IN THE KNOW

In every episode of LAWcatz we cut through the jargon that surrounds us all in today's complex world. Learn more from our LAWcatz 'IN THE KNOW' articles, a selection of legal information to weird cases and law that will educate and entertain.
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Is a Pringle a crisp?


IS A PRINGLE A CRISP?


How could a Pringle not be a crisp when they are described as a "savoury snack."



In the case of Proctor & Gamble v HM Revenue & Customs this is what the Court had to decide.


The problem for Proctor and Gamble was is their product was a crisp they would have to VAT of around £100m.


Vat which is currently set at 20% is charged on luxury items.. There is no VAT on Fruit, milk or tea but there is VAT on ice cream, cakes and crisps.


In 2008 a Judge ruled that as they were only 3% potato flour ( 39% vegetable oil) they were not crisps.


HMRC appealed and won. Therefore is is official. Pringles are crisps.

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