zlacker

It's not about economic benefit, it's about equality: if you have a major form of income not being taxed, you're effectively giving preferential treatment to that person versus everyone who gets taxed.

>>lagadu+(OP)
Perhaps I'm misunderstanding something here, but isn't tourism derived income already taxed just like any other income?

>>aninhu+d
In practice, yes. In theory, no. Some tourists are allowed to reclaim some VAT when they leave.

https://www.gov.uk/tax-on-shopping/taxfree-shopping

>>DanBC+p
You can reclaim VAT only on goods, not on any services.