Kimberlin: I still feel that describing VAT as a 'flat fee' is wrong. Those with more disposable wealth will pay more VAT than those with less. Calculationg the effect of VAT by the amount of disposable income which you retain seems a biased argument. The poor are unlikely to retain any 'disposable wealth'.
As you say, It is all a way for the government to raise more through taxation.
A better example of a direct 'Tax on wealth' is the sudden increase in the rate of 'Stamp Duty' paid on real estate purchases of £250,000 or more. If stamp duty is a valid concept, why should it jump from 1% for properties from £60,000 to £249,999, to a figure of 3% for properties of £250,000 +. Clearly the government are getting an increased income for the more expensive properties merely by the fact that Stamp Duty is charged as a percentage.

Nigel