Biscuit was partly covered by chocolate and therefore subject to VAT
In United Biscuits (UK) Ltd v HMRC [2023] UKFTT 864 (TC) (16 August 2023) the FTT held that a baked snack known as ‘Blissfuls’ was partly covered with chocolate and therefore standard-rated for VAT purposes.
The product was a baked snack which had the following characteristics:
a biscuit cup with a flat bottom base;
a layer of chocolate hazelnut;
a layer of chocolate; and
a McVities logo made of biscuit on top (smaller than the base)
The issue was whether the product could be zero-rated as food or fell within the exception from zero-rating for chocolate-covered biscuits. This exception applies to ‘biscuits wholly or partly covered with chocolate or some product similar in taste and appearance’. Such biscuits are standard-rated.
The FTT noted that the term ‘partly’ was to be interpreted such that it could apply to any part...
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Biscuit was partly covered by chocolate and therefore subject to VAT
In United Biscuits (UK) Ltd v HMRC [2023] UKFTT 864 (TC) (16 August 2023) the FTT held that a baked snack known as ‘Blissfuls’ was partly covered with chocolate and therefore standard-rated for VAT purposes.
The product was a baked snack which had the following characteristics:
a biscuit cup with a flat bottom base;
a layer of chocolate hazelnut;
a layer of chocolate; and
a McVities logo made of biscuit on top (smaller than the base)
The issue was whether the product could be zero-rated as food or fell within the exception from zero-rating for chocolate-covered biscuits. This exception applies to ‘biscuits wholly or partly covered with chocolate or some product similar in taste and appearance’. Such biscuits are standard-rated.
The FTT noted that the term ‘partly’ was to be interpreted such that it could apply to any part...
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If you do not subscribe but are a registered user, please enter your details in the following boxes:
