Friday, April 20, 2012

Static Caravan Tax our MP

Via the Wyre Forest Labour Blog  - In the Shuttle's MP section  on the afternoon of the 18th April 2012 19th April 2012 our MP Mark Garnier states that -

Caravan Tax is one where VAT is being proposed to be levied on new caravans. There is a consultation under way (as with many of the others), but with 27 caravan parks in Wyre Forest and tourism being a very significant engine of the local economy, increasing the cost of caravans can only decrease the demand for them and this could have a detrimental effect on our local tourist economy.
One would think this a clear-cut position - more tax = less sales = less tourists in this area.

But this hit the house later that day the day before on the 18th where many MPs spoke out against it both Labour and Conservative... but not our MP; perhaps he thought his Conservative colleagues made all the relevant points leaving him with nothing? The motion was that:
‘No new Order shall be made under section 30(4) or 31(2) of the Value Added Tax Act 1994 which amends the Act to apply to holiday caravans that are currently zero rated.’
In other words vote Yes to prevent the amendment of VAT on caravans; vote No so the government can change the VAT on caravans if it wants to.

So how did our MP, who the very next day stated that he thought this would be "detrimental" to the region, actually vote? He voted No, thus preventing the order and allowing the amendment of VAT on caravans.

Perhaps he thought that we'd best wait for the consultation's conclusions before adding an Order preventing any changes. Seems sensible to me; but then if I were in that position I wouldn't vote to prevent changes and then publicly announce that I thought any changes made would be a bad thing without at least explaining the contradiction.


Static Caravan UK said...

I have no idea about Tax things but I think somewhere you are right.