So that’s what it’s called….. From HMRC guidance – “For the purposes of establishing the place of supply of services, stallion nominations (The right to nominate a mare to be covered by a stallion in one breeding season) and the covering of mares is treated as ‘work carried out on goods’.”
Protein drinks are standard rated (they are not “food”) although they “deliver nutrition” to consumers and are derived from milk, which is itself zero rated.
Rabbits are zero-rated, even if sold as pets. Sales of pets are standard rated.
Buying a coffin is standard-rated but hiring a hearse is VAT free.
Frozen foods are zero-rated, but ice cream, frozen yoghurt, ice lollies and sorbets are subject to standard rate VAT (although they are frozen).
Orange squash, petrol, ice cream, and poodle food are rated as “luxuries”, while caviar, top shelf magazines, and labrador food are not.
The sales of counterfeit (illegal) goods are subject to 20% VAT, but the sale of counterfeit banknotes is not.
Crisps: VAT is due on potato snacks, but maize and corn-based snacks are VAT free. (But Pringles are standard rated even though they contain corn, wheat and non-potato flours and the potato content is less than 50%).
Gingerbread men: No tax is due if the figure has two chocolate spots for its eyes, but any chocolate-based additions, such as buttons or a belt, mean VAT is payable.
Ferrets are considered to be pets under VAT legislation, but rabbits are not.