The following Value Added Tax guidance note Produced by Tolley provides comprehensive and up to date tax information covering:
This guidance note explores the exclusion from the zero-rating for food that applies to certain savoury snacks.
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 savoury snacks can be found in De Voil Indirect Tax Service V4.219.
Three categories of savoury products are excluded from the zero-rating for food and are therefore standard-rated (or potentially subject to the temporary reduced rate of VAT, see the Hospitality industry ― temporary reduced rate from 15 July 2020 to 31 March 2022 guidance note). The categories are:
snacks obtained by the swelling of cereals or cereal products
salted or roasted nuts
VATA 1994, Sch 8, Group 1, excepted Item 5
These categories are explored further below.
The following types of potato snacks are standard-rated (or temporarily reduced-rated) when they are packaged for human consumption without further preparation:
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