bruce511 2 days ago

I've lived under GST and I've lived under VAT. As a consumer, VAT is a million times better.

Firstly, GST was added at the till. So something is marked as $5 on the shelf, ends up costing more than $5 at the till. Bonkers.

VAT is included in the delivery price. Says $5.99 on the shelf? You get a penny back from $6.

From a shop owner point of view, VAT is also a lot easier to administer. You don't care if the customer is VAT registered or not. That's their problem, not yours. GST was a headache. Some stuff goes yo end users (so collect tax) others goes to resellers (so dont). Here's a shocking outcome - rampant tax fraud... (fraud with VAT is still possible, but the tax loss is only on the vendors markup.)

Obviously different jurisdictions do VAT and GST differently, but when I travel to the US it feels like the stone age.

1
JimmyAustin 2 days ago

GST and VAT are the same thing, different countries just call them different things.

As an example, GST in Australia is in the price on the shelf. You can also claim back the GST you paid on your input goods, which means you effectively pay the difference on the GST your customers pay you, and you paid your suppliers (which is the value added!).