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Pringles ARE Potato Crisps (Chips) Answered

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

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Doctor What
Doctor What

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.

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lemonie
lemonie

Reply 10 years ago

It does, legal technicalities over junk-food can be interesting, (which is why I posted it) L

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Doctor What
Doctor What

Reply 10 years ago

I love junk food laws, especially like the "McDonalds Coffee" cases (which is why I commented on your thread).

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lemonie
lemonie

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

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Doctor What
Doctor What

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."

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lemonie
lemonie

Reply 10 years ago

Well aye, but all these people in Law School will need jobs when they graduate... L

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KentsOkay
KentsOkay

10 years ago

Is this what the world has come to?

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lemonie
lemonie

Reply 10 years ago

Yes, plenty of money to be made in litigation. L

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KentsOkay
KentsOkay

Reply 10 years ago

*storms away muttering

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Chicken2209
Chicken2209

10 years ago

what? why now? I heard this years ago...

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lemonie
lemonie

Reply 10 years ago

It's a very recent ruling. Can you post a link to what you heard years ago? L

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Chicken2209
Chicken2209

Reply 10 years ago

oh sorry, i skimmed through it and misread it

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Goodhart
Goodhart

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 ;-)

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lemonie
lemonie

Reply 10 years ago

What are these in tax terms then (where you live)? L

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Goodhart
Goodhart

Reply 10 years ago

I believe they come under food ( not taxed )

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Lithium Rain
Lithium Rain

10 years ago

>>Pringles ARE Potato Crisps (Chips) Well...yeah.

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lemonie
lemonie

Reply 10 years ago

Less than 50% potato. L

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whatsisface
whatsisface

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...

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lemonie
lemonie

Reply 10 years ago

The courts ruled in favour of Mcvities: cakes. VAT exempt L

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Kiteman
Kiteman

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.

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lemonie
lemonie

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....)

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caitlinsdad
caitlinsdad

10 years ago

Now I gotta look to see what the other 58% of the ingredients are...ohhh salt.

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lemonie
lemonie

Reply 10 years ago

And fat, and some other starch. From a VAT perspective I think this a sound ruling. L