Food ― confectionery

Produced by Tolley
Food ― confectionery

The following Value Added Tax guidance note Produced by Tolley provides comprehensive and up to date tax information covering:

  • Food ― confectionery
  • Which confectionery is excluded from zero-rating?
  • What is a biscuit?
  • What is a cake?
  • Examples of confectionery and similar products
  • Biscuits
  • Bakery goods
  • Other confectionery and similar
  • Practical points for businesses supplying confectionery and similar products

IP COMPLETION DAY: 11pm (GMT) on 31 December 2020 marked the end of the Brexit transition / implementation period entered into following the UK’s withdrawal from the EU. At this point in time, key transitional arrangements came to an end and significant changes began to take effect across the UK’s VAT and customs regime. This document contains guidance on subjects potentially impacted by these changes. Before continuing your research, see the Brexit — overview guidance note.

This guidance note explores the exclusion from the zero-rating for food that applies to confectionery.

For an overview of the scope of zero-rating for food in VATA 1994, Sch 8, Group 1, see the Food ― overview of zero-rating guidance note.

In-depth commentary on the legislation and case law surrounding the exclusion for confectionery can be found in De Voil Indirect Tax Service V4.219.

Which confectionery is excluded from zero-rating?

There is a broad exclusion from zero-rating for all confectionery so it is therefore standard-rated. For VAT purposes, confectionery includes:

  1. chocolates

  2. sweets

  3. biscuits wholly or partly covered with chocolate

  4. drained, glacé or crystallised fruits (but not drained cherries or candied peels)

  5. any sweetened prepared food normally eaten with the fingers

However, cakes are specifically not included within the VAT meaning of confectionery.

What is a biscuit?

There is no definition of a biscuit in the legislation itself but it can be very important to decide if a product is a biscuit because chocolate-covered biscuits will be standard-rated whilst other biscu

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