Potential US Free Trade deal

[longplay]

This quote flashed by me without registering earlier in the week, and it's taken me a while to track it down.

The US ambassador to the EU, Gordon Sondland, was on the Today programme on Friday and stated:

"It's our desire to see the parties come to an amicable conclusion so the United States can enter into a free trade agreement with both sides, and that neither do anything that would preclude a robust free trade agreement with the United States."

So VAT-free silver here we come?

https://www.bbc.co.uk/sounds/play/m0003d74

~51 minutes in

[Toddie]

Something to hope for. Wouldn't put money on it though.

[Goldhooked]

I wouldn’t wish too soon!  If supply of silver suddenly decreases in price then so does the value of your current stack on the second hand market.

[sixgun]

18 minutes ago, longplay said:

So VAT-free silver here we come?

No - VAT is not a duty (a tariff). A tariff free US-UK trade agreement does not result in VAT free silver.

If the UK leaves the EU that is the end of low VAT and no VAT silver coins.

[RacerCool]

8 minutes ago, sixgun said:

No - VAT is not a duty (a tariff). A tariff free US-UK trade agreement does not result in VAT free silver.

If the UK leaves the EU that is the end of low VAT and no VAT silver coins.

I wonder if it would be worthwhile for me start a silver smuggling operation.  I can somehow pass along the present low silver prices we have here in the USA.  Or I can exploit the situation, like any self-respecting organized crime-boss would. 😒

[sixgun]

Well you could send silver over from the US - but it might get intercepted by the pirates who would then demand a share of the value. You might carry some over if you flew to the UK but everything gets scanned and it is of relatively limited use considering the cost of flights, the time, the risks etc etc.

If your location were Eire you might make more progress on that footing.

[Pete]

The obvious future route for pirate silver will be across the border in Ireland.
That's the primary barrier that is stopping Maybot's deal.
A free trade deal with the USA means no tariffs or quotas but VAT is what our government inflicts on its loyal peasants and serfs.

[Fastnick]

If I can throw my two ha'pence in......

For what it's worth, my feelings are:

a) Don't expect a free trade deal with the US anytime soon

b) I have a sneaky feeling that we'll be able to buy cheap silver from Europe for quite some time yet 

We'll just have to see how things pan out over the next few months/years......

 

[sixgun]

36 minutes ago, Fastnick said:

If I can throw my two ha'pence in......

For what it's worth, my feelings are:

a) Don't expect a free trade deal with the US anytime soon

b) I have a sneaky feeling that we'll be able to buy cheap silver from Europe for quite some time yet 

We'll just have to see how things pan out over the next few months/years......

If and when the UK comes out of the EU, low and no VAT silver is over. It runs on legal anomalies. That being in the EU means you can exploit Estonia's VAT free silver coins and manipulation of old VAT rates and selling silver coins second hand in other states. David at GS.be told me he had got something up his sleeve should the UK leave the EU but he did not say what this was, that is if he has anything up his sleeve other than his arm. i expect there will be bit and pieces of lower VAT silver leak in under the radar, like the guy at the pub with cheap cigarettes but i cannot see HMRC and an allegedly cash strapped Treasury acting with generosity.

[RacerCool]

On 24/03/2019 at 11:12, sixgun said:

Well you could send silver over from the US - but it might get intercepted by the pirates who would then demand a share of the value. You might carry some over if you flew to the UK but everything gets scanned and it is of relatively limited use considering the cost of flights, the time, the risks etc etc.

If your location were Eire you might make more progress on that footing.

What, you've never heard of the Millennium Falcon? It's the ship that did the Atlantic Run in less than 12 nautical miles*.  I've made a few..."special" modifications myself.  I've outrun British warships.  Not the local bulk cruisers, mind you; I mean the big ships-of-the-line.  She's fast enough for you, old man.

( * makes about as much sense as what Han actually said.)

[longplay]

On 24/03/2019 at 19:02, Fastnick said:

a) Don't expect a free trade deal with the US anytime soon

You're not the only one to think that, as the Foreign Office just bought an apartment for the UK trade commissioner for North America (for a cool £12m)

https://www.bbc.co.uk/news/uk-47717397

[SiliconToad]

On 24/03/2019 at 13:54, sixgun said:

No - VAT is not a duty (a tariff). A tariff free US-UK trade agreement does not result in VAT free silver.

If the UK leaves the EU that is the end of low VAT and no VAT silver coins.

But shouldn't the tax be much reduced? I'm a bit unfamiliar with value added taxes being from the States, but my understanding is that the total tax is based on each step in the supply chain. So if there is a free trade agreement between the US and UK, shouldn't the product be taxed only in the last leg of the transaction after import and thus less VAT collected? Or am I underestimating the charity of the system?  

[sixgun]

There is an assumption that each leg of the transaction chain is the last leg. So If an item is bought at £10 and comes into the country the VAT is £2. The importer Tom pays the £2 'at the border'. If Tom importing the item then sells it to D1ck for £20, Tom reclaim the £2 and charges D1ck £4 as 20% of the new sales price. If D1ck then sells to Harry for £30, he can reclaim his £4 but charges £6. If the transaction chain ends with Harry, the final VAT is paid by Harry and he cannot reclaim anything.

VAT and duty are separate taxes. An item created in the UK, if sold by a VAT registered entity will have VAT charged (unless it is a non-VAT'd item) but of course there will be no duty as it was never imported.

Tariff free trade do not mean VAT free. i see something about pork meat imports might have a 4-5% tariff but there would be no VAT as non restaurant/hot takeaway food is VAT free in the UK. The issue with silver in the UK is not duty being charged it is VAT. Silver is duty free but the pirate slap on 20% VAT.  i am not sure what value they are adding but that is what they call it.

The website censor system converted D1ck into ***** 😄

[SiliconToad]

On 31/03/2019 at 22:06, sixgun said:

There is an assumption that each leg of the transaction chain is the last leg. So If an item is bought at £10 and comes into the country the VAT is £2. The importer Tom pays the £2 'at the border'. If Tom importing the item then sells it to D1ck for £20, Tom reclaim the £2 and charges D1ck £4 as 20% of the new sales price. If D1ck then sells to Harry for £30, he can reclaim his £4 but charges £6. If the transaction chain ends with Harry, the final VAT is paid by Harry and he cannot reclaim anything.

VAT and duty are separate taxes. An item created in the UK, if sold by a VAT registered entity will have VAT charged (unless it is a non-VAT'd item) but of course there will be no duty as it was never imported.

Tariff free trade do not mean VAT free. i see something about pork meat imports might have a 4-5% tariff but there would be no VAT as non restaurant/hot takeaway food is VAT free in the UK. The issue with silver in the UK is not duty being charged it is VAT. Silver is duty free but the pirate slap on 20% VAT.  i am not sure what value they are adding but that is what they call it.

The website censor system converted D1ck into ***** 😄

So what you are saying is that VAT taxes supply chains outside the UK that have nothing to do with the infrastructure the taxes support? AND they charge import duties on top of that? Damn... going to have to throw some Earl Grey tea into Boston Harbor on your behalf the next time I'm downtown. 😁

[sixgun]

3 hours ago, SiliconToad said:

So what you are saying is that VAT taxes supply chains outside the UK that have nothing to do with the infrastructure the taxes support? AND they charge import duties on top of that? Damn... going to have to throw some Earl Grey tea into Boston Harbor on your behalf the next time I'm downtown. 😁

The item should be exported tax free but if this weren't done you might get duty and VAT on top of the taxes from the other country. Pirates love stealing your treasure. 🏴‍☠️