Zero-Rated Goods And Services

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Definition: Zero-Rated Goods And Services

Quick Summary of Zero-Rated Goods And Services

Goods and services that are taxable for value added tax (VAT) purposes but are currently subject to a tax rate of zero.

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What is the dictionary definition of Zero-Rated Goods And Services?

Dictionary Definition

Refers to goods and services that are taxable for value added tax purposes but are currently subject to a zero percent tax rate.

These differs from exempt in that the VAT attributable is allowable for input tax credit.

Full Definition of Zero-Rated Goods And Services

Zero-rated goods and services are goods and services that are taxable for value-added tax purposes but are currently subject to a tax rate of zero.

These differ from exempt status in that the VAT attributable is allowable for input tax credit.

Examples of Zero-rated supplies include:

  • Most food items
  • Sewerage and water services for non-industrial users
  • Books and periodicals
  • Certain Charitable Supplies
  • New Domestic Buildings
  • Transport fares for vehicles intended to carry not less than 10 passengers
  • Banknotes
  • Medicines
  • Children’s footwear and clothing
  • Fuel for Lifeboats and Air Ambulances
  • All exports.

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To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

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https://payrollheaven.com/define/zero-rated-goods-and-services/
Modern Language Association (MLA):
Zero-Rated Goods And Services. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. July 14, 2020 https://payrollheaven.com/define/zero-rated-goods-and-services/.
Chicago Manual of Style (CMS):
Zero-Rated Goods And Services. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/zero-rated-goods-and-services/ (accessed: July 14, 2020).
American Psychological Association (APA):
Zero-Rated Goods And Services. PayrollHeaven.com. Retrieved July 14, 2020, from PayrollHeaven.com website: https://payrollheaven.com/define/zero-rated-goods-and-services/

Definition Sources

Definitions for Zero-Rated Goods And Services are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 1st September, 2019 | 209 Views.