With iKuh for Fair VAT

(1) Let’s say you buy a cappuccino to go. If your cappuccino contains cow’s milk, it is taxed at 7% VAT. But if you choose oat milk, the tax jumps to 19%. On a €5 drink, that’s an extra €0.60. We want to change that—with iKuh.

(2) Bad for the climate and animal welfare.

This tax hits your wallet: Many cafés charge extra for oat milk to cover the additional €0.60 cost. Others—like us—don’t, meaning there’s barely any profit left from an oat milk cappuccino. Instead of earning €0.70 on a cow’s milk cappuccino, we might only make €0.10 with oat milk.

The result? More cow’s milk consumption, less oat milk—driven by tax policy. And that’s disastrous for the climate and animal welfare.

(3) The law is the law.

Germany’s VAT law (§12, Annex 2) is full of absurdities: Live mules: 7%, live donkeys: 19%, dead donkeys: 7%. Crabs: 7%, lobsters: 19%. Meat: 7%, vegan ground meat: 19%.

Drinks containing at least 75% cow’s milk—like a cappuccino—are taxed at 7%. Oat milk is not listed in Annex 2, so it falls under the standard 19% VAT, just like an oat milk cappuccino.

The original idea behind this law was to tax essential goods at a lower rate. But the tax model reflects an era when the average person had cow’s milk in the morning and pork roast in the evening.

(4) Milk is milk.

Or is it? Oat milk is not legally considered milk and therefore doesn’t qualify for the lower tax rate. According to the European Court of Justice and the German Milk and Margarine Act, “milk” is strictly defined as “the product obtained by one or more milkings from the normal udder secretion of dairy animals.” Got it.

(5) The game-changing udder.

So, we created an animal: the iKuh. We fill its udder with oat milk, milk it—and out comes a product that is chemically unchanged but now legally classified as milk. The result? A product taxed at just 7% VAT. Problem solved.

(6) With iKuh for fair VAT.

Current tax policy favors cow’s milk—at the expense of the climate, animal welfare, and plant-based consumers. We want to change that—just as we did three years ago when we successfully protested the mandatory use of cow’s milk at the SCA Barista Championships.

Spread the word about this issue and iKuh. Advocate for climate protection and plant-based equality. Do you run a café? iKuh can come to you, too. Get in touch: info(at)suedhang.org

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