In work this morning I had to do some VAT recording stuff. Value Added Tax is included in the price of goods except when the item is exempt or zero-rated. Food is zero-rated - except for some food and that caused me a problem as I haven't done it for a long time and I couldn't remember what was and what wasn't. For example, there's no VAT on biscuits unless they have chocolate on them. Jaffa cakes, which are chocolate-coated, have found a loophole by claiming to be cakes rather than biscuits. And having choc chips in them is all right too I think.
Basically VAT is on luxury goods, which strangely includes toilet rolls.
So, anyway, I couldn't remember if coffee or chocolate drinks had VAT on them so I decided to check on the web. 'There must be a simple little chart somewhere that will tell me what is what,' I said to myself.
On the government website, it said that the following foods are zero-rated:
The supply of anything comprised in the general items set out below, except -
(a) a supply in the course of catering; and
(b) a supply of anything comprised in any of the excepted items set out below, unless it is also comprised in any of the items overriding the exceptions set out below which relates to that excepted item.
Well, of course.
So I guessed. If I end up in prison for defrauding the VATman, please send chocolate.xx
7 comments:
clear as mud to me! ;D
Toilet Rolls have VAT on them because at some stage in their existence they have 'chocolate' on them. Appearances can be deceptive though ;-)
I can't believe anyone understands that, not even whoever wrote it!
Chocolate on its way if needed.
Well, duh! It's so obvious.
Same old, same old. No matter which country the gobledegook abounds regarding taxation matters. Luckily my son is a chartered accountant specializing in tax so I'm usually able to have everything clarified.
You miss the point of this.
This is so that you have to employ an accountant and then a solicitor to sue the accountant when they get it wrong.
It's all about keeping the old professions in gainful employment.
Indeed, leslie and valarie!
I knew I could rely on you, stu.
THank you, dragonstar, I'll let you know!
How much does your son charge, jmb?!
Ah, of course, furtheron. Now it all makes sense!
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