Who invented VAT?

Answer 1

vat wasn't created by anyone paticular is was created by the government because it stopped people smuggling

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VAT was first devised by a German economist during the 18th century. He visualised a sales tax on goods that did not effect the cost of manufacture or distribution but was collected on the final price charged to the consumer. Therefore it did not matter how many transactions the goods went through, the tax was always a fixed percentage of the final price.

This type of tax was finally adopted by France in 1954. Then on the formation of the Common Market in Europe (know the European Union) it was decided that one requirement of joining was the imposition of a form of Value added tax. In 1973 the UK joined the European Union and replaced the existing Sales Tax with VAT.