VAT changes to 17.5%
Here's how the VAT increase are to affect your shopping at Sainsbury's either instore or online.
From 1 January 2010, Sainsbury’s customers will continue to enjoy savings on an extensive range of non-food goods, as we will not be increasing prices on goods within Tu Clothing, Homeware and Electricals ranges, as well as CDs, DVDs and Games.
Hundreds of products currently on promotion instores and online will also be exempt from any price increases as a result of the 2.5% VAT increase.
Although food is largely not subject to VAT at 17.5%, Sainsbury’s will be increasing the VAT rate to 17.5% on VAT rated goods that are not on promotion from 1 January 2010 and will also make the relevant price changes in accordance with the new VAT rate on alcohol and tobacco.
To help you understand which products are impacted, the following is a summary of standard VAT rated products.
| 17.5% - Standard Rated |
| Beers, wines and spirits |
|
Fruit juices |
| Bottled water |
|
General merchandise |
| Carbonated drinks – e.g. coke/lemonade |
|
Greeting cards |
| CDs andDVDs |
|
Pet food |
| Cigarettes |
|
Petrol |
Clothing (adult and children above age14 and
one size fits all) |
|
Potato crisps (but not e.g. twiglets, tortilla
chips which are zero rated) |
| Confectionary |
|
Stationery |
| Cut flowers and plants |
|
Toiletries |
| Electrical household goods |
|
|
All VAT related products are indicated on your till receipt with a ‘*’ symbol.
Note: ‘zero-rated’ or ‘reduced-rated’ VAT products are not subject to any changes and are therefore not listed above.
Any increased prices as a result of VAT changes will be shown on your receipt or on-ine from 1 January but we will only complete the instore price ticket changes by the 28 January. Please bear with us whilst we complete these instore price ticket changes.
“Legislation called ‘Price Marking Order 2004’ allows retailers to show a lower price on their price tickets than the price charged at the till on VAT rated products for up to 28 days after any government changes to VAT.
If you require more details please visit the HM Revenue and Customs website
