Quote Originally Posted by doc_bean
Errr... I worked in a bar, we could buy are beer tax free and had to pay taxes on what we sold, as a percentage of the price we sold it at. That's mostly how it works I believe, tax is only calculated on the end price of the finished product. Otherwise how could a company that buys intermediate goods compete with a company that can work from raw resources ? There would be no outsourcing then.
Well in less things have changed that's the way it works in the UK. Liberal democrats here want to impose a VAT and raise gas prices to European levels.