A taxable supply on which value added tax (VAT) is charged at 0%. A person making zero-rated supplies is able to recover all of the VAT as input tax that is attributable to the zero-rated supplies but is not required to account for output tax on those supplies (because of the zero rate).

Schedule 8 to the Value Added Tax Act 1994 lists the supplies of goods and services that are zero-rated.

For further information, see Practice note, VAT: overview: Zero-rated supplies.