A toasted bagel is not a takeaway product, and The Great American Bagel Factory has won a court case to prove it. The difference between the two terms basically involves whether VAT (value added tax) is added before the food reaches the consumer, a 17.5% surcharge that is routinely added to takeaway food products.


The company is delighted with its victory, won after claiming that its bagels are toasted to change their texture rather than make them hot. The ruling is expected to lead to a number of similar cases.