VAT on Smoked Products?

[CHICKEN LADY]

Hello

I am a chicken producer who sells at farmers market accross Wales. We are not currently VAT registered as the selling of the raw meats does not attract VAT, however am looking into doing smoked duck or chicken (does this have VAT attached to it). We are toying with the idea of doing it ourselves ie the smoking or asking another company to do it but not sure what route to take due to VAT regulations.

Would appreciate any advice

Thank you

[Incredulum]

That is not correct. Raw food attracts VAT at a rate of zero percent.

Does your turnover exceed the threshold of 70k?

[Generix]

That is not correct. Raw food attracts VAT at a rate of zero percent.

Does your turnover exceed the threshold of 70k?

Even if it does they can opt out (although people making only ZR sales usually benefit from VAT registration due to recovery of VAT on costs).

Haven't looked at food issues for a while but am 99.9999999% confident that the sale of smoked foods is still zero-rated; as is the process of smoking some fish (salmon and trout? -don't quote me on the specifics =p), however the process of smoking some items is standard rated.

So what I'm saying is, if you have your own meats which you smoke and then sell then your supply is of zro-rated goods.

If you smoke other peoples meats you are providing a service which may be standard or zero rated depending on which meat/fish it is.

If you are paying someone else to smoke your meat/fish then you may be charged VAT for the service, but the sale of your meat/fish will still be zero-rated.

Food zero-rating is not my area of expertise, but have dabbled in it in the past =p