Law Absolute - Recruitment specialists

Subway hot food VAT appeal bid dismissed

11th October 2012

A judge has dismissed an attempt by the fast food chain Subway to launch an appeal against HM Revenue & Customs regarding the recent rise in VAT on some hot takeaway products.

The bid, which was brought by a franchisee at one of the group’s restaurants, was aiming to kick start a legal action which would eventually have led to Subway’s heated sandwiches being ruled as exempt from VAT charges.

However, the claimants’ pivotal assertion that their subs are generally taken away by customers at heat levels below ambient temperature when they are consumed was ruled to not be the case.

If the challenge had been successful, the number of potential actions could have provided a huge amount of work for newly qualified lawyers who have recently been through the legal recruitment process, with the statement that was released after the judgement revealing that no less than 1,200 Subway outlets had been planning to launch their own individual appeals.