According to the Irish Court, the Bread served at Global Sandwich Chain SUBWAY is not considered as a “Staple Food” due to containing too much sugar in their Bread.
This happened after an owner of a Subway Franchise filed an appeal before the court which challenged the decision of Ireland’s Tax Authorities not to issue a Refund for Value-Added Tax on some of the Company’s takeout products including Teas, Coffees and Sandwiches.
The court stated that the Breads used in Subway’s Heated Sandwiches did not fall under the Country Value-Added Tax Act of 1972 which says that certain Staple Food are exempt of being Taxed. However, The Breads used in Subway’s Hot Sandwiches contains too much sugar to be considered as a “Staple Food”. Hence, They cannot be legally defined as Breads.
According to the Irish Independent, the amount of sugar in all six varieties of Subway breads contains about 10% of the total weight of flour in the dough. However, the Value-Added Tax Act 1972 does not permit the sugar content to be than 2% of the weight of the flour.
Well, It’s is not the first time Subway has faced such a Controversy. In 2014, An online petition started gaining momentum which caused the Company to stop using Azodicarbonamide, in all baked items in their menu.
Azodicarbonamide is a flour whitening agent, which is also used in yoga mats, synthetic leather and the soles of shoes.