Take Aways May Get VAT Bonus

Posted: 17th March 2011

According to Accountancy Age, a ruling by the EU concerning the VAT payable by a German sausage-seller means that some take-away food sellers will be able to zero-rate some of their sales, and possibly reclaim substantial sums of VAT paid.
When the ruling is available, the effect for UK traders should be clarified. If the hole in the Treasury's coffers is significant, it may well be plugged by next week's Budget. However, reclaims for past VAT overpaid will still be available: watch this space.