Do you pay VAT on hot takeaway food?

Standard-rated items include catering, alcoholic drinks, confectionery, crisps and savoury snacks, hot food, sports drinks, hot takeaways, ice cream, soft drinks and mineral water. There is no need to charge VAT on cold takeaway food unless it's to be eaten at tables in the takeaway or in a designated area.

Is there VAT on bubble tea?

Hi. The sale of tea is generally a zero rated supply but but this does not include soft drinks containing tea as only one of several ingredients. Bubble teas normally start with a preperation of tea and then various other ingredients are added,for example fruit juices and other flavourings.

Is there VAT on soft drinks from takeaway?

Most soft drinks (excluding milk) are subject to standard-rated VAT. Surprisingly, yes! Bottled water is subject to VAT as it's not considered a basic necessity since tap water is available. Milk is generally not subject to VAT and is zero-rated for VAT purposes.

Is there VAT on takeaway fish and chips?

Is there VAT on takeaway fish and chips? Yes, there is.

What takeaway food is VAT free?

Cold takeaway food and drinks are usually zero-rated VAT, with some exceptions like alcoholic drinks, confectionery, crisps, sports drinks, ice cream, soft drinks and mineral water. Food that's served hot is always standard rate VAT.

Top tips on charging VAT on takeaway food

Do you pay VAT on takeaway cold food?

Like we said, all food which is consumed where it is served, whether it be cooked, uncooked, hot or cold, is subject to standard rate VAT charges. All food which is taken away is subject to zero-rate VAT charges, unless, it is cooked and served immediately.

Is there VAT on Mcdonalds food?

As mentioned in a previous blog, under UK coronavirus measures, VAT has been slashed from 20% to 5% for businesses in the hospitality and tourism industries until January 12, 2021. KFC, McDonald's and Wetherspoons are among the high-street chains to pass on these VAT savings to customers.

Is there VAT on takeaway ice cream?

For example, most cold drinks are standard-rated, but HMRC specifies that takeaway iced coffee, iced tea, and milkshakes are zero-rated (though ice cream, which many milkshakes contain, isn't). Similarly, certain cakes and desserts are zero-rated, as are vegetable-based snacks.

Is there VAT on toilet rolls?

Value Added Tax is currently charged by HM Treasury on the sale of toilet rolls at the rate of 20%.

Is there VAT on baked beans?

Normal and necessary packaging is treated as part of the goods which it contains. If the contents are zero rated, the packaging is zero rated. For example, a tin of baked beans, or a jar of marmalade.

What drinks are zero rated for VAT?

There is, however, an exception to this exception and milk, tea, coffee, cocoa and similar drinks are zero-rated (unless supplied in the course of catering). In addition, plain soya milk, rice milk and coconut milk are zero-rated. All alcoholic drinks are standard-rated.

How much VAT is on tea?

Exceptions that are zero rated include milk and milk drinks, tea, maté, herbal tea, coffee and cocoa, preparations of yeast, meat and egg. Potato crisps roasted or salted nuts and various other savoury snack products.

What food is VAT exempt?

Is there VAT on afternoon tea?

Food and drink for human consumption are often zero rated when supplied by a retailer. But food and drink are usually standard rated for VAT when provided as part of a catering service. Meals and drinks served hot or consumed in a cafe or restaurant are often standard rated.

Is there VAT on takeaway ice cream?

For example, most cold drinks are standard-rated, but HMRC specifies that takeaway iced coffee, iced tea, and milkshakes are zero-rated (though ice cream, which many milkshakes contain, isn't). Similarly, certain cakes and desserts are zero-rated, as are vegetable-based snacks.

Is there VAT on McDonald's?

As mentioned in a previous blog, under UK coronavirus measures, VAT has been slashed from 20% to 5% for businesses in the hospitality and tourism industries until January 12, 2021. KFC, McDonald's and Wetherspoons are among the high-street chains to pass on these VAT savings to customers.

Is there VAT on toilet rolls?

Value Added Tax is currently charged by HM Treasury on the sale of toilet rolls at the rate of 20%.

Do you pay VAT on takeaway coffee?

Whether the coffee is consumed on the premises or taken away does not affect the VAT treatment. In the same way, VAT is charged on hot coffee purchased from takeaways/street vendors.

Is there VAT on Greggs food?

We have to charge VAT if you wish to 'eat in' which we then pass over to HMRC. We also charge a little extra in our café shops as we provide additional services.

How can I avoid VAT on food?

In a nutshell restaurants must always charge VAT on everything except food that is cold and taken away, takeaway vendors do not need to charge VAT unless the food is hot and/or the customer would like to eat in perhaps a designated sitting area.

Can you claim VAT on restaurant food?

You can't claim a VAT refund on restaurant bills, just as a Brit can't reclaim GST on restaurant bills incurred in the US. You may be able to claim a VAT refund on expenses to a non-EU business for business lunches/dinners where the purpose of the meeting and the identity of the participants are documented. Good luck!

Is there VAT on tea and biscuits?

Although most traditional bakery products, such as bread, biscuits and cakes, are zero-rated, some confectionery is standard-rated including: biscuits wholly or partly covered in chocolate (or some product similar in taste and appearance)

Is there VAT on baked beans?

Normal and necessary packaging is treated as part of the goods which it contains. If the contents are zero rated, the packaging is zero rated. For example, a tin of baked beans, or a jar of marmalade.

Does fast food have VAT?

All hot takeway food and most drinks continue to be subject to VAT at 20%, but some cold takeaway food can be zero-rated for VAT. This includes sandwiches and cake, and also pasties and other cooked pastry products as long as they aren't advertised as being hot and are not kept warm after they have been cooked.

Is there VAT on hot sausage rolls?

However, whether VAT is charged depends on whether the food is intentionally kept hot rather than being sold hot simply because it is freshly baked. VAT is chargeable on products kept warm in heated cabinets, under heat lamps, on spits, in hot water, on hot shelves or trays.