A range of flapjacks have been found to be sweets rather than cakes and therefore subject to VAT, in a judgment that could have big financial implications for manufacturers of the treats.
The tax tribunal ruled that 36 flapjacks produced by Glanbia Milk were not cakes, which are zero-rated for VAT purposes, because they would not be eaten for afternoon tea, were more commonly eaten on the go, were not baked and contained significant amounts of protein.
