A new car is worth 'LIST - VAT 'after you leave forecourt ?
Discussion
To all the spucktards who keep repeating this mantra, you are not making yourselves look clever or sophisticated !
You are completely reiterating s
te that has been spouted for so long, that most retards on here, believe it to be true..........
The value of a car once you drive off a forecourt is determind by the simple law of Supply and Demand.
So give it a rest you dumb fking stupid s !!!!!
You are completely reiterating s
te that has been spouted for so long, that most retards on here, believe it to be true..........The value of a car once you drive off a forecourt is determind by the simple law of Supply and Demand.
So give it a rest you dumb f
king stupid s !!!!!jjr1 said:
To all the spucktards who keep repeating this mantra, you are not making yourselves look clever or sophisticated !
You are completely reiterating ste that has been spouted for so long, that most retards on here, believe it to be true..........
The value of a car once you drive off a forecourt is determind by the simple law of Supply and Demand.
So give it a rest you dumb fking stupid s !!!!!
Holy cow, so angry! Take a couple of nerve tablets.You are completely reiterating s
te that has been spouted for so long, that most retards on here, believe it to be true..........The value of a car once you drive off a forecourt is determind by the simple law of Supply and Demand.
So give it a rest you dumb f
king stupid s !!!!!
jjr1 said:
To all the spucktards who keep repeating this mantra, you are not making yourselves look clever or sophisticated !
You are completely reiterating ste that has been spouted for so long, that most retards on here, believe it to be true..........
The value of a car once you drive off a forecourt is determind by the simple law of Supply and Demand.
So give it a rest you dumb fking stupid s !!!!!
it appears we have a smart arse in the houseYou are completely reiterating s
te that has been spouted for so long, that most retards on here, believe it to be true..........The value of a car once you drive off a forecourt is determind by the simple law of Supply and Demand.
So give it a rest you dumb f
king stupid s !!!!!A somewhat confusing post.
While it is true, VAT is only paid once, it is also true that garages have been known to give more than the pre-VAT price (like you say due to demand).
However, what is true, is when buying a new car it will immediately lose value once paid for.
Example:
£20k Brand New car (incl VAT).
This is £16666.67 (ex VAT). Therefore some assume this is list price as VAT is only paid once.
However it is not entirely far fetched to say you may be offered £18k for that car. The chances of ever getting the £20k originally paid are very very slim.
While it is true, VAT is only paid once, it is also true that garages have been known to give more than the pre-VAT price (like you say due to demand).
However, what is true, is when buying a new car it will immediately lose value once paid for.
Example:
£20k Brand New car (incl VAT).
This is £16666.67 (ex VAT). Therefore some assume this is list price as VAT is only paid once.
However it is not entirely far fetched to say you may be offered £18k for that car. The chances of ever getting the £20k originally paid are very very slim.
Greengecko said:
A somewhat confusing post.
While it is true, VAT is only paid once, it is also true that garages have been known to give more than the pre-VAT price (like you say due to demand).
However, what is true, is when buying a new car it will immediately lose value once paid for.
Example:
£20k Brand New car (incl VAT).
This is £16666.67 (ex VAT). Therefore some assume this is list price as VAT is only paid once.
However it is not entirely far fetched to say you may be offered £18k for that car. The chances of ever getting the £20k originally paid are very very slim.
The whole point is that the VAT paid and the depreciation are completely independent.While it is true, VAT is only paid once, it is also true that garages have been known to give more than the pre-VAT price (like you say due to demand).
However, what is true, is when buying a new car it will immediately lose value once paid for.
Example:
£20k Brand New car (incl VAT).
This is £16666.67 (ex VAT). Therefore some assume this is list price as VAT is only paid once.
However it is not entirely far fetched to say you may be offered £18k for that car. The chances of ever getting the £20k originally paid are very very slim.
Disco You said:
The whole point is that the VAT paid and the depreciation are completely independent.
Wouldn't entirely agree. If you got offered a car for £20k and had the option of it being new or used, you'd take the new. Therefore in order to sell the used the value would need to be lower to entice the customer into purchasing it over the new.Surely this would link the two, as VAT paid = used car.
You guys must really struggle when you see an offer advertised as,
"We'll pay your VAT"!
http://www.lpghomeheat.co.uk/about-lpg/news.html?a...
"We'll pay your VAT"!
http://www.lpghomeheat.co.uk/about-lpg/news.html?a...
Greengecko said:
Disco You said:
The whole point is that the VAT paid and the depreciation are completely independent.
Wouldn't entirely agree. If you got offered a car for £20k and had the option of it being new or used, you'd take the new. Therefore in order to sell the used the value would need to be lower to entice the customer into purchasing it over the new.Surely this would link the two, as VAT paid = used car.
Same goes for any car where demand outstrips supply. You pay more than list for a 2nd hand car.
If demand and supply are fairly even then you may get list price for a period after you take ownership. ie no depreciation
If supply is too great you have a typical car that depreciates like a ton of falling bricks. Typical car ownership.
Therefore the second hand price of a car after it leaves the forecourt has nothing to do with VAT !
jjr1 said:
If you buy a Range Rove Evoque (most recent car I know of to illustrate the rare premium demand) and it costs you £40,000 for arguments sake and you sell it two weeks later for £41,500 where is the VAT argument?
Same goes for any car where demand outstrips supply. You pay more than list for a 2nd hand car.
If demand and supply are fairly even then you may get list price for a period after you take ownership. ie no depreciation
If supply is too great you have a typical car that depreciates like a ton of falling bricks. Typical car ownership.
Therefore the second hand price of a car after it leaves the forecourt has nothing to do with VAT !
I completely agree in some cases this would be correct, but in reality for the majority of car purchases this would not be. Unless there was literally none available why would someone pay £1,500 for a used car when they could get exactly the same new for £1500 less?Same goes for any car where demand outstrips supply. You pay more than list for a 2nd hand car.
If demand and supply are fairly even then you may get list price for a period after you take ownership. ie no depreciation
If supply is too great you have a typical car that depreciates like a ton of falling bricks. Typical car ownership.
Therefore the second hand price of a car after it leaves the forecourt has nothing to do with VAT !
Companies will set there car pricing to optimise supply and demand, therefore it is very very unlikely there statisticians would get this so extremely wrong that demand would dramatically increase or supply would dramatically fall. An assumption is not hard to then jump to about VAT as many do.
Are all secondhand cars with delivery mileages worth exactly 20% less than their new price?
No, because there isn't a link between the amount of VAT paid and secondhand value.
There only needs to be one data point to disprove a rule, and there are nearly as many data points as there are secondhand cars with delivery mileages. How do people even begin to think there is a link?
No, because there isn't a link between the amount of VAT paid and secondhand value.
There only needs to be one data point to disprove a rule, and there are nearly as many data points as there are secondhand cars with delivery mileages. How do people even begin to think there is a link?
jjr1 said:
To all the spucktards who keep repeating this mantra, you are not making yourselves look clever or sophisticated !
You are completely reiterating ste that has been spouted for so long, that most retards on here, believe it to be true..........
The value of a car once you drive off a forecourt is determind by the simple law of Supply and Demand.
So give it a rest you dumb fking stupid s !!!!!
Don't waste your time . . . . . You are completely reiterating s
te that has been spouted for so long, that most retards on here, believe it to be true..........The value of a car once you drive off a forecourt is determind by the simple law of Supply and Demand.
So give it a rest you dumb f
king stupid s !!!!!Obviously it has some relvance in the case of the £56k Audi thread, in the sense that the supplying dealer would have had to pay some VAT on the original sale so he would have to deduct at least that much from any price he would pay to take the car back otherwise he'd be making a loss - but you are of course correct that the only thing that determines the relationship between new and used prices is supply and demand. Demand for new or 2nd had can of course be influenced by 101 different things, but that's another story altogether.
mccrackenj said:
Obviously it has some relvance in the case of the £56k Audi thread, in the sense that the supplying dealer would have had to pay some VAT on the original sale so he would have to deduct at least that much from any price he would pay to take the car back otherwise he'd be making a loss
Not true, and that's the whole point of this thread. If he bought it back for the full original purchase price (including VAT), then he could sell if on the forecourt for that full original purchase price and wouldn't have to pay VAT again as dealers don't pay VAT on the full sale price of second hand cars. The dealer wouldn't make a loss (ignoring overheads etc), and the buyer would pay the same as a new car.Obviously in the other thread you mention, the dealer is never going to buy it back at the full purchase price, and would make a loss if they did because of their costs in the sale. But VAT has nothing to do with it. Hence this thread I suspect.
(At least, I think the above is true...)
mccrackenj said:
Don't waste your time . . . . .
Obviously it has some relvance in the case of the £56k Audi thread, in the sense that the supplying dealer would have had to pay some VAT on the original sale so he would have to deduct at least that much from any price he would pay to take the car back otherwise he'd be making a loss -
God help us. Obviously it has some relvance in the case of the £56k Audi thread, in the sense that the supplying dealer would have had to pay some VAT on the original sale so he would have to deduct at least that much from any price he would pay to take the car back otherwise he'd be making a loss -
That's EXACTLY the incorrect point that the OP is trying to disprove.
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