The tax enforcers at the HMRC are proposing a massive increase in the tax payable when purchasing a home solar and battery combo, with the existing 5 per cent VAT rate possibly rising to 20 per cent in the near future.
HMRC says it’s all the fault of the EU, as subsidising energy saving equipment with lower taxes in this manner counts as state aid under current taxation rules, hence it has no choice but to raise the rates and have more money for itself.
Obviously the Renewable Energy Association is not best pleased, and is warning that such a rise will push back the adoption of home solar-battery installs, and rather goes against the whole “climate emergency” thing the government so proudly backed mere weeks ago.
There is, as ever, a petition to sign if you are against such changes and would like to momentarily feel like you’re making a difference, without anything happening or changing as a result. [Guardian]
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