(This note is not part of the Regulations)
1.
These Regulations amend, from 1 April 2000, the Value Added Tax Regulations S.I. 1995 No. 2518.
2.
The VAT charged on importations of goods from outside the member States is payable as if it were a duty of customs. Therefore relevant customs legislation applies to import VAT unless it is excepted or adapted by regulations (or there is a contrary intention).3
3.
From 1 April 2000 national customs legislation4 will–
(a)
enable Customs to recover interest on an unpaid customs debt, and
(b)
require Customs to pay interest if they must repay a person an amount relating to customs duty.
These provisions will not apply to import VAT. Regulations 3, 4 and 5 add them (and their associated Community measures5) to the existing lists of customs legislation6 which is excepted from applying to import VAT.
- Regulation 4 also provides continuity for an existing import VAT exception7 that is currently found in regulation 119 (removal from warehouse).
4.
At the same time, new customs rules8 will permit Customs to recover a repayment of customs duty issued to a person who was not entitled to it. Recovery will not be allowed more than 3 years after the amount was issued (unless Customs give written notice before then). Regulation 6 confirms that these rules will apply to relevant import VAT9.
Regulation 6 also provides continuity for an existing import VAT adaptation10 that is currently found in regulation 121 (valuation).