There’s a lot of speculation that George Osborne will have to raise VAT to 20% from its current 17.5% rate in his emergency budget on June 22nd.
It would, no doubt, be a temporary measure to raise revenue needed to dilute the £170 billion budget deficit.
A 2.5% increase on every day items such as a gallon of fuel, clothing items and CDs is one thing. But on costly items such a hike will not go unnoticed.
Which brings me to my favourite subject. Estate agency fees.
The average property price in Essex is £230,000. The average fee is 1.6% which equates to a sum of £3680.00.
At 20% the vat would add £736 in tax. Your total bill would be £4416.00.
To think…. eMoov can you sell your home for less than HALF what our competitors would cost you in VAT alone.
eMoov.co.uk sell homes in Barking, Basildon, Billericay, Braintree, Brentwood, Burnham on Crouch, Castle Point, Chelmsford, Colchester, Clacton, Dagenham, Epping, Harlow, Harwich, Hockley, Ilford, Ingatestone, Leigh-on-Sea, Loughton, Maldon, Rayleigh, Rochford, Shenfield, South Woodham Ferrers, Southend and Wickford. We are estate agents but our fees are much less than ordinary estate agents.