Saturday, September 22, 2007
The Taxman Cometh
What Nanny takes with her right hand, she also takes with her left too!
Despite all her urging for us to get off our bottoms and do more exercise, it would seem that Nanny has not told her chums in HMRC.
The taxman is trying to add VAT to membership of local leisure centres. This would of course undermine Nanny's campaign to tackle obesity, as millions of people use swimming pools, gyms and leisure centres run by non-profit making leisure trusts.
HM Revenue & Customs is demanding 17.5% VAT on monthly and annual subscriptions to trusts, which include access to sporting and non-sporting facilities such as steam rooms and saunas.
The Revenue has also indicated that it will collect unpaid VAT retrospectively over the past three years, and could even charge interest on the debt — placing a huge financial burden on trusts.
A fine example of non integrated, non joined up and unconnected government policy.