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Random VAT Facts 1. Frenchman Maurice Lauré was the first to introduce VAT on the 10th April 1954 however the idea was not his, German Dr. Wilhelm von Siemens dreamed up the concept in 1918. It avoids drawing comparison with a sales tax by only taxing the value added at each stage of production.2. VAT is the government's third largest source of revenue after income tax and national insurance.3. Pringles went all the way to the court of appeal to claim that their crisps were 'not made from potato' to avoid having to charge 20% VAT on their product.