Britain’s VAT rules have long been the butt of jokes such as when is a biscuit actually a cake.
Value Added Tax (VAT) on goods and services – first introduced in the UK in 1973 – is the biggest money-maker for HMRC behind income taxes, bringing in £168 billion to the Treasury last year.
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What is exempt?
Why are some goods VAT-free and not others?
Does the system work?
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