heres the real question
If we change the Topic heading to Tax on Business
There is 2 identities that are not changeable even though legislation involving those identities can change.
1.A registered Business Identity= Business identity number= BIN
2.General population identity= A living Person= ALP
The ALP is you and I, its everyone, for this example its your grandmother who is fixing her hobby garden.
The BIN can be a Sole Trader an OY,LLC,PTY LTD,Public Company, Private Company, Partnership,Non Profit,whatever type of business it is ,it has been registered and now it is a Business Identity.
BIN1 takes dirt from the ground and makes it available for sale @10euro per unit.BIN1 will sell to anyone even at the smallest unit.
THe point of the post is to show the VAT and how its affected all the way to the Final customer.
All BIN are VAT registered.
Example1-BIN1 sells 10 units@10e to BIN2 who sells 5 units@20e to BIN3 who sells 1 unit@30 euro to ALP=show VAT in formula
Example2-BIN2 sells 1 unit@20e to ALP=show VAT in formula
Example3-BIN1 sells 1 unit @10e to ALP=show VAT in formula
Roger i think this is one of your important questions.Any takers on expressing the VAT?
So ALP(grandma) paid BIN3 for a bag of soil , felt like she was getting ripped off, studied online.
ALP(grandma) paid BIN2 for a bag of soil , felt like she was getting ripped off again, studied online.
ALP(grandma) paid BIN1 for a bag of soil .
This is a good example i think as it shows the markup between B2B and the customer hunting for the bargain