything to do with safety

tbh, zero-rating is a bit of an anomaly with the VAT system, particularly so far as children's clothing is concerned. I remember when VAT was introduced in the UK in 1973 - I was 12 at the time, but nearly 6' 2", and never was able to benefit from zero rating, whereas there are lots of small adults that are actually getting subsidised by the rest of us. (I know it's going a bit off topic, but it is Friday;))

You may laugh at that Beasty, but during the 1980s version of austerity in Ireland, a minority Government fell on that particular issue as they failed to get a budget passed. The proposal was to pit VAT on kids shoes as there was tax leakage due to small vested adults buying kids shoes.

And they say this country doesn't need the IMf :-(

Holyboy

VAT is not charged on any helmets in the UK or at least it didnt used to be, unless its changed in the last three years.

daymobrew

Holyboy wrote: »

VAT is not charged on any helmets in the UK or at least it didnt used to be, unless its changed in the last three years.

Seems to be still the case according to the VAT table on the Wiggle site (I told them to update the Irish info to show VAT at 23%, not 21%).

CharlieR

All safety equipment in the UK is vat free, I thought it was the same throughout Europe?

Beasty

CharlieR wrote: »

All safety equipment in the UK is vat free, I thought it was the same throughout Europe?

No, it's down to individual member states to decide if VAT zero-rating is applied to specific categories of goods

AFAIK safety equipment has always been zero rated in the UK. In fact there has been pressure from the EU to do away with zero-rating altogether. I think it's very difficult (maybe even not possible) to get zero rating for items previously subject to a positive rate of VAT - basically once zero-rating has been removed from a category of goods you're not supposed to go back to it

CharlieR

Beasty wrote: »

CharlieR wrote: »

All safety equipment in the UK is vat free, I thought it was the same throughout Europe?

No, it's down to individual member states to decide if VAT zero-rating is applied to specific categories of goods

AFAIK safety equipment has always been zero rated in the UK. In fact there has been pressure from the EU to do away with zero-rating altogether. I think it's very difficult (maybe even not possible) to get zero rating for items previously subject to a positive rate of VAT - basically once zero-rating has been removed from a category of goods you're not supposed to go back to it

Perhaps we're all living too long and they are trying to reduce the population by ensuring we don't use safety equip unless they tell you so and make it an offence not to do so and the charge you 80 euro for the priveledge if paid within the first 30 days.

You would think a country trying to reduce road deaths would do its bit?