• blackn1ght@feddit.ukOP
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    1 day ago

    Yeah. I wonder why it’s like that? If anything you’d think it would be the other way round.

    • hitmyspot@aussie.zone
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      15 hours ago

      Certain foods and drinks considered essentials don’t attract vat. Hence Jaffa cakes arguing they were not in fact a cake. Any prepared food is considered a luxury item, which would include drinks that are served.

      I think alcohol should attract vat in supermarkets, not reduce vat in a pub.

      • HumanPenguin@feddit.uk
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        1 hour ago

        While that is all true. Post the jaffa cake thing we had a change in VAT laws. Some time in the 1980s. Where food and drink becomes vat applicable is served or prepared to eat on premises.

        Part of the whole idea is eating out is a luxury where as preparing your own food at home is seen as essential.

        As alcohol is not actually seen as a luxury product but simply food. It meets the same rules VAT wise. Although it has its own additional taxation like tabbaco.