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Glossary > Z > "Zero rated" Definition

Zero rated

A term relating to value added tax (VAT). It refers to goods (for example, food and books) which are taxable but at a zero rate. The significance of this rating is that businesses selling such goods may claim back their input tax (the VAT which they have paid to their suppliers). Businesses which provide goods and services which are VAT exempt (for example, stamps and postal services) are not able to reclaim input tax.

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Zero rated \ A term relating to value added tax (VAT). It refers to goods (for example, food and books) which are taxable but at a zero rate. The significance of this rating is that businesses selling such goods may claim back their input tax (the VAT which they have paid to their suppliers). Businesses which provide goods and services which are VAT exempt (for example, stamps and postal services) are not able to reclaim input tax.

Zero rated / a term relating to value added tax (vat). it refers to goods (for example, food and books) which are taxable but at a zero rate. the significance of this rating is that businesses selling such goods may claim back their input tax (the vat which they have paid to their suppliers). businesses which provide goods and services which are vat exempt (for example, stamps and postal services) are not able to reclaim input tax.