The Value Added Tax (Place of Supply of Services) (Transport of Goods) Order 2012

Amendment of Part 2 of Schedule 4A to the Value Added Tax Act 1994

2.—(1) Part 2 (exceptions relating to supplies made to relevant business person) of Schedule 4A (place of supply of services: special rules) to the Value Added Tax Act 1994(1) is amended as follows.

(2) After paragraph 9A insert—

“Transport of goods

9B   Where—

(a) a supply of services to a relevant business person consisting of the transportation of goods would otherwise be treated as made in the United Kingdom, and

(b) the transportation takes place wholly outside the member States,

the supply is to be treated as made wholly outside the member States.

Ancillary transport services

9C— (1) Where—

(a) a supply of services to a relevant business person consisting of ancillary transport services would otherwise be treated as made in the United Kingdom, and

(b) the services are physically performed wholly outside the member States,

the supply is to be treated as made wholly outside the member States.

(2) In sub-paragraph (1)(a) “ancillary transport services” means loading, unloading, handling and similar activities.”.

(1)

Schedule 4A was inserted by section 76 of, and paragraphs 1 and 11 of Schedule 36 to, the Finance Act 2009; Part 2 was amended, so far as is relevant to this Order, by section 76 of, and paragraphs 1 and 15(3) of Schedule 36 to, the Finance Act 2009; see also paragraphs 14 and 16 of that Schedule.