Gourmet Classic Limited v The Commissioners for HMRC
Decision date: 25 February 2025
Neutral citation: [2025] UKFTT 256 (TC)
Overall AI summary confidence: high
Short overview
This short overview is intended to summarise the case, issues and outcome so far as they are supported by the judgment.
AI confidence in this short overview: high
This case concerned whether "cooking alcohols" (cooking wines, spirits, beers/ciders under CN code 2103) are "foodstuffs" within Article 27(1)(f) of Directive 92/83 and therefore exempt from excise duty at manufacture where their alcohol content is ≤5 litres per 100 kg. The Tribunal held that such cooking alcohols are foodstuffs and qualified for the exemption at manufacture when they met the 5L/100kg threshold, quashing HMRC’s 3 February 2023 assessment to that extent. Directions were given for resolving any remaining disputes if parties cannot agree amendments.
Ratio decidendi
This summary is intended to identify the ratio decidendi, meaning the legal reasons for deciding and the binding part of the decision.
AI confidence in this ratio decidendi summary: high
The Tribunal’s ratio is that liquid products classifiable as foodstuffs (here CN 2103 cooking alcohols used as culinary ingredients) fall within Article 27(1)(f), so the excise exemption applies at the point of manufacture where the product contains no more than 5 litres of pure alcohol per 100 kg; relevant indicators supporting that conclusion included CN classification, the Directive’s purpose (harmonisation/free movement), CED No.372 guidance and Member State/national practice.
Obiter dicta
This summary is intended to identify obiter dicta, meaning observations made by the way that were not necessary to deciding the case and are not binding.
AI confidence in this obiter dicta summary: medium
The Tribunal expressed that prior CJEU and domestic authority remarks addressing higher-alcohol cooking liquors and end-use inquiries did not bind its decision on low‑alcohol cooking alcohols, and it criticised HMRC’s proposed blanket exclusion of all liquids (not just beverages) as lacking textual, historical and practical support and potentially unworkable.