VAT on Delivery Commissions Guide
Enter your total weekly order value, the split between hot food (standard-rated) and cold food (zero-rated), and your average commission rate to see how much commission VAT you can actually reclaim.
How this tool works
VAT on delivery commissions is one of the most commonly miscoded items in restaurant accounting. Platforms charge 20% VAT on their commissions — this is input tax that VAT-registered businesses can reclaim. But if you sell any zero-rated food (cold takeaway items, certain bakery goods), the reclaim must be apportioned under partial exemption rules. Most generalist accountants code the full amount as reclaimable, which overclaims input VAT. This tool calculates the correct split based on your actual sales mix and shows the annual cost of getting it wrong.
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