Restaurant, catering and canteen services
Restaurant and catering services
In general, restaurant and catering services are liable to Value-Added Tax (VAT) at the second reduced rate.
The supply of takeaway food is generally considered a supply of goods rather than the provision of restaurant services and different rates apply depending on the goods supplied.
Further guidance contains more detailed information on the VAT treatment of restaurant and catering services and the VAT treatment of food and drink.
There are many different arrangements in place in relation to staff canteens. Some canteens are operated on a profit-making basis, some canteen services are outsourced, and other canteens are operated without any charge to staff.
Detailed information on the VAT treatment of certain staff canteen service models is available under Further guidance.