If outside EU people would pay ex-vat but have to pay vat back;Thats how they want you to think it works.
But beleive me reality doesnt come close to that.
From where Im sitting, People inside the EU have to pay UK tax on my exported goods but people outside will more than likely not.
My companies products are more compettitive outside the EU.
A frugal customer would be looking for alternatives outside the EU where taxes are more easily avoided.
Despite all the regulations, each country within the EU has a its own unique attitudes and characteristics.
Italy for instance is run by the Mafia. You cant legislate against that its simply how their country is.
In Greece, paying tax is only really for gullible people.
Free and fair trade is great. But you cant legislate people into being the same.
Its insulting to the people concerned and a waste of billions of pounds.
most EU country charge more than 17.5% vat ....
The problem don't come from this, it come from the possibility to don't pay vat ...
Big companies would left UK to a EU country to don't have to import/export everything and losing % both ways.
For Greece, kicking them off EU would be good. Lying should be a good enough reason.
Don't have problem with Italy mafia, what is wrong for you ?
What compagnie are you running ? (what are they doing)