Temporary VAT reduction
From 15 July 2020, VAT chargeable on supplies of holiday accommodation and hospitality/catering (i.e. the sale of food and non-alcoholic beverages for consumption on the premises) has been temporarily reduced. Supplies of hotel accommodation & catering now temporarily attract VAT at the reduced 5% rate rather than standard 20% rate.
The temporary reduction will apply to all supplies of holiday accommodation & catering made between 15/07/2020 and 12/01/2021.
The provision of catering to school staff and visitors i.e. meals and drinks sold to staff (non-pupils) for consumption in school dining rooms, will attract VAT at the reduced 5% rate
Cold food purchased for consumption off the premises i.e. cold sandwiches purchased by staff for consumption in the staff room will still be zero rated.
Catering supplied to pupils is still outside the scope and does not attract VAT.
Catering can be a complex issue for VAT. If you would like any help or advise please contact the VAT team: firstname.lastname@example.org
"Weeks run from Monday to Sunday. Please note that weeks without communications to schools are ignored and the links will go to the last week where a communication was made in this category."