Fiscal changes that came into force this year, such as the increase in VAT on products containing sugar (at 10g per 100g), such as cakes or ice cream, change some things about ANAF control. However, as Mariana Vizoli, a tax expert and author of the book “VAT from A to Z. A practical guide”, also said, sugar has a 9% VAT because it is considered “without added sugar”. However, products containing sugar have 19%, except when you eat cake or ice cream at a pastry shop or gelateria.
*Yes, it’s complicated, but that’s how the PSD and PNL Law was designed
During the TaxEU Forum event, a person asked what to do if ANAF comes to check confectionery and sees that the product has been sold with 9% VAT when it should be 19% because it has exceeded the sugar limit. Perhaps an employee accidentally dropped a few teaspoons of sugar while preparing the cake.
Answered by Mariana Visoli: “ANAF does not check the actual content, but the production recipe. The law states that there are 10 grams of added sugar.”
Dragos Doros (former chairman of ANAF), tax partner of Eversheds Sutherland Romania, intervened, saying that it would be difficult because ANAF is not good at chemistry, as we have “carbohydrates that are sugars” and in polyols we have fiber.
“We have to look at these things from an ANAF perspective, meaning ZERO in chemistry,” Dorosh said.
Law 296/2023 (regarding the increase of taxes and the introduction of new ones) states that added sugar means cane sugar, brown sugar, crystalline sucrose, invert sugar, dextrose, molasses, honey sugar, molasses and syrups such as malt syrup, fruit syrup, rice malt syrup, corn syrup, high fructose corn syrup, maple syrup, glucose syrup, glucose-fructose, fructose, sucrose, glucose, lactose, hydrolyzed lactose, galactose, sugars in nectars such as coconut flower nectar, date nectar, nectar agave, sugar jam, added as ingredients. (This is a new definition, modified by GEO 115/2023)
Thus, a sugar content of 10 grams per 100 grams of product takes into account all the definitions given above.
See also: How to cheat ANAF and have 9% VAT on ice cream or cake / In addition, you are also helping an entrepreneur
Photo source: Dreamstime.com
Source: Hot News
Lori Barajas is an accomplished journalist, known for her insightful and thought-provoking writing on economy. She currently works as a writer at 247 news reel. With a passion for understanding the economy, Lori’s writing delves deep into the financial issues that matter most, providing readers with a unique perspective on current events.