§ Dr. TongeTo ask the Chancellor of the Exchequer (1) if he will list the herbal stimulants that are(a) regarded as food products and are zero rated for VAT and (b) regarded as stimulants and are subject to the standard rate of VAT; [38622]
624W(2) what criteria are used to determine which herbal products are classed as food products and which as stimulants. [38623]
§ Dawn PrimaroloA list of herbal stimulants is not held centrally, but the general rule for VAT purposes is that herbs supplied for culinary use are zero-rated. Decisions on the liability of herbal stimulants and remedies are taken case by case if they fall outside the guidance given in Customs and Excise VAT Notice 701/38, which sets out the liability of seeds and plants. The test is whether or not they are "food of a kind use for human consumption" within the normal meaning of those words.