The Irish Supreme Court says the bread used in Subway sandwiches has too much sugar for VAT tax exemption. (Photo by Joe Raedle/Getty Images) Ireland’s Supreme Court says the bread used in Subway locations throughout the country is loaded with so much sugar, it should not be considered a “staple food.”The determination was made in response to an Irish Subway franchise owner who challenged the European nation’s value-added tax, according to a report from the Irish Times.In Ireland, tax exemptions can be issued for essential food staples, which includes bread.This exemption led Subway franchisee, Bookfinders Ltd., to seek a refund on the basis that the quick-service sandwich shop serves food on bread and therefore should be exempt from the.