(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).