{"id":3184,"date":"2009-02-19T16:47:19","date_gmt":"2009-02-19T14:47:19","guid":{"rendered":"http:\/\/www.taxresearch.org.uk\/Blog\/2009\/02\/19\/the-isle-of-man-is-still-getting-its-vat-subsidy\/"},"modified":"2009-02-19T16:47:19","modified_gmt":"2009-02-19T14:47:19","slug":"the-isle-of-man-is-still-getting-its-vat-subsidy","status":"publish","type":"post","link":"https:\/\/www.taxresearch.org.uk\/Blog\/2009\/02\/19\/the-isle-of-man-is-still-getting-its-vat-subsidy\/","title":{"rendered":"The Isle of Man is still getting its VAT subsidy"},"content":{"rendered":"<p>Those who argue with <a href=\"http:\/\/www.taxresearch.org.uk\/Blog\/2009\/02\/10\/the-isle-of-man-still-subsidised-by-the-uk-to-be-a-tax-haven\/\" target=\"_blank\">my analysis<\/a> of the Isle of Man's VAT subsidy from the UK keep saying that I'm wrong because the revised Common Purse Agreement that gives rise to this \u00a3200 million plus subsidy a year was revised in 2007, and so the sum will be going down soon.<\/p>\n<p>So I looked at the detailed budget for the Isle of Man for 2009\/10 published this week for evidence that this might happen. <a href=\"http:\/\/www.gov.im\/lib\/docs\/treasury\/budget\/2009\/budget0910.pdf\" target=\"_blank\">It's here<\/a>. Look at page 38.<\/p>\n<p>In 2007\/08 the Isle of Man had VAT receipts of \u00a3338 million - 56% of government income<\/p>\n<p>In 2008\/09 the figure is expected to be \u00a3338 million - 56% of government income.<\/p>\n<p>In 2009\/10 it is expected to be \u00a3292 million - 51% of government income from all sources.<\/p>\n<p>So it has fallen - but not for the reason predicted. The VAT rate in the Isle of Man is, of course, set by the UK. So the fall from 17.5% to 15% cut this major source of revenue for the Manx Treasury. In fact, multiply \u00a3338 million by 15\/17.5 and the answer is \u00a3290 million. In other words everything is carrying on as before.<\/p>\n<p>The Common Purse Agreement is without doubt giving rise to subsidies to the Isle of Man exceeding \u00a3200 million a year.<\/p>\n<p>Amazing, isn't it? I can think of 200 million better uses for that right now. None are in the Isle of Man.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Those who argue with my analysis of the Isle of Man&#8217;s VAT subsidy from the UK keep saying that I&#8217;m wrong because the revised Common<br \/><a class=\"moretag\" href=\"https:\/\/www.taxresearch.org.uk\/Blog\/2009\/02\/19\/the-isle-of-man-is-still-getting-its-vat-subsidy\/\"><em> Read the full article&#8230;<\/em><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6,34],"tags":[],"class_list":["post-3184","post","type-post","status-publish","format-standard","hentry","category-isle-of-man","category-vat"],"_links":{"self":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/3184","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/comments?post=3184"}],"version-history":[{"count":0,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/3184\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/media?parent=3184"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/categories?post=3184"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/tags?post=3184"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}