[stoobs]

VAT is collected by the retailer and paid to the exchequer of the country of sale.

The VAT sum is recorded at the time of sale, but the whole amount sits in the company finances until the VAT is settled with the exchequer.

The company holds the VAT sum between collection and settlement, potentially benefiting from the temporary cash flow in that period.

[mr_toad]

Sales taxes are collected by the seller for reasons of convenience. They are intended to act as taxes on the consumer. For political reasons this is as not obvious as possible.

If they weren’t taxes intended to fall only on the consumer then:

* businesses wouldn’t be able to claim back sales taxes on their purchases.

* consumers wouldn’t be personally liable for taxes on goods they import.

[stoobs]

None of that contradicts what I posted. What point were you trying to make again?