Rates of VAT on different goods and services

If you're registered for VAT and you make VAT taxable supplies you'll have to charge VAT on them. Normally you charge VAT at the standard rate, unless the goods or services you are selling, and the circumstances in which you're selling them, mean you are allowed to charge a different rate.
There are different rates of VAT, depending on the type of goods or services your business provides. At the moment there are three different rates. They are:

• standard rate - 20 per cent
• reduced rate - 5 per cent
• zero rate - 0 per cent

There are also some goods and services that are:

• exempt - so no VAT is charged on them
• outside the scope of the UK VAT system altogether

This guide lists certain goods and services that are reduced-rated, zero-rated, exempt or outside the scope of VAT. It's not a complete list and there may be conditions that must be met before a reduced rate can apply or before it can be accepted as exempt or outside the scope of VAT. Please see the 'More information' sections for further details.

On this page:

• Different goods and services - and their VAT rate
• Sport, leisure, culture and antiques
• Health, education, welfare and charities
• Power, utilities, energy, heating and insulation
• Building and construction, land and property
• Transport, freight, travel and vehicles
• Printing, postage, publications, books, magazines and newspapers
• Clothing, footwear, protective and safety equipment
• Financial services, investments and insurance

Different goods and services - and their VAT rate

The following sections list different goods and services that are reduced-rated, zero-rated, exempt or outside the scope of VAT. These rates may only apply if certain conditions are met, or in particular circumstances, depending on some or all of the following:

• who's providing them or buying them
• where they're provided
• how they're presented for sale
• the precise nature of the goods or services
• whether you obtain the necessary evidence
• whether you keep the right records
• whether they are provided with other goods and services

Other conditions may also apply.
Before using anything other than the standard rate you should study the technical documentation carefully to find out what rate of VAT applies in any particular set of circumstances.
If you need more help with deciding on the right rate of VAT to charge you can contact HM Revenue & Customs (HMRC) for advice.
Contact HMRC to check the VAT rate is right
There are also specific VAT rules that apply to certain trades that affect how you account for VAT, and how much VAT you must pay and can reclaim.
Find out more about special VAT rules for different trade sectors
Find out more about different VAT rates

Food and drink, animals, animal feed, plants and seeds

Food and drink for human consumption is, in general, zero-rated but many items are standard-rated, including alcoholic drinks, confectionery, crisps and savoury snacks, supplies of food made in the course of catering including hot takeaways, ice cream, soft drinks and mineral water.
Because certain food and drink is zero-rated, so too are certain animals and animal feeds, and plants and seeds - if the animal or plant in question produces food that is normally used for human consumption.
More about food and drink in VAT Notice 701/14
More about animals and animal feed in VAT Notice 701/15
More about plants and seeds in VAT Notice 701/38

International trade

Goods exported outside the EU or sent to someone registered in another EU country are zero-rated, subject to conditions.
More about VAT on goods sent overseas




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http://www.hmrc.gov.uk/vat/forms-rates/rates/goods-services.htm