SCHEDULES

SCHEDULE 8 Zero-rating

Part II The Groups

Group 8— Transport

Notes:

F1A1

In this Group—

a

a “qualifying ship”is any ship of a gross tonnage of not less than 15 tons which is neither designed nor adapted for use for recreation or pleasure; and

F22b

a “qualifying aircraft” is any aircraft which —

i

is used by an airline operating for reward chiefly on international routes, or

ii

is used by a State institution and meets the condition in Note (B1).

F21B1

The condition is that the aircraft—

a

is of a weight of not less than 8,000 kilograms, and

b

is neither designed nor adapted for use for recreation or pleasure.

C1

In Note (A1)(b)—

  • “airline” means an undertaking which provides services for the carriage by air of passengers or cargo (or both);

  • F18...

1

In items 1 and 2 the supply of a F2qualifying ship or, as the case may be, aircraft includes the supply of services under a charter of that ship or aircraft except where the services supplied under such a charter consist wholly of any one or more of the following—

a

transport of passengers;

b

accommodation;

c

entertainment;

d

education;

being services wholly performed in the United Kingdom.

2

Items 1, 2 F3, 2A, 2B and 3 include the letting on hire of the goods specified in the items.

F42A

Items 2A and 2B do not include the supply of parts and equipment to a Government department F5or any part of the Scottish Administration unless—

a

they are installed or incorporated in the course of a supply which is treated as being made in the course or furtherance of a business carried on by the department; or

b

the parts and equipment are to be installed or incorporated in ships or aircraft used for the purpose of providing rescue or assistance at sea.

3

Item 3 shall not apply unless, before the supply is made, the recipient of the supply gives to the person making the supply a certificate stating—

a

the name and address of the recipient;

b

that the supply is of a description specified in item 3 of this Group.

4

“Lifeboat” means any vessel used or to be used solely for rescue or assistance at sea.

F194ZA

“Vehicle” has the same meaning as in the Management Act.

F64A

Item 4 does not include the transport of passengers-—

a

in any vehicle to, from or within-—

i

a place of entertainment, recreation or amusement; or

ii

a place of cultural, scientific, historical or similar interest,

by the person, or a person connected with him, who supplies a right of admission to, or a right to use facilities at, such a place;

b

in any motor vehicle between a car park (or land adjacent thereto) and an airport passenger terminal (or land adjacent thereto) by the person, or a person connected with him, who supplies facilities for the parking of vehicles in that car park; or

c

in an aircraft where the flight is advertised or held out to be for the purpose of—

i

providing entertainment, recreation or amusement; or

ii

the experience of flying, or the experience of flying in that particular aircraft,

and not primarily for the purpose of transporting passengers from one place to another.

4B

For the purposes of Note (4A) any question whether a person is connected with another shall be determined in accordance with F13section 1122 of the Corporation Tax Act 2010.

4C

In Note (4A)(b) “motor vehicle” means a mechanically propelled vehicle intended or adapted for use on the roads.

F74D

Item 4(a) includes the transport of passengers in a vehicle—

a

which is designed, or substantially and permanently adapted, for the safe carriage of a person in a wheelchair or two or more such persons, and

b

which, if it were not so designed or adapted, would be capable of carrying no less than 10 persons.

F144E

“Universal service provider” means a person who provides a universal postal service (within the meaning of F15Part 3 of the Postal Services Act 2011), or part of such a service, in the United Kingdom.

5

Item 6 does not include the letting on hire of goods.

F206

In Item 6—

a

“port” and “temporary storage facility” have the same meanings as in the Management Act;

b

“international railway area” means—

i

any place which may be designated as a railway customs area by virtue of section 26(1ZB) of the Management Act, or

ii

such other place relating to international rail travel as may be specified in a notice published by the Commissioners;

c

“railway vehicle” has the same meaning as in section 83 of the Railways Act 1993.

F126ZA

“Customs and excise airport” has the same meaning as in the Management Act.

F166ZB

An international journey is a journey starting in the United Kingdom and ending outside the United Kingdom or vice versa.

6ZC

In Item 6ZB “railway vehicle” has the same meaning as in Item 6.

F86A

“Air navigation services” has the same meaning as in the Civil Aviation Act 1982 F9.

7

Except for the purposes of item 11, paragraph (a) of item 6, F10item 6A,. item 9 and paragraph (a) of item 10 F11only include supplies of services where the ships or aircraft referred to in those paragraphs are qualifying ships or, as the case may be, aircraft..

8

“Designated travel service” has the same meaning as in the M1Value Added Tax (Tour Operators) Order 1987.

F179

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