created by mr. lafferty maths dept vat st. andrew’s secondary s3 value added tax why do we pay it...
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![Page 1: Created by Mr. Lafferty Maths Dept VAT St. Andrew’s Secondary S3 Value added Tax Why do we pay it ? VAT means : To pay for NHS, bin collection, School](https://reader036.vdocuments.site/reader036/viewer/2022082709/56649d9d5503460f94a85f55/html5/thumbnails/1.jpg)
Created by Mr. LaffertyCreated by Mr. LaffertyMaths DeptMaths Dept
VATVATS
t. A
ndre
w’s
Seco
nd
ary
S3
Value added Tax
Why do we pay it ?
VAT means :
To pay for NHS, bin collection,School education etc……
17.5%
What is the current percentage rate of VAT
![Page 2: Created by Mr. Lafferty Maths Dept VAT St. Andrew’s Secondary S3 Value added Tax Why do we pay it ? VAT means : To pay for NHS, bin collection, School](https://reader036.vdocuments.site/reader036/viewer/2022082709/56649d9d5503460f94a85f55/html5/thumbnails/2.jpg)
Created by Mr. LaffertyCreated by Mr. LaffertyMaths DeptMaths Dept
VAT – 17.5%VAT – 17.5%S
t. A
ndre
w’s
Seco
nd
ary
S3Value added Tax
Example 1Example 1
How much will I pay for the computer below ?How much will I pay for the computer below ?
VAT means :
£1000 + VAT
Step 1 : work out VAT percentage
17.5×1000 = 0.175×1000 = £175
100
Step 2 : Total to pay is
£1000 + £175 = £175
![Page 3: Created by Mr. Lafferty Maths Dept VAT St. Andrew’s Secondary S3 Value added Tax Why do we pay it ? VAT means : To pay for NHS, bin collection, School](https://reader036.vdocuments.site/reader036/viewer/2022082709/56649d9d5503460f94a85f55/html5/thumbnails/3.jpg)
Created by Mr. LaffertyCreated by Mr. LaffertyMaths DeptMaths Dept
VAT – 17.5%VAT – 17.5%S
t. A
ndre
w’s
Seco
nd
ary
S3Value added Tax
Example 2Example 2
Price of the Plasma TV is shown below is excluding VAT.Price of the Plasma TV is shown below is excluding VAT.What is the total price I have to pay.What is the total price I have to pay.
VAT means :
Step 1 : work out VAT percentage17.5
×1500 = 0.175×1500 = £262.50100
Step 2 : Total to pay is
£1500 + 262.50 = £1762.50£1299 (excluding VAT)
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Created by Mr. LaffertyCreated by Mr. LaffertyMaths DeptMaths Dept
St.
An
dre
w’s
Seco
nd
ary
S3
Your turnYour turnExercise 6Exercise 6Page 65Page 65
VAT – 17.5%VAT – 17.5%Value added TaxVAT means :