Socialist tax scheme.

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Socialist tax scheme steals from some companies and gives to other companies.

Half of them don't even know it's going to happen.

Quote
"Surveys have shown that thousands of businesses are unaware they are supposed to be taking part, or even that the scheme exists at all."

"Of about 4,000 organisations estimated to qualify for the scheme, only 1,229 have registered to date, leaving thousands at risk of fines."

"Missing the Sept 30 deadline will mean an immediate £5,000 fine, and £500 for each day after that, up to a maximum of £45,000."

"The Environment Agency, which will run the scheme for the Government, has refused even to publish a list of the companies that are required to register."


And as everyone with half a brain knows, businesses never absorb costs, they are always passed along to the consumer.

 

[FluffyMcDeath]

This is nothing new. In the US they have had socialist taxes that take from some companies and give to others for decades. The companies that get taken from are ones like Mom and Pop stores and the ones that get the tax money are companies like Boeing, Raytheon, McDonnell Douglas.

Is it a good idea? Well, when you are buying most of your energy from abroad it's a choice between letting the government take a chunk of money to stop you spending it on energy (so at least the money stays at home) or sending the money abroad to the energy suppliers.

Companies always try to pass the costs on to the consumer but that doesn't mean they always can. Remember there is an economic back pressure - consumers won't buy what they can't afford. When everyone has lots of money they buy everything on a whim and don't care if they are overcharged. In a more austere environment margins get squeezed as consumers are much less cavalier about their spending.