Research by EU VAT ACTION has today shown that 200 businesses that they know of have closed in the first week of the new EU VAT rules.
On 19th December Margot Parker detailed the changes to VAT rules and the damages they would cause to Small Businesses. The new regulations were designed to take more VAT from online giants such as Amazon but will now load new regulations and burdens onto small businesses. Online micro businesses which sell anything to EU customers will be forced to register for VAT even if their turnover is under the £81,000 threshold.
UKIP's Small Business Spokesman Margot Parker said: "We in UKIP have been warning this would happen for the past few weeks - we knew small firms would struggle to trade due to this legislation.
"Loading more VAT demands on the shoulders of British entrepreneurs was always going to end in small companies closing down. It is too much for them to bear.
"UKIP will continue to fight EU legislation and Brussels tax grabs which affect small businesses up and down the country."