Pringles ARE Potato Crisps (Chips)
Procter & Gamble will be forced to pay tens of millions of pounds in VAT after losing a legal battle with the (UK) taxman over its Pringles snack.
The Court of Appeal ruled in favour of the Inland Revenue, which maintained that Pringles constitute a potato snack and are, therefore, liable for VAT (tax). The Appeal Court judges disagreed with a previous ruling that the low potato content (42%) exempted Pringles from VAT.
See here for BBC article
Discussions
10 years ago
I was watching a food network special, and it said that after losing a court battle, pringles could not call themselves a "potato crisp (chip)". Hmmm... Restricted from the title, but still has to pay taxes? Sounds like America, not Britain.
Reply 10 years ago
It does, legal technicalities over junk-food can be interesting, (which is why I posted it) L
Reply 10 years ago
I love junk food laws, especially like the "McDonalds Coffee" cases (which is why I commented on your thread).
Reply 10 years ago
McDonald's can afford it - obvious choice. As far as lawyers go, there's a big pot o'gold at the end of the golden-arches...
L
Reply 10 years ago
Even though McDonald's can afford it, they still shouldn't be responsible for the mentally disrupted people who decide to sue over spilled coffee. No one in their right mind should need a warning that "coffee is hot". It reminds me of a debate in class. "Starbucks may warn you that coffee is hot, but it doesn't warn you that rubbing it all over your face will give you second degree burns, it's assumed."
Reply 10 years ago
Well aye, but all these people in Law School will need jobs when they graduate... L
10 years ago
Is this what the world has come to?
Reply 10 years ago
Yes, plenty of money to be made in litigation. L
Reply 10 years ago
*storms away muttering
10 years ago
what? why now? I heard this years ago...
Reply 10 years ago
It's a very recent ruling. Can you post a link to what you heard years ago? L
Reply 10 years ago
oh sorry, i skimmed through it and misread it
10 years ago
LOL the economy is going under....so there has to be some politician pouring over whether Pringles makes chips (crisps) or a snack (um, over here, it is all of the above ;-)
Reply 10 years ago
What are these in tax terms then (where you live)? L
Reply 10 years ago
I believe they come under food ( not taxed )
10 years ago
>>Pringles ARE Potato Crisps (Chips) Well...yeah.
Reply 10 years ago
Less than 50% potato. L
10 years ago
What happened to Jaffa Cakes? I seem to remember they were in a battle over whether they were cakes or biscuits once...
Reply 10 years ago
The courts ruled in favour of Mcvities: cakes. VAT exempt L
Reply 10 years ago
The ruling boiled down to:
If it goes soft as it goes stale, it's a biscuit.
If it goes hard as it goes stale, it's a cake.
Reply 10 years ago
I think both cakes and biscuits are exempt. The VAT claim was based upon these being luxury (chocolate-covered) items. It was "cake" in the end as I remember it? L (have to account for a lot of recoverable VAT....)
10 years ago
Now I gotta look to see what the other 58% of the ingredients are...ohhh salt.
Reply 10 years ago
And fat, and some other starch. From a VAT perspective I think this a sound ruling. L