Its been proposed that VAT is a regressive tax, the machinations that go towards collection are wasteful and expensive, the administration of this tax is costing businesses creating even more waste and thus less jobs.
Anecdotally Ive ran three microbusinesses and VAT is costly, expensive and time consuming. We also experienced extremely negative interactions with investigators where the presumption is always one of guilt with no appeal possible.
Point one, do you accept the idea it should be removed?
Point two, how?
The problem with removing it is that for all its inefficiencies, expense and problems it still manages to generate a massive amount of money and that isnt easy to fabricate out if thin air. Take the UK as an example Im positive the figure is in excess of 90 bn PA.
I agree with its removal but it would have to be phased in over 5 budgets (2 decades) with a 4% reduction per budget.