Morrisons Can’t Recover Taxes On Snack Bars, UK Court Rules (1)

UK supermarket chain Morrisons lost its appeal to zero-rate certain products for value-added tax because they aren’t “confectionery” goods and reclaim about £1 million ($1.3 million) from the tax office.

The First Tier Tribunal dismissed Morrisons’ appeal Monday, stating the Organix Brands Ltd. and Natural Balance Foods Ltd. bars are “confectionary” goods and the 20% standard VAT rate should apply to their sales.

It wasn’t the first time the First Tier Tribunal heard the case. The Upper Tribunal ruled in January 2023 the lower court’s first decision didn’t consider the healthiness of the products and their ingredients when deciding whether ...