Buying fresh or dehydrated mushrooms in a supermarket in Portugal implies a reduced VAT, 6%, but the consumer who prefer to take them already cut or laminated pays the maximum rate of 23%. The information contains one (AT), published in the Finance Portal, quoted by ECO.
At issue is the distinction made by the tax authorities, which considers that the parties, laminated or reduced to powder mushrooms are subjected to an industrial process. This transformation changes the fiscal framework of the product, moving from the reduced rate to the normal rate.
Binding information arises after a merchant has questioned the finances about the VAT rate applicable to the various types of mushrooms he sells, namely fresh mushrooms, in cuvetes (parties or laminated), dehydrated (integers and laminates), dry, granulated and powder.
Mushrooms are considered vegetable products
In clarification, AT clarifies that edible mushrooms are considered vegetable products, therefore, covered by the reduced RAT rate (6%). But it stresses that if there is any process of industrial transformation – for example, rolling, diced, granulation or dust reduction -, the application of the reduced rate is immediately removed.
“It has been the understanding of the Tax Management area – VAT that any industrial treatment, namely in the case of mushrooms, their grinding (dust reduction), lamination, granulation, and the performance of other procedures, rule out the application of the above money […] And its transmission is taxed at the normal rate, ”explains the document published by AT.
Integers have a reduced fee, transformed pay more
In practice, this means that a consumer who buys whole or dehydrated mushrooms benefits from reduced VAT (6%), but if he chooses cut, laminated or powder mushrooms is already paying the maximum fee of 23%.
The rule also applies to products such as granulated dry mushrooms or fresh mushrooms in laminated or parties. The justification given by finances is always the same: the industrial process carried out on these products excludes them from the category of vegetable products sold in a natural state.
Tax authorities clarifies position formally
In the OT craft it is explicitly read that “the transmission of ‘mushrooms’ is subject to VAT and should, in the case of fresh mushrooms, whole dehydrated fresh mushrooms and dry mushrooms, be subject to the reduced tax rate (6%)”.
However, the same entity stresses that “fresh cuvettes (cubes or cubes), laminated dehydrated mushrooms, dust -reduced mushrooms and granulated dry mushrooms, when subject to a process of transformation, exclude their framing in the aforementioned verb […] And so, in its transmission the normal tax rate should be applied. ”
This official clarification was published after several traders requested clarification on the taxation of these food products in the national market, avoiding divergent interpretations that can confuse the end consumer.
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