>> And if they made a profit in the UK and paid tax on it, they would have
>> to pass on a *little bit* more from their customers to HMRC. That was my
>> only point.
>
> Okay. No deeper meaning then. :-)

No none at all :-)

But I guess a result of my point is that having the VAT collected in 
another country (eg if you buy a product online from another EU country 
and have it shipped here, if it's physical) is far worse for the 
government. For example IIRC eBay was "based" in Luxembourg or something 
so the VAT is only 15% on fees - the UK government must lose *a lot* of 
money because of that.

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