- The French tax administration clarified VAT rates for prepared food products in complex distribution chains.
- Only final sales to consumers are subject to the 10% reduced VAT rate; intermediate sales between professionals are taxed at 5.5%.
- This distinction is based on whether the sale is for immediate consumption by the final consumer.
- The clarification helps manufacturers, franchisees, and distributors apply VAT consistently in multi-step distribution chains.
Source: easytax.co
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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