VAT on food. VAT rates on food - list of goods VAT rate on food classifier
Value added tax (VAT) has been in effect in Russia for 24 years (since January 01, 1992). It refers to indirect taxes, that is, a certain percentage is added to the cost of goods, works and services, which is then paid to the state. In this case, the tax burden falls on the shoulders of the final buyer, and not the manufacturer of the products.
There is a similar tax in other states, in total, it has been introduced in 137 countries of the world. The size of the rates is different, the highest in the EU countries - Sweden, Denmark and Norway, is 25%, in Hungary - 27%. The lowest rates are in Switzerland - 8% and Liechtenstein - 7.6%. The USA and Japan refused to use it. In the United States, a sales tax has been introduced with a rate of 0% to 15% (depending on the state), in Japan, a consumption tax of 8%, which they currently want to raise to 10%.
18%, 10% and 0% - such rates of VAT are established in our country. How much interest in 2016, and who pays, is stated in Chapter 21 of the Tax Code of the Russian Federation. The VAT rate of 18% is used most often, for almost all types of products, works and services, with the exception of the cases established in Art. 164 of the Tax Code of the Russian Federation. The 10% VAT rate applies to certain goods specified in the Tax Code and special lists approved by the Government of the Russian Federation. The zero rate is applied for export, international transportation and in other cases in accordance with the Tax Code of the Russian Federation.
In no case can you use the rate at your own discretion, only in accordance with the rules established by the Tax Code, otherwise it will not be possible to subsequently accept VAT for refund.
VAT 18 percent
The main VAT rate in 2016 in Russia is 18%. Regulated by Art. 164 of the Tax Code of the Russian Federation, here the grounds are fixed when preferential VAT rates of 10% and 0% are used.
When the VAT rate is already included in the amount, and it needs to be allocated, then the calculated rates are 18/118 or 10/110. All cases of use are recorded in clause 4 of Art. 164 of the Tax Code, including when an advance is received, when goods are sold, with VAT included, when the tax is withheld by tax agents, etc. It should be noted that all cases of using the settlement rate are indicated in the Tax Code of the Russian Federation, and this list is exhaustive. When the VAT rate is 18%, then the calculated one will be 18/118, if the VAT is 10%, then 10/110.
Consider the problem and find the percentage of VAT:
an advance payment of 82,600 rubles was transferred. 18% VAT will be equal to 12,600 rubles (82,600 x (18/118)). You can use a calculator to calculate VAT.
VAT 10 percent
The list of goods, works and services that are subject to a 10% VAT rate is established in clause 2 of Art. 164 of the Tax Code of the Russian Federation:
- these include food products - meat and meat products (with the exception of delicacies - raw smoked sausages, carbonade, bacon, etc.), dairy products (including ice cream based on it, but not popsicles), chicken eggs, vegetable oil, margarine, granulated sugar, table salt, grains, mixed feed, bread and bakery products (including buns), pasta, flour, cereals, live fish (except for salmon, trout and other valuable species), seafood (except for delicacies - red and black caviar, etc.), baby food, products for diabetics, vegetables, etc .;
- products for children: knitwear for newborns, toddlers and preschool groups and schoolchildren, garments (including sheepskin and rabbit products), footwear (except for sports shoes), cribs, mattresses, strollers, notebooks, toys, school supplies, diapers and the like;
- newspapers, magazines and books related to education, science and culture (excluding advertising and erotic products). To confirm, you must have a certificate issued by the Federal Agency for Press and Mass Communications;
- medicines and medical devices (including products intended for clinical trials of medicinal products and medicinal products manufactured by pharmacy organizations). The medicine must have a registration certificate, and must also be included in the State Register of Medicines;
- For medicines manufactured by pharmacies, a prescription rate applies.
- services for the carriage of passengers and baggage by domestic air transport and long-distance rail transport.
VAT, or value added tax, is, according to article 164 of the Tax Code of the Russian Federation, an indirect tax that withdraws part of the value of a product, work or service created at all stages of production, and brings this part to the country's budget as the product is sold. In the article we will tell you about the list of goods subject to VAT at a rate of 10, we will give examples and lists.
Determination of VAT tax, rate options
Today, there are several options for value added tax rates. Read also the article: → "". The diagram below lists the options for VAT tax rates and the types of activities that are subject to a particular rate.
In this article, we will consider the cases of applying the 10 percent VAT rate. For this rate, it is important to have confirmation that a particular product is included in the list of products taxed at the 10 percent rate. From the lists below, you can find out the code for the All-Russian Classifier of Products or for the TN VED (for products of foreign origin).
If there was no reconciliation according to these classifiers, then the default rate is 18% VAT.
Table "Types of commercial activities for which a 10 percent VAT rate is provided: food products, goods for children and periodicals and books (items 1-3)":
№ | Peculiarities | ||
1 | Sales of food products | Subparagraph 1 paragraph 2 of Article 164 of the Tax Code of the Russian Federation; | Baby food, according to the clarifications of the Ministry of Finance of the Russian Federation, is also subject to taxation at a rate of 10%, provided that these products are listed in the electronic database (register) of the Eurasian Economic Commission and have a certificate of state registration, according to the letter dated May 26, 2015 N 03-07 -07/30282. |
2 | Sale of goods for children | Subparagraph 2 paragraph 2 of Article 164 of the Tax Code of the Russian Federation; | This category includes all goods that are made for children from knitwear, natural sheepskin, rabbit skins, underwear, footwear (with the exception of sports shoes), beds, mattresses, diapers, school supplies: notebooks, plasticine, etc. Also this category includes garments |
3 | Realization of periodicals and books related to science, culture and education | Subparagraph 3 paragraph 2 of Article 164 of the Tax Code of the Russian Federation; | The right to apply a 10% VAT rate is confirmed, in accordance with clause 2 of the Notes to the List, by the presence of a certificate issued by the Federal Agency for Press and Mass Communications; According to the Letter of the Ministry of Finance of the Russian Federation of August 1, 2012 N 03-07-11 / 213, only magazines, collections and newsletters of news agencies can be sold at a rate of 10% VAT, in other cases the rate is 18%; |
Table (continued) "Types of commercial activities for which a 10 percent VAT rate is provided: medical goods, sales in agriculture (paragraphs 4-5)":
№ | Commercial activities | Normative legal acts regulating the legality of this position | Peculiarities |
4 | Sale of medical goods | Subparagraph 4 paragraph 2 of Article 164 of the Tax Code of the Russian Federation; | According to Note 1 to List No. 688, it is necessary that the medical product be included in the State Register of Medicines, and the medicinal product has its own registration certificate. For imported medicinal products into the Russian Federation, it is important to have permission from the authorized body to import a specific batch, according to Note 1 to List No. 688; For drugs that are manufactured by pharmacy companies, but are not registered by virtue of clause 1 of part 5 of article 13 of the Federal Law of April 12, 2010 No. 61, may be taxed at a rate of 10% VAT only if there is a prescription for a medical product or the requirements of a medical organization ( according to the Letter of the Federal Tax Service of the Russian Federation dated August 10, 2011 No. AS-4-3 / 13016). |
5 | Implementation in agriculture | Resolution of the Government of the Russian Federation of October 20, 2016 No. 1069; All-Russian classifier of products by type of economic activity OK 034-2014; TN VED TS | Until October 1, 2016, a 10% rate was in effect on all agricultural products; 2 lists of pedigree livestock have been approved since October 20, 2016 |
As you know, today Russia applies three tax rates for value added tax: the VAT rate of 0 percent, the VAT rate of 10 percent, and the VAT rate of 18 percent.
According to paragraph 1 of Art. 164 of the Tax Code of the Russian Federation, for enterprises that are engaged in the sale or export of goods (works, services) in the field of transport services, shipbuilding, space activities, international transport, a tax rate of 0 percent is provided.
The ten percent rate is reduced. With the 10 percent VAT rate, the state stimulates the development of certain types of activities.
The application of a rate of 18 percent is shown if the activity of a business entity is not included in the list of operations, which is taxed at a rate of 0 percent and 10 percent.
Based on paragraph 2 of Art. 164 of the Tax Code of the Russian Federation, payment of VAT at a rate of 10 percent is established for the sale of food products, children's goods, printed materials, goods related to medicine.
Cases of taxation with a VAT rate of 10 percent
1. Sale of food products, which is provided for in subparagraphs 1 of paragraph 2 of Art. 164 of the Tax Code of the Russian Federation. The list of these goods is approved by Decree of the Government of the Russian Federation of December 31, 2004 No. 908 and includes:
![](https://i0.wp.com/cleverbuh.ru/wp-content/uploads/2014/06/stavka10.jpg)
From 01.01.2013, the list of food products subject to VAT at a ten percent rate has been replenished. To it were added fats (confectionery, culinary, baking, milk fat substitutes), cocoa butter substitutes (improvers), ghee, spreads (Federal Law of November 29, 2012 No. 206-FZ).
This list of food products contains a note, which explains that the belonging of certain domestically produced products to taxable at a ten percent rate is confirmed if the codes of their certificate correspond to the All-Russian Classifier of Products.
In order to avoid tax disputes, an enterprise that sells food products needs to acquire certificates of conformity, especially for goods subject to mandatory certification. The list of these goods was approved by Decree of the Government of the Russian Federation of December 1, 2009 No. 982.
As for imported goods that are sold on the territory of Russia and are subject to a VAT rate of 10 percent, they are systematized in accordance with the unified Commodity Nomenclature of Foreign Economic Activity of the Customs Union. In the decision of the Council of the Eurasian Economic Commission dated July 16, 2012, No. 54, codes for such goods were approved.
2. Sales of children's goods:
- knitwear for babies and children from nursery to senior school age group (underwear, hosiery, knitted outerwear, knitted hats, scarves, gloves);
- garment products, including those made of natural rabbit or sheepskin, outerwear (including costume and dress groups), underwear, clothing, and hats. Exception - products from natural leather and fur, except for products from sheepskin and rabbit;
- footwear (other than sports footwear);
- baby cots;
- children's mattresses;
- strollers;
- toys;
- diapers;
- school supplies (school notebooks and diaries, pencil cases, sketchbooks and notebooks for drawing, counting sticks, school abacus, notebook folders, sketchbooks, covers for diaries, notebooks and textbooks, cash registers of letters and numbers, plasticine).
A specific list of children's goods subject to a ten percent rate is presented in subparagraph 2 of clause 2 of Art. 164 of the Tax Code of the Russian Federation
3. Sale of book products directly related to education, culture and science (in addition to erotic), as well as printed periodicals (except for publications that are of an advertising or erotic nature). A periodical printed edition is a magazine, newspaper, almanac, bulletin, or another publication that has a current issue, a permanent name and goes on sale at least once a year. A periodical printed publication of an advertising nature is a printed publication in which advertising exceeds 40% of the information in one issue of this publication.
4. Sales of medical products, either domestic or foreign:
- medicinal products (including medicinal products intended for clinical trials of medicinal products, pharmaceutical substances, medications prepared by pharmacies).
To apply the VAT rate of 10 percent, it is mandatory that the enterprise has a registration certificate for a specific name of the drug. If a medicinal product is manufactured directly by a pharmacy, then it is not subject to registration. In this case, in order to apply the 10% VAT rate, you must have a prescription for the drug or the requirements of a medical institution.
The list of these goods is approved by the RF Government Decree of September 15, 2008 No. 688.
- medical products (latex products, X-ray films, patient care items, medical and sanitary-hygienic paper, gypsum, surgical threads, dental, surgical, dressings, bandages, medical containers, ampoules, etc.).
A prerequisite for the application of a ten percent rate is the presence of a registration certificate for a product that has a medical purpose.
In the absence (as well as the expiration of the validity period or an incomplete re-registration procedure) of a registration certificate for medicines and products intended for medical use, the application of a tax rate of 10 percent is impossible, according to the letter of the Ministry of Finance of Russia dated 12.07.2013 No. 03-07-07 / 27209, dated 29.06.2012 No. 03-07-07 / 61, dated 10.02.2013 No. 03-07-07 / 19, dated 15.11.2011 No. 03-07-11 / 309, dated 07.10.2011 No. 03-07- 07/55, dated 05.10.2011 No. 03-07-07 / 53.
5. In accordance with subparagraph 5 of paragraph 2 of Art. 164 of the Tax Code of the Russian Federation, the application of a 10% VAT rate is provided for the sale of breeding cattle or breeding sheep, pigs, goats, horses, breeding eggs. And also sperm (which is obtained from breeding bulls, rams, pigs, goats and stallions) and embryos (which are obtained from breeding cattle, or other breeding animals - horses, pigs, sheep, goats).
For this group, the rate will apply from January 1, 2013 to December 31, 2017.
6. The VAT rate of 10 percent will be applied until January 1, 2018 when selling services in the field of transferring breeding poultry and breeding livestock for use (or possession) under a financial lease agreement with the right to purchase.
Entrepreneurs involved in catering or selling food products charge VAT on food products. When calculating VAT, suppliers apply different rates determined by legislative acts of the Tax Code of the Russian Federation (hereinafter - the Tax Code of the Russian Federation).
It takes into account the circumstances and conditions in which the manufacture and sale of a certain
VAT on food products at a rate of 10%
Food products passing at 10% VAT rate, is in a special list defined by subparagraph 1 of paragraph 2 of article 164 of the Tax Code of the Russian Federation.
To confirm this rate, it is necessary that the name of the product is contained in the all-Russian classifier of products. (OKP)- for Russian products, or the commodity nomenclature of foreign economic activity (TN VED) - for foreign ones (letter of the Ministry of Finance of Russia dated 04.07.2012 No. 03-07-08 / 167).
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Product table with different VAT rates
What are the VAT rates for various goods and foodstuffs? The table below will help you navigate easily.
Outcomes
Organizations related to the production and sale of food products can take advantage of all types of rates established by the Tax Code of the Russian Federation, up to full exemption from VAT payments.
The application of a certain rate or tax incentives is associated with the specific operating conditions of the institution and the type of products sold. However, in order to qualify for a preferential rate or exemption from VAT, you must provide written evidence confirming the right to these benefits.
All products and all kinds of services for sale on the territory of the Russian Federation are subject to VAT taxation. An exception is made for certain categories of products, materials and work approved at the legislative level. Food products are recognized as objects of taxation. In this case, various rates are applied, depending on the type, grade of goods. In this article, we will consider the VAT on food products at a rate of 10% and 18%, and also give an example of transactions in the production of food products.
Objects of VAT taxation
The object of VAT taxation is considered to be sales within the state with some exceptions. Food is also taxed whether it is a resale or food product.
The VAT rate for food products is different. Both 10% and 18% tax rates are available.
Taxation of food
Tax rate | 10% | 18% |
Socially significant food products | Yes | Yes |
Delicacies | Not | Yes |
Semi-finished products | Yes | Yes |
Raw materials for the manufacture of food | Yes | Yes |
A more detailed list for food producers, as well as for entities involved in their resale and import of goods across the border, is presented in the special List of food products.
If, upon resale, the supplier receives products at a preferential VAT rate of 10%, the product must be sold at an acceptable rate. The wrongly assessed tax rate by the supplier does not relieve the seller of further liability.
If an error is found, the tax authorities have the right to recalculate the tax that has not been received by the budget, charge fines and penalties if necessary.
When importing food products into the territory of the Russian Federation at a rate of 0%, the buyer himself has to determine the tax rate, if the purpose of the import is further sale. Based on the applicable rate, the total amount to be paid to the budget is calculated.
VAT on food products at a rate of 10%
Many food products are considered socially significant. From the point of view of legislation, most of the most popular and consumed products fall under these criteria. According to the RF Tax Code, such products are taxed at a preferential rate of 10%. The list is quite extensive and consists of the following components:
- meat products, products from it;
- milk and dairy products, milk-based products (kefir, ice cream);
- eggs and egg products;
- various cereals, other grains, feed mixtures;
- vegetable oil, margarine, edible fats used in food production;
- sugar, raw sugar;
- salt;
- flour and flour products, including pasta, bakery products, with the exception of certain types of confectionery products;
- live fish, excluding valuable fish species (sturgeon, trout, salmon);
- seafood, canned food, preserves, herring, frozen and chilled fish, not counting valuable commercial species, as well as products of their caviar, crabs, lobsters and other delicacies);
- baby food;
- diabetic goods;
- vegetables, including potatoes.
The list of concessional food items that are subject to a 10% VAT rate is extensive and varied. But most of the goods recognized as gourmet products are not recognized as socially significant.
For a more precise definition and classification of food products in order to determine the required tax rate, it is worth referring not only to the provisions of the Tax Code of the Russian Federation. A detailed list is also presented in the list of food products approved by the Government of the Russian Federation, the taxation of which should be carried out at a preferential rate of 10%.
Using the information from this list, you can familiarize yourself in more detail with food products for which preferential taxation is possible. So, not all dry-cured sausages are considered delicacies, only those that belong to the highest grade.
VAT on food at a rate of 18%
Most food products are taxed using a 10% VAT. A detailed list is indicated in the Tax Code of the Russian Federation and the List of Goods. Other products are subject to sale on a different basis - at an 18% rate.
These food products include gourmet goods, expensive food products:
- When selling sausages and sausages, you should pay attention to the fact that raw smoked and some types of dry-cured products, as well as balyk, carbonad, neck, pastroma and others, are sold at an 18% rate.
- From dairy products taxed at a 10 percent rate, an exception is made for fruit-based ice cream and butter.
- Bakery products with taxation on a general basis include cakes, pastries and other confectionery.
- If we are talking about fish and seafood, taxation at an 18 percent rate is necessary for fish of valuable commercial species (beluga, trout, salmon, omul and others), as well as products from them. This also includes salmon, beluga caviar, crab meat, lobster.
Tax exemption
The foodstuffs themselves will be subject to mandatory VAT taxation at a rate of either 10% or 18%. However, food transactions can be exempt from tax.
According to the Tax Code of the Russian Federation, these types of activities include the sale of food products by public catering organizations, the sale of food products in educational and medical institutions.
Taxation of organizations exempted from VAT due to low turnover and low earnings based on the results of previous activities is not carried out. Subjects using preferential regimes, such as UTII, ESKhN, STS, PSN, also do not need to tax food products VAT. These conditions affect the production and further sale, including the resale of goods.
Food production
Often, in the production of food products, subjects use a reduced sales rate, purchasing food raw materials at a basic rate of 18%. This happens for the reasons that in the manufacture of products, the further sale of which is possible with the use of 10 percent VAT, the raw materials received from suppliers are present at a general rate. The legislation does not impose any special requirements. However, when requesting an explanation from the tax authorities, it should be prepared to provide relevant documentation. The presence of correctly drawn up invoices from suppliers allows you to fully accept the input VAT on raw materials.
VAT on food: transactions
Example... Organization "Vostok" is engaged in the production of bakery products. The muffins are sold at the rate of 10% VAT. To improve the quality of the products, it was decided to use butter received from the supplier. LLC "Vostok" has the right to take into account the input VAT on butter in full.
Dt 10 - Kt 62 - 10,000 rubles - purchase of butter.
Dt 19 - kt 62 - 1,800 rubles - tax has been allocated from the amount of raw materials purchased.
D62 - Kt 90-1 - 44,000 rubles - the products were shipped to the buyer.
Dt 90-3 - Kt 68 - 4,000 rubles - VAT on sales.