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Good Godley! – It’s the seemingly irresistible rise and rise of Janey Godley

The indomitable, unstoppable Janey Godley

Some people are just unstoppable.

Janey Godley’s autobiography Handstands in the Dark (a bestseller in 2005 and 2006) is published for the first time as an audio book today and she appears yet again as a panellist on BBC1’s Have I Got News For You tomorrow night.

Penguin Books recently reprinted Handstands in the Dark with a new cover and new introduction. Frank Get the Door!, a book transcribing some of her viral video voiceovers, made the Sunday Times bestseller list last year. Her first novel is coming out next year. The Last Mermaid, a 2019 short film she co-wrote and starred in, won a couple of awards at Berlin and in Scotland; and she starred in a series of lockdown monologues for the National Theatre of Scotland.

In other words, she is on a roll.

Handstands in the Dark – Janey’s bestselling autobiography – still selling well after 16 years

Her nationwide UK comedy tour, which was interrupted by the Covid pandemic last year, re-starts this autumn. Her political voice-over videos have made her a worldwide viral YouTube hit complemented by animal voice-over videos and more family-friendly videos featuring her dog Honey.

Over the last few years, she has also built-up a massive following for her weekly podcasts, online pandemic chats with her daughter Ashley Storrie, random appearances on UK radio and TV, a weekly column in The Herald newspaper (she used to have a weekly column in The Scotsman) and what seem like daily news items in Scotland’s Daily Record about her Tweets.

Ashley has appeared in various BBC TV comedy series, has her own weekly BBC Scotland radio show and today BBC iPlayer (UK only) has posted online the new BBC3 comedy drama pilot Dinosaur in which she has the lead part as an undiagnosed autistic woman. It will be screened on BBC1 on 7th June and was made by Two Brothers Pictures, producers of Fleabag.

BBC TV have also just announced a new documentary series next year: Ashley & Janey Get a Real Job following the duo round the country doing things like working on a fishing boat (!)

So, obviously, I had to have a chat with Janey.

But what I was really interested in was the extraordinary range of her online commercial merchandise – everything from the normal and to-be-expected mugs and T-shirts to – extraordinarily – greetings cards, her artwork and bottles of Janey’s own Frank Get The Door! and Aw The Sandras branded gin at £32 a bottle…


JANEY: I’m sooooo fucking tired, John!

JOHN: I’m not surprised. You’ve been running round like a blue-arsed fly.

JANEY: I think it’s just… Well, I got shingles, which I’ve never had. 

JOHN: Jesus! That’s really painful.

JANEY: It really wasn’t that bad. I kept on thinking: Have I got sunburn? Then I got these sharp pains and a rash. It went away pretty fast; it wasn’t that bad. But then I got this dizzy thing.

JOHN: Vertigo?

JANEY: It was connected to the shingles and it started the morning I was filming with Joanna Lumley. I woke up, the whole world went sideways and I thought I was having a stroke. And we were filming on an old, bumpy bus.

JOHN: Your merchandise is everything from pens and mugs, T-shirts and face masks to bottles of gin. So how did that start? You were maybe a third of the way through a national UK tour, Covid hit and you had no live comedy income at all…

JANEY: And then Frank Get The Door! (the catchphrase from her viral Nicola Sturgeon voice-over videos) became really famous so we decided to make Frank Get The Door! T-shirts. My husband Sean got on LinkedIn and somebody recommended this guy lan Adie of Promotional Warehouse in Glasgow… I called him and he said: “You came to the right place at last, because I don’t need a deposit off you. We’ll make it and we’ll share it.”

The very first wave was T-shirts, clicky pens and cups. 

I told him: “It’s not going to do very much but, even if it does, I’m going to donate 100% of my profit to the STV Children’s Appeal.”

He said: “That’s weird, but OK.”

So they went on sale that first weekend, back in June/July last year… and he phoned me on the Monday and said: “Oh my God! We have sold 7,000 units!”

The first wave brought in £25,000 for the STV Children’s Appeal, which I don’t regret. I’m still happy that happened, despite HMRC (the UK government’s tax authority)… We had to pay tax on it… If you’re selling goods for a charity – not donations but selling goods for a charity – you still have to pay VAT because it’s sale through goods. Because people could say they have passed it on to charity but not done it.

JOHN: Even if you get a receipt from the charity?

JANEY: It doesn’t matter. What happens is £25,000 goes into my bank account. But I can’t just give that £25,000 to STV and say to HMRC: “Oh, I gave it all away to charity.” I have to pay VAT on the income, because they don’t see it as charity money; they see it as you making £25,000. I still have to pay VAT on it. So about £4,000 or £5,000 went to HMRC.

JOHN: And are you still donating your profit on those items to STV?

JANEY: No. The STV Children’s Appeal stopped. But now 100% of my profit on my Emotional Lifejacket merchandise goes to the Scottish Carers’ Trust. I don’t get a penny of that myself. If you buy anything from my website that’s got Emotional Lifejacket on it, 100% of my profit goes to the Carers’ Trust. We also did a 12-hour telethon for the Carers’ Trust and so far, all-in-all, we have raised about £50,000 for charity during lockdown.

JOHN: You branched into other merchandise…

JANEY: Well Ian Adie and I just clicked. He said: “We’ll do gin; we’ll do candles”… Then my daughter Ashley came up with this beautiful range – Neural Funky – because she was diagnosed with autism during lockdown… which was quite hard for her because we had always just thought that she was (LAUGHS) a bit weird… But, y’know…

JOHN: So now you have Janey Godley merchandise, Ashley Storrie merchandise and even Honey your dachshund has merchandise.

JANEY: Yes, Honey is now an earner. She cost us £8,000 when she nearly died the year before last, so…

JOHN: You’re on a roll. You survived having zero live comedy income for the last year and…

JANEY: My agent is very good. Every single day now we have to have a morning meeting where we go through the various offers that have come through. This morning (NAME BRAND) wanted me to do an advert for (A NOT INCONSIDERABLE SUM) and he said: “No, it’s not enough.”

I go back on tour in the Autumn, have one day off and then go straight into rehearsals for (A NOT-YET ANNOUNCED PROJECT).

JOHN: Penguin have just re-issued your 2005 autobiography Handstands in the Dark with a new cover, you have the new audiobook of Handstands in the Dark out now and your first novel is published by Hodder & Stoughton next year. Penguin must have suddenly realised how good you are if they’re bringing out an audio book after all this time.

The new unabridged audio version now on sale, read by Janey

JANEY: No! The audio book is published by Hodder & Stoughton. Penguin didn’t want to do the audio version, so Hodder said We want to do it! and bought the audio rights from Penguin.

JOHN: Penguin are mad. You are on a roll not just in the UK but in the US because of your Trump sign.

JANEY: And Hodder want me to write another book.

JOHN: Fiction or non-fiction?

JANEY: Fiction.

JOHN: You should do a sequel to your Handstands in the Dark autobiography. It ends on a cliffhanger. You could go from the end of the first book to some new climactic point – the Trump Is a Cunt sign maybe.

Janey’s iconic comment went viral and is now available as a greetings card from her online shop.

JANEY: I don’t think I want to, John.

ASHLEY (IN THE BACKGROUND, FROM THE KITCHEN): Mum! We keep getting people saying: When’s the next book in that series coming out!

JANEY: (BIG THEATRICAL SIGH)

ASHLEY: You have the distinct privilege that you can talk about the changing fucking dynamics of women in stand-up comedy from the 1990s to now. You have the excessive privilege that you can explain that to people who don’t understand it. You can explain what the fuck you had to go through so they can now get upset about an ‘inappropriate’ man brushing their arse!

(PAUSE)

JOHN: Anyway… The novel you’ve written which is coming out next year – Was it easy to write?

JANEY: It was so hard to write it in lockdown. For one thing I had just had shingles. Plus my confidence was shot-to-fuck and I was really, really busy doing all the other stuff. I couldn’t focus on being creative because I kept on panicking that We’re all gonna die! So I was writing bits but kept on fixing bits and kept on fixing bits and…

Then Ashley and I were stood in the kitchen one night and she said to me: “Just fucking write it! If it’s shite, just write all the shite out of your system. It’s a vomit draft. Get it all out!” So I did.

Janey Godley and Ashley Storrie – the dynamic duo of Scottish comedy (Photo: Andrew Laing)

I sent the ‘vomit draft’ off to Hodder and they got back to me after a week and said it was one of the best first drafts they’d ever had. They said it was publishable as it was, but the editing process since then has been really good.

Epilepsy Scotland gave me their offices to write it in and I got a researcher, Caitlin, who was fucking great.

Another Janey Sunday Times bestseller

JOHN: And, in the meantime, you published Frank Get The Door!

JANEY: I didn’t think it would sell but, fuck, did it sell! It was in the Sunday Times bestseller list. 

JOHN: Your videos go viral, so presumably there are sales of Frank Get The Door! worldwide because you are now known worldwide.

JANEY: And I’m about to write a Honey book – a family-friendly book.

JOHN: You will make Honey immortal.

JANEY: (LAUGHS) How are you now, John?

JOHN: Same as before.

JANEY: Can I be the headline act at your funeral when you die?

JOHN: Sure.

ASHLEY (FROM THE KITCHEN): Would you not rather have me? I’ve got TV credits. I’m just saying I’m in three upcoming television series.

JANEY: Yeah. You might be better with her headlining your funeral.

JOHN: How about you both as joint headliners?

ASHLEY: I don’t share my billing, but thankyou for the offer.

JANEY & ASHLEY: (LAUGHTER)


Janey’s main website is at http://www.janeygodley.com

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A UK comic with a building reputation and a collapsing Edinburgh Fringe show

Martin Soan - stimulated by decorating

Martin Soan – stimulated by home decorating

“I don’t mind admitting what I find stimulating,” said Martin Soan over breakfast this morning.

Pull The Other One comedy club runner Martin Soan is decorating my hall, stairs and landing this week.

It might seem odd having a man decorate your house who is best known for creating a naked balloon dance.

But Martin has more than a bit of previous, as prop-maker to comedy performers (of which I am not one).

“There was that Edinburgh Fringe show in 1995 where you created a kitchen for Boothby Graffoe,” I said.

“Did you ever see it?” Martin asked.

“No, I missed it,” I said. “But just getting the set in and out of the room must have been a nightmare.”

“For the first 20 minutes,” Martin explained, “Boothby did stand-up in front of a curtain while we erected the set behind the curtain. But, after the third day, I’d ironed-out all the problems and we could erect it in about 8 minutes. There was a table, oven, sink, bookcases, walls, doors and lots of little sight gags round the place.”

“And it was nominated for the Perrier Award,” I said, “but legend has it Boothby didn’t get the award because he wouldn’t be photographed drinking from a Perrier bottle.”

A photograph of a Perrier bottle without Boothby Graffoe

A Perrier bottle without any Boothby Graffoe

“He didn’t like playing up for the cameras” admitted Martin. “I was perfectly ready to prostitute myself. But, to be honest, we weren’t going to win, because it was about time a woman won it.”

“That was Jenny Eclair’s year?” I asked.

“Yeah,” said Martin.

“Well, at least it was a chum of yours,” I said.

“And good luck to her,” said Martin, “But Boothby didn’t behave for the Perrier publicity and  Avalon (Boothby Graffoe’s agent at the time) didn’t want to put the show on tour because they couldn’t see any profit in it. Insane.

“Such a pity, because there were some brilliant gags in it. The concept was there were sight gags all round the kitchen and, five minutes before the end of the show, Boothby said: I’ve gotta just put some washing in the washing machine. Then he said Look after it and left the stage.

“Then there was just an empty kitchen with the washing machine in the middle going Brrrrrrr…. There was a great big pause and silence, then giggles from the audience. Then it goes into spin mode and I’d taken some of the ballast out of the washing machine so it really started shaking and that started vibrating the whole of the set and gradually, bit by bit, everything started falling down.

“The oven walked out and exploded – I had a stick and the top would come down and I’d weighted the top so, when it hit the back of the thing, it lifted everything up in the air….

“The Welsh Dresser’s shelves fell down alternately, either side, and the plates would run down like some sort of pinball machine…

“There was just lots and lots of stuff. We had great big lumps of cornice at the top which were knocked off and the wall was strips of lino so it looked like a solid wall but, of course, when the set fell apart, it used to curl up and fall to the floor…

“The table legs used to jump up in the air and the table would collapse.

“The door was fantastic – a floating door – so there were sight gags with that, where you would open the door one way, close it, then open it the other way and it used to spin on its axis.

“Boothby did this sketch about No 10 Downing Street. The door would spin round. It was black and had No 10 on it. He put on a policeman’s outfit and pretended to be the copper outside No 10, looking around. Then he’d open up the letterbox and shout in You wanker! Then the door would open and I’d stand there bollock naked wearing a John Major face mask.

“There were three of us putting up the set every day, then packing it away and putting it into a Portakabin. There was me and Suzie the stagehand and a guy called Adam. It was a massive show which packed down into almost a zen thing.”

“How long did it take to design and build the set?” I asked.

“About 9 months to make it,” replied Martin.

“And at Edinburgh?” I asked.

In lieu of any photos of a collapsing kitchen, Marton Soan in my hall this afternoon

In the absence of photographs of a collapsing kitchen at the Edinburgh Fringe in 1995, Martin Soan in my hallway today…

“I used to get there around five hours before the show,” explained Martin, “and I’d be fixing stuff because things got damaged every day. About 2 hours before the show, I’d start arranging the gear in a specific order for a massive get-in real quick when the show started.”

“And this was outside?” I asked.

“We had the Portakabin,” explained Martin, “and I stuck up tarpaulins outside in case it started raining.”

“You got full houses at the Edinburgh Fringe, didn’t you?” I asked.

“The first day, people were really, really worried we could pull it off,” said Martin. “Then there were respectable-sized audiences the first three days and the show was sold out from Day 4 for the rest of the run.”

“So you and Boothby made lots of money out of it?” I asked.

“There were £33,000 of tickets sold, “said Martin, “and we got a £400 cheque nine months later, after loads and loads of hassling.”

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Janet Street-Porter is wrong; Amazon, Google, Starbucks, Jimmy Carr are right

"Kiss my ass" - the cry of bad law-makers

The English legal system and British government out grazing

Am I alone in wondering why Starbucks is getting so much stick about not paying its taxes in the UK?

And Google. And Amazon. And (getting surprisingly less stick) Vodafone.

Yesterday, Janet Street-Porter (whom I rate vary highly) wrote a piece for The Independent headlined GOOGLE, AMAZON, VODAFONE AND STARBUCKS MIGHT NOT BE BREAKING LAWS. BUT THEY DESERVE TO BE PUNISHED. 

Why?

Why should anyone or any company be punished for not breaking any laws? Should you be punished for not breaking the law? Should I be punished for not breaking the law?

Admittedly, Starbucks’ PR is utter shit.

Saying they will, out of the goodness of their corporate heart,  pay a flat sum of £20 million totally unrelated to any percentage of their profits is simply shooting themselves in their very large, clown-like feet.

But, if the law allows them to do what they have been doing – paying only 1% of their UK profits in tax over the last 14 years – then do not blame Starbucks, blame the British government, blame Parliament and blame the taxman.

If the law is not what the government and the public want, then change the law. And do not change it retrospectively.

If I park my car outside a house and the government or local council does not want me to do that, then paint a double yellow line on the road. Don’t paint a double yellow line on the road and then fine me for parking illegally on the road before it had a double yellow line and when parking there was perfectly legal.

Jimmy Carr got crucified in the same way.

His accountant sorted out his tax perfectly legally and in the most efficient way for Jimmy… and then the government complained he was wrong in acting perfectly legally…

If the law is an ass, then don’t blame the people or companies who ride the ass. Don’t ask people to kiss the English legal system’s ass. Change the law.

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Throw eggs at hypocritical politicians who attack law-abiding Jimmy Carr

Mad inventor John Ward is building a catapult

(This was also published in the Huffington Post)

What’s all this bullshit over comedian Jimmy Carr paying 1% tax on his millions by exploiting a perfectly legal tax loophole?

If the government has passed laws which have loopholes which the Prime Minister considers “morally repugnant”, then the government should close the loopholes, not try to appear to be morally superior by criticising people who are acting perfectly legally.

British-based American comedian Lewis Schaffer said to me when this Jimmy Carr story first blew up: “What’s the big deal? In America, it’s not an option – it’s seen as a patriotic duty to pay as little tax as possible.”

Bloody right.

If Jimmy Carr is given the option by Parliamentary law to pay either 1% tax or 40% tax, why is it morally repugnant of him to pay 1%?

It is not morally repugnant; it is common sense to do it.

It would be financially and intellectually stupid of him to pay anything more than 1%.

If the politicians do not like it, then they should change the law.

The Labour-leaning Daily Mirror newspaper today says that “against a backdrop of cuts that threaten jobs and livelihoods, struggling Britons will agree with David Cameron that Jimmy Carr’s tax avoidance was morally wrong.”

I suspect this is utter bollocks. Where are these Britons who want to give money to the Inland Revenue and who think anyone should pay 39% more tax than they actually have to?

The Mirror is on stronger ground when it says: “Hard-up families being stripped of their child benefit will be furious that Mr Cameron’s rich pals are allowed to get away with paying just one per cent tax,” especially as “his stockbroker dad Ian used tax havens in Panama City and Geneva to build up the family fortune,” and that “the PM appointed billionaire Sir Philip Green as a Government adviser despite complicated tax arrangements which mean his High Street retail empire is owned by his Monaco-based wife.”

I am sure the Labour Party front bench is equally hypocritical and I would be interested to see how much tax the owners of Mirror Group Newspapers are paying.

Are they sending letters to the Inland Revenue saying: “I notice that I legally only have to pay 5% tax, but I would like to donate another 35% to the nation in these hard times”?

Perhaps, to be morally responsible, while Britain is in a recession caused by highly-paid bankers with good accountants, Westminster politicians – who are paid above the average wage – should donate to the Inland Revenue the difference between their salaries and the average salary of the average Briton.

I somehow suspect they would see this as unfair and unnecessary.

But they should put up or shut up.

Let he who is without sin cast the first stone.

Meanwhile, in more important news, my chum mad inventor John Ward is building a giant catapult for Sunday’s World Egg Throwing Championships in Lincolnshire.

Now THAT is important news.

I know whom I would like to see as the primary target for the eggs.

And it ain’t the perfectly law-abiding Jimmy Carr.

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How thinking up a good TV format can make you a millionaire or screw you with a horrendous court case

Last weekend I posted a blog about Mr Methane phoning me from Manchester Airport on his way home from recording a TV show in Denmark. It turned out he wasn’t on his way home. He is still away on his professional travels – farting around the world, some might call it – but he has given me more details of the Danish show he appeared in.

He was brought on stage as Mr Methane and farted in the face of a man whom he had to make laugh within 60 seconds. Mr Methane tells me:

“The show comes out in Denmark in the autumn and is called My Man Can: the ladies bet on what their man will be able to achieve and he has fuck-all idea what’s going on because he is in a glass cylinder listening to Take That or some other shite music that’s being piped in. It’s a bit like a modern day Mr & Mrs with a slightly different twist so Derek Batey doesn’t see them in court.”

It does sound a bit like that to me too and I also thought Derek Batey created the TV gameshow Mr and Mrs but, in fact, it was created by the legendary Canadian TV quiz show uber-creater Roy Ward Dickson

TV formats are big business. I remember the ATV series Blockbusters hosted by Bob Holness (the request “Give me a pee, Bob” was oft-quoted by fans).

It was based on a US format and, in the UK, was networked on ITV from 1983 to 1993. In one period, I think in the late 1980s, it ran every day around teatime Monday to Friday. From memory (and I may be wrong on details) at that time the format creators were getting £5,000 per show and the show was transmitted for six months every year – I think they transmitted for three months, then had three months off air, then transmitted for another three months and so on.

That is serious money in the late 1980s. To save you the calculation, 26 x 6 x £5,000 = £780,000 per year for a format thought up several years before; and the format was also running on US TV and in several other countries around the world and, for all I know, could still be running in several countries around the world 25 years later.

That is why format ownership and copyright is so important. If you have an idea, it can maintain your millionaire status 25 years down the line. Ripping-off formats is an extraordinary phenomenon. You would think, given the amount of money involved, that there would be some workable law against it, but there isn’t. One factor, of course, is that you cannot copyright an idea; you can only copyright a format and there lies the rub that will probably stop you and me becoming millionaires.

My Man Can, for example, is most definitely not a rip-off of Mr and Mrs. The format of My Man Can is that “four women gamble with the abilities their partners possess – and put the men’s courage and skills to the test. She sits at a gambling table and bets her rivals that her man can accomplish certain tasks. He waits helplessly in a soundproof cubicle, waiting to hear the task his wife has accepted on his behalf. Each of the women is given 100 gambling chips which she uses to bet on her partner’s performance in each round of the game.”

The most definitive horror story I know about formats is the scandalous failure of Hughie Green to get the courts’ protection over the format to his Opportunity Knocks talent show.

Green first started Opportunity Knocks as a radio show in 1949. As a TV series, it ran from 1956 to 1978 and was later revived with Bob Monkhouse and Les Dawson presenting 1987-1990.

Hughie Green invented a thing called “the clap-o-meter” which measured the decibel volume of clapping by the studio audience after an act had performed. But the acts were voted-on by viewers and Green’s several catch-phrases included “Tonight, Opportunity Knocks for…” and “Don’t forget to vote-vote-vote. Cos your vote counts.”

The way I remember the copyright problem is that, one day in the 1980s, Hughie Green got a letter from the Inland Revenue asking why, on his tax return, he had not declared his royalties from the New Zealand version of Opportunity Knocks in 1975 and 1978. This was the first time he knew there was a New Zealand version.

It turned out the New Zealand Broadcasting Corporation had transmitted a TV talent show series which not only ran along the same lines as Hughie Green’s show but which was actually titled Opportunity Knocks, had a clap-o-meter to measure audience clapping and used the catchphrases “Tonight, Opportunity Knocks for…” and “Don’t forget to vote-vote-vote. Cos your vote counts.”

Not surprisingly, in 1989, Green sued the New Zealand Broadcasting Corporation for copyright infringement. He lost. He appealed. He lost. My memory is that it ultimately reached the House of Lords in London, sitting as the highest court of appeal in the Commonwealth. He lost. Because all the courts decided that a largely unscripted show which was different every week (which is what a talent show is) with “a loose format defined by catchphrases and accessories” (such as the clap-o-meter) was not copyrightable and “there were no formal scripts and no ‘format bible’ to express the unique elements that made up the show”.

In 2005, Simon Fuller sued Simon Cowell claiming that Cowell’s The X-Factor was a rip-off of Fuller’s own Pop Idol. The case was quickly adjourned and settled out of court within a month. Copyright disputes are not something you want to take to court.

Once upon two times, I interviewed separately the former friends Brian Clemens (main creative force behind The Avengers TV series) and Terry Nation (who created the Daleks for Doctor Who). BBC TV had transmitted a series called Survivors 1975-1977 which Terry Nation had created. Or so he said. Brian Clemens claimed he had told Terry Nation the detailed idea for Survivors several years before and Nation had ripped him off. It destroyed their friendship.

As I say, I interviewed both separately.

I can tell you that both of them absolutely, totally believed they were in the right.

Brian Clemens absolutely 100% believed he had told Terry Nation the format and had been intentionally ripped-off.

Terry Nation absolutely 100% believed that Survivors was his idea.

They fought a case in the High Court in London and, eventually, both abandoned the case because of the astronomically-mounting costs. Neither could afford to fight the case.

There’s a lesson in legal systems here.

Basically, even if you are fairly wealthy, you cannot afford to defend your own copyright. If you are fighting as individuals, the legal fees will crucify you. If  you are foolish enough to fight any large company, they have more money to stretch out legal cases longer with better lawyers than you. They will win. In the case of Hughie Green, even if you are rich and famous, you may be no different from a man who is wearing a blindfold and who, when he takes it off, finds someone is farting in his face.

When BBC TV remade Survivors in 2008, it was said to be “not a remake of the original BBC television series” but “loosely based on the novel of the same name that Nation wrote following the first season of the original series.”

Guess why.

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The most obscene tax in Britain (and Europe)

It’s time to do the quarterly VAT return.

I know this is hardly an original thought but…

Fuck me slowly with a sweet potato while floating in a tub of battery acid…

Is VAT not just the most appallingly obscene tax ever thought up by any Euro-wanker in the entire history of Euro-wanking?

It’s a tax on behalf of the rich and against the poor.

All big companies and sensible people with loads of money are registered for VAT and ultimately don’t pay it. People on lower incomes and people struggling to make ends meet – single parents, the unemployed, the disabled, the retired, pensioners – are forced to pay it.

What sort of tax is that?

It’s a tax which very large companies do not pay and which the unemployed do pay. It’s a tax which specifically targets those least able to pay it.

For those registered, VAT is a tax where the money just goes round in a circle and the government does not benefit at the end of the process; it just keeps loads of bureaucrats in pointless work.

In a simplified but basically true break-down…

Company A adds 20% VAT on top of the price they really want to charge and then bills Company B 120% of what they need to charge.

Company A then pays the 20% VAT money it receives to the Taxman (minus loads of expenses) and Company B then claims back from the Taxman the whole 20% of the 120% they paid.

In effect, Company A collects 20% VAT and hands it to the Taxman (minus expenses – so they give less than the full 20% to the Taxman)… the Taxman then hands back to Company B the full 20% VAT which Company B shelled-out. So:

– Company B has lost some money for a short time but ultimately pays nothing.

– Company A has passed on less than full 20% to the Taxman, who has then paid the full 20% to Company B

– So Company B has, ultimately paid nothing and the Taxman has paid out more than he received.

At this level of companies, millionaires and other people who can afford accountants, the whole thing goes round in a circle and creates jobs but not tax revenue. Am I missing something?

There are points in the system where Company A and the Taxman are holding onto money and earning interest on the money from bank accounts – well, Company A is. But that’s the basic system. The money goes round in a circle if you already have a lot of money.

At petrol stations, for example, companies and rich entrepreneurs and businessmen, in effect, do not pay any VAT at all – they claim it all back. But the less well-off who own cars have to pay the full extra 20% which they can’t avoid.

It’s a tax which specifically targets the less well-off which discriminates in favour of the better-off.

It’s obscene.

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