Summary
- Irish Revenue confirms that hot takeaway food, tea and coffee fall within the 13.5% second reduced rate from 1 July 2026.
- The treatment covers food and drinks heated, kept heated or supplied while still warm and above ambient temperature.
- Retailers must distinguish qualifying hot items from zero-rated food and products subject to the standard or other rates.
Extended article
Irish Revenue has updated its guidance on food and drink supplied by wholesalers and retailers. From 1 July 2026, hot takeaway food, tea and coffee are subject to the 13.5% second reduced rate. The relevant treatment applies where food or drink has been heated, kept heated after cooking, or supplied while still warm and above ambient air temperature when given to the customer.
The update requires careful product and transaction classification. Takeaway food is generally a supply of goods, whereas restaurant and catering transactions are supplies of services. Cold food, bread meeting the statutory definition, alcohol, soft drinks and combination offers may attract different treatments. Retailers and hospitality businesses should ensure that point-of-sale systems, menus, product masters and receipts apply the correct rate to each component rather than using a broad category-level assumption.
Exact sources
- Irish Revenue VAT Rates Database, Hot Coffee Drink, published 1 July 2026
- Irish Revenue guidance: Restaurant, Catering and Canteen Services
- Irish Revenue Tax and Duty Manual: VAT Treatment of Restaurant and Catering Services
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