Benefits Britain

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@Goofyhoofy

The primary advantage of a VAT tax is that you don’t entirely avoid it by skipping the final transaction: someone sells something under the table and doesn’t collect the tax. With a VAT a portion of the “value added” is collected at each step along the chain, meaning that it’s almost impossible to lose the entire value of the sales tax.

I know of a story out of Germany where this is the opposite.

Car parts from totaled cars on the Autobahn are unsuspectedly used in car repairs. Full price charged for the parts. Vat is collected in the process.

This went on for decades.

Plus German society is known to opt for cash.