- Bottled Science has been granted permission to appeal a VAT case regarding its Skinade liquid collagen supplement.
- The dispute centers on whether Skinade should be zero-rated as food or taxed as a beauty product.
- HMRC classified Skinade as a beauty product due to its marketing, sales channels, and primary cosmetic purpose.
- The First-tier Tribunal (FTT) agreed with HMRC, emphasizing the product’s marketing and consumer perception.
- The appeal to the Upper Tribunal could set an important precedent for VAT treatment of dietary supplements and functional foods in the UK.
Source: vita-uk.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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