1A

In this Order a reference to the importation of goods is to be read as including a reference to the acquisition of goods in Northern Ireland from a member State, and references to goods being imported, or tax being charged on an importation, are to be construed accordingly.

Relief for second-hand motor cars removed from Northern Ireland to Great Britain8A

Article 8 has effect as if in paragraph (1)—

1

after “in any of the circumstances set out in paragraph (2) below” there were inserted “and the supply involves the removal of a motor car from Northern Ireland to Great Britain”; and

2

for “VAT chargeable on the supply” there were substituted “VAT chargeable on the removal”.

3

1

Where goods held under temporary importation arrangements in Northern Ireland are supplied, that supply shall be treated as neither a supply of goods nor a supply of services provided that—

a

the goods remain eligible for temporary importation arrangements; and

b

the supply is to a person established outside Northern Ireland and the member States.

2

In this article—

• “goods held under temporary importation arrangements” means goods placed under the temporary admission procedure provided for in Union customs legislation, with total relief from customs duty, whether or not the goods are subject to customs duty.

• “Union customs legislation” has the same meaning as in paragraph 1(8) of Schedule 9ZB to the Value Added Tax Act 1994.

Application of this Order in relation to Northern Ireland8

1

In this Order, references to VAT charged on the importation of goods includes VAT charged under the following provisions of Schedule 9ZB (goods removed to or from Northern Ireland etc.) to the Act—

a

paragraph 1(3);

b

paragraph 3(2); and

c

paragraph 3(4).

2

Schedule 2 to this Order makes separate provision for the disallowance of input tax in relation to acquisitions in Northern Ireland from the EU.

SCHEDULE 2Disallowance of input tax in relation to acquisitions in Northern Ireland from the EU

Art 8(2)

1

1

In this Schedule “NI acquisition VAT” means VAT charged by paragraph 1(3) of Schedule 9ZA to the Act.

2

NI acquisition VAT charged on the acquisition in Northern Ireland of such goods from a member State as are described in sub-paragraph (3) which are acquired by a taxable person in the circumstances described in sub-paragraph (4) is excluded from any credit under section 25 of the Act.

3

The goods referred to in sub-paragraph (2) are—

a

works of art, antiques and collectors’ items, and

b

second-hand goods.

4

The circumstances of the acquisition from a member State referred to in sub-paragraph (2) are where—

a

the goods are acquired in connection with a supply which, by virtue of the law of the member State in which the supply took place, VAT was chargeable on the profit margin; and

b

if the goods are a work of art, they are acquired from a member State from its creator or the creator’s successor in title.

5

Sub-paragraph (2) only excludes from credit NI acquisition VAT on an acquisition of goods by a taxable person in the circumstances set out in sub-paragraph (4)(b) if the taxable person—

a

has opted to account for VAT chargeable on the supplies of such goods on the profit margin in accordance with the provisions of an Order made under section 50A of the Act; and

b

has not elected, in accordance with such an Order, to account for VAT chargeable on the supply of the goods by reference to its value.

2

1

NI acquisition VAT charged on the acquisition in Northern Ireland of goods from a member State by a taxable person is excluded from any credit under section 25 of the Act, where the goods are used or are to be used by the taxable person for the purposes of business entertainment unless the entertainment is provided for an overseas customer of the taxable person and is of a kind and on a scale which is reasonable, having regard to all the circumstances.

2

For the purposes of this paragraph, “business entertainment” means entertainment including hospitality of any kind provided by a taxable person in connection with a business carried on by that person, but does not include the provision of any such entertainment for either or both—

a

employees of the taxable person; and

b

if the taxable person is a body corporate, its directors or persons otherwise engaged in its management.

3

But the exception in relation to the provision of entertainment for persons such as are mentioned in sub-paragraph (2)(a) and (b) does not apply where the provision of the entertainment is incidental to its provision for others.

4

For the purposes of this paragraph, “overseas customer”, in relation to a taxable person, means—

a

any person who is not ordinarily resident nor carrying on a business in the United Kingdom or the Isle of Man and avails himself or herself, or may be expected to avail himself or herself, in the course of a business carried on by that person outside the United Kingdom and the Isle of Man, of any goods or services the supply of which forms part of the taxable person’s business; and

b

any person who is not ordinarily resident in the United Kingdom or the Isle of Man and is acting, in relation to such goods or services, on behalf of an overseas customer as defined in paragraph (a) or on behalf of any government or public authority outside the United Kingdom and the Isle of Man.

3

Where a taxable person constructing or effecting any works to a building of a description in Schedule 8 to the Act for the purpose of making a grant of a major interest in it (or any part of it or its site), incorporates goods other than building materials in any part of the building or its site, NI acquisition VAT charged on the acquisition in Northern Ireland of such goods from a member State by the taxable person is excluded from any credit under section 25 of the Act.

4

1

NI acquisition VAT charged on the acquisition in Northern Ireland of a motor car from a member State is excluded from any credit under section 25 of the Act.

2

Sub-paragraph (1) does not apply where the motor car—

a

is a qualifying motor car which is acquired in Northern Ireland from a member State by a taxable person and the relevant condition is satisfied;

b

forms part of the stock in trade of a motor manufacturer or a motor dealer;

c

is acquired in Northern Ireland from a member State by a taxable person whose only taxable supplies are concerned with the letting of motor cars on hire to another taxable person whose business consists predominantly of making supplies of a description falling within item 14 of Group 12 of Schedule 8 to the Act; or

d

is unused and is supplied on a letting on hire to a taxable person whose business consists predominantly of making supplies of a description falling within item 14 of Group 12 of Schedule 8 to the Act, by a taxable person whose only taxable supplies are concerned with the letting on hire of motor cars to such a taxable person.

3

For the purposes of this paragraph a motor car is a qualifying motor car if it has never been supplied, acquired from a member State (under the provisions of the Act applicable at the time) or imported, in circumstances in which the VAT on that supply, acquisition or importation was wholly excluded from credit as input tax by virtue of the provisions of this Order.

4

For the purposes of paragraph 4(2)(a), the relevant condition is that the motor car is acquired by a taxable person who intends to use the motor car—

a

exclusively for the purposes of a business carried on by that person; or

b

primarily for a relevant purpose.

5

For the purposes of sub-paragraph (4)(a), a taxable person is not to be regarded as intending to use a motor car exclusively for the purposes of a business carried on by that person if that person intends—

a

to let it on hire to any person either for no consideration or for a consideration which is less than that which would be payable in money if it were a commercial transaction conducted at arm’s length; or

b

to make it available (otherwise than by letting it on hire) to any person (including, where the taxable person is an individual, to that taxable person or, where the taxable person is a partnership, a partner) for private use, whether or not for a consideration.

6

For the purposes of sub-paragraph (4)(b), a relevant purpose is any of the following—

a

to provide it on hire with the services of a driver for the purpose of carrying passengers;

b

to provide it for self-drive hire;

c

to use it as a vehicle in which instruction in the driving of a motor car is to be given by that person.

7

In paragraph (6)(b)“self-drive hire” means hire where the hirer is the person normally expected to drive the motor car and the period of hire to each hirer, together with the period of hire of any other motor car expected to be hired to him by the taxable person—

a

will normally be less than 30 consecutive days; and

b

will normally be less than 90 days in any period of 12 months.

2

In this Order—

• “temporary admission with full customs duty relief” means—

  1. a

     in Great Britain, the temporary admission procedure under Part 1 of the Taxation (Cross-border Trade) Act 201820, where full relief from a liability to import duty is to be given under regulation 40 of the Customs (Special Procedures and Outward Processing) (EU Exit) Regulations 201821;

  2. b

     in Northern Ireland, the customs procedure for temporary importation with total relief from import duties provided for in Articles 250, 251 and 253 of Regulation (EU) No 952/2013 of the European Parliament and of the Council of 9 October 2013 laying down the Union Customs Code as it has effect in Northern Ireland as a result of section 7A of the European Union (Withdrawal) Act 202022;

• “work of art” has the same meaning as in section 21 of the Value Added Tax Act 199423.

3

That procedure is the temporary admission with full customs duty relief procedure.

22ZZA

1

A taxable person must submit a statement to the Commissioners if any of the following events occurs—

a

goods are removed from Northern Ireland under call-off stock arrangements by or under the directions of the taxable person;

b

call-off stock goods are returned to Northern Ireland by or under the directions of the taxable person at any time during the period of 12 months beginning with their arrival in the destination territory;

c

the taxable person forms an intention to supply call-off stock goods to a person (“the substitute”) other than the customer in circumstances where—

i

the taxable person forms that intention during the period of 12 months beginning with the arrival of the goods in the destination territory, and

ii

the substitute is identified for VAT purposes in accordance with the law of the destination territory.

2

The statement must—

a

be made in the form specified in a notice published by the Commissioners,

b

contain, in respect of each event mentioned in paragraph (1) which has occurred within the period in respect of which the statement is made, such information as may from time to time be specified in a notice published by the Commissioners, and

c

contain a declaration that the information provided in the statement is true and complete.

3

Paragraphs (3), (4) and (6) of regulation 22 have effect for the purpose of determining the period in respect of which the statement must be made, but as if—

a

in paragraph (3)(a) of that regulation—

i

for “paragraphs (4) to (6)” there were substituted “paragraphs (4) and (6)”, and

ii

for “the relevant supply of goods is made” there were substituted “the event occurs”;

c

in paragraph (4)(a) of that regulation, for “the supply is made” there were substituted “the event occurs”, and

d

in paragraph (6) of that regulation, the reference to paragraph (1) were a reference to paragraph (1) of this regulation.

4

In determining the period in respect of which the statement must be made, the time at which an event mentioned in paragraph (1)(a) of this regulation is to be taken to occur is the time the goods concerned are removed from Northern Ireland rather than the time the condition mentioned in paragraph (g) of paragraph 57(1) to Schedule 9ZA to the Act is met in respect of the removal.

1

This regulation applies—

a

where goods have been removed—

i

from Northern Ireland to a member State, or

ii

from a member State to a different Member State or to Northern Ireland; and

b

the removal falls within paragraph (f) or (g) of article 4 of the Removal Order.

g

where a removal of goods is treated as a taxable supply by virtue of paragraph 31B(1) of Schedule 9ZB51 to the Act, the value of that supply.

109A

1

This regulation applies where a taxable person—

a

has incurred an amount of input tax in relation to goods which has not been attributed to taxable supplies because the person has used the goods in making either—

i

exempt supplies, or

ii

both taxable supplies and exempt supplies,

b

is treated as having made a taxable supply of those goods (“the deemed supply”) in accordance with paragraph 31B of Schedule 9ZB to the Act, and

c

the deemed supply is made in a subsequent tax year to the tax year in which the input tax was incurred.

2

Subject to regulation 110 and where this regulation applies, the Commissioners shall, on receipt of an application made by the taxable person in such form and manner and containing such particulars as they may direct, pay to the person an amount equal to the input tax which has become attributable to the deemed supply in accordance with the method which the person was required to use when the input tax was first attributed.

3

For the purposes of this regulation any question as to the nature of any supply shall be determined in accordance with the provisions of the Act or any Regulations or Orders made thereunder in force at the time when the input tax was first attributed.

Application of this Part116O

This Part applies to importations, exportations and removals in respect of Great Britain.

Regulations excepted119

1

The provision made by or under the following subordinate legislation is excepted from applying to importations—

a

regulations 16(4) and (5) and 19(1)(b) of the Excise Warehousing (Etc) Regulations 1988)58 (certain removals from warehouse);

b

any regulations made under section 197(2)(f) of the Finance Act 199659 (rate of interest on overdue customs duty and on repayments of amounts paid by way of customs duty);

c

any regulation made under section 19 of the Taxation (Cross-border Trade) Act 2018 conferring full or partial relief from a liability to import duty; and

d

regulations 45 (interest on late payment of import duty) and 68 (interest payable by HMRC) of the Customs (Import Duty) (EU Exit) Regulations 201860.

2

But paragraph (1)(c) does not include the following—

a

regulations 32 and 33 (authorised use procedure) of the Customs (Special Procedures and Outward Processing) (EU Exit) Regulations 201861 and regulation 20 of the Customs (Reliefs from a Liability to Import Duty and Miscellaneous Amendments) (EU Exit) Regulations 202062 including the authorised use rates document referred to in that regulation, in so far as these regulations relate to relief from import duty in respect of goods admitted into territorial waters—

i

in order to be incorporated into drilling or production platforms as part of the process of constructing, repairing, maintaining, altering or fitting-out of such platforms, or in order to link such platforms to the mainland of the United Kingdom; or

ii

for the fuelling and provisioning of drilling or production platforms;

b

regulations 35 to 40 (temporary admission procedure) of the Customs (Special Procedures and Outward Processing) (EU Exit) Regulations 2018, in so far as these regulations confer full relief from a liability to import duty in relation to a temporary admission procedure; and

c

the Customs (Reliefs from a Liability to Import Duty and Miscellaneous Amendments) (EU Exit) Regulations 2020, in so far as these Regulations confer a relief from import duty in relation to returned goods relief, as detailed at sections 37 to 39 of the UK Reliefs document, subject to the modifications and exceptions set out in regulation 121D.

121DModifications and exceptions for the application of returned goods relief

1

For the purposes of relief from import VAT63 incurred on the importation of goods into Great Britain from outside the United Kingdom, the provisions of the Customs (Reliefs from a Liability to Import Duty and Miscellaneous Amendments) (EU Exit) Regulations 2020 are to be read as if the UK Reliefs document referred to in those Regulations was modified as follows.

2

Regard sections 37 to 39 (returned goods relief) of the UK Reliefs document as requiring that the goods are re-imported into Great Britain by the same person who originally exported or re-exported the goods.

3

Regard the amount of relief mentioned in sections 37 to 39 of the UK Reliefs document as reduced by the amount of any unpaid VAT.

4

Regard the amount of import VAT in regulation 23 of the Customs (Special Procedures and Outward Processing) (EU Exit) Regulations 201864 as reduced by the amount of any paid VAT.

5

For the purposes of paragraphs (3) and (4)—

a

“unpaid” refers to any part of the VAT charged and due on—

i

a supply of the goods in the United Kingdom before the re-importation, or

ii

an importation of the goods from outside the United Kingdom before the re-importation,

which has been repaid, remitted or otherwise not paid;

b

“paid” refers to any part of the VAT charged, due and paid on—

i

a supply of the goods in the United Kingdom before the re-importation, or

ii

an importation of the goods from outside the United Kingdom before the re-importation,

in circumstances where there is no actual, or no prospect of, repayment or remission;

c

a sum for which there is or was an entitlement or right to a deduction or refund within section 2465 of the Act (input tax and output tax) is neither “unpaid” nor “paid”.

6

In the circumstances described in paragraph (7) or (8), the provisions of the Customs (Reliefs from a Liability to Import Duty and Miscellaneous Amendments) (EU Exit) Regulations 2020 are excepted from the legislation which is to apply as mentioned in section 16(1) of the Act (application of customs enactments)66.

7

The circumstances are that—

a

the re-importer contemplated by sections 37 to 39 of the UK Reliefs document makes a supply of, or concerning, the goods whilst those goods are under the inward processing procedure or in the course of, or after, the relevant exportation, re-exportation or re-importation of the goods,

b

the place of supply for the purposes of VAT is determined by or under section 7 of the Act67 (place of supply of goods) as being outside the United Kingdom, and

c

the goods nevertheless are, or may be, stored or physically used in the United Kingdom by or under the direction of that re-importer or the person to whom that supply is made (“recipient”);

and for these purposes “re-importer” and “recipient” include someone connected with either person or both persons as determined in accordance with sections 1122 and 1123 of the Corporation Tax Act 201068.

8

The circumstances are that the goods in question were supplied at any time to any person pursuant to regulations 132 to 133 or pursuant to any corresponding provisions of the Isle of Man.

Part 16ZAImportations, exportations and removals in respect of Northern Ireland

Interpretation133A

1

his Part applies to importations, exportations and removals in respect of Northern Ireland.

2

In this Part—

• “container” has the same meaning as in Part 16;

• “export” means—

  1. i

     the export of goods from Northern Ireland to a place outside the member States; and

  2. ii

     the removal of goods from Northern Ireland to Great Britain or the Isle of Man, and related expressions are to be interpreted accordingly.

• “importation” means—

  1. i

     the importation of goods from outside the United Kingdom as a result of their entry into Northern Ireland; and

  2. ii

     the entry of goods into Northern Ireland following their removal from Great Britain or the Isle of Man,

  and related expressions are to be interpreted accordingly;

• “overseas authority” means any country other than the United Kingdom or any part of or place in such a country or the government of any such country, part or place;

• “relevant state” and “relevant states” means the member States and Northern Ireland;

• “Union customs legislation” has the meaning given by paragraph 1(8) of Schedule 9ZB to the Act.

Supplies to persons outside the relevant states133B

Where the Commissioners are satisfied that—

1

goods intended for export to a place outside the relevant states have been supplied at a time when they were located in Northern Ireland to—

a

a person not resident in Northern Ireland,

b

a trader who has no business establishment in Northern Ireland from which taxable supplies are made, or

c

an overseas authority, and

2

the goods were exported to a place outside the relevant states;

3

the goods are not personal gifts on export as defined in regulation 9 of the Customs (Export) (EU Exit) Regulations 201969; and

4

any conditions that may be specified by the Commissioners in a notice published by them have been met,

the supply, subject to such other conditions as they may impose, shall be zero-rated.

VAT Retail Export Scheme133C

1

Where the Commissioners are satisfied that—

a

goods, which at the time of the supply were located in Northern Ireland, have been supplied to a person who is an overseas visitor and who, at the time of the supply, intended to depart from the relevant states before the end of the third month following that in which the supply is effected and that the goods should accompany him,

b

save as they may allow, the goods were produced to the competent authorities for the purposes of the common system of VAT in the relevant state from which the goods were finally exported to a place outside the relevant states, and

c

the goods were exported to a place outside the relevant states,

the supply, subject to such conditions as they may impose, shall be zero-rated.

2

In this regulation—

a

“goods” does not include—

i

a motor-vehicle, or

ii

a boat intended to be exported under its own power,

b

the words “overseas visitor” refer to a traveller who is not established within the relevant states,

c

for the purposes of paragraph (b) above, a traveller is not established within the relevant states only if that traveller’s domicile or habitual residence is situated outside the relevant states,

d

solely for the purposes of paragraph (c) above, the traveller’s domicile or habitual residence is the place entered as such in a valid—

i

identity document,

ii

identity card, or

iii

passport,

e

a document referred to in sub-paragraph (i), (ii) or (iii) of paragraph (d) is valid for the purposes of that paragraph only if—

i

it is so recognised by the Commissioners, and

ii

it is not misleading as to the traveller’s true place of domicile or habitual residence.

Supplies to persons departing from the relevant states

133D

1

The Commissioners may, on application by an overseas visitor who intends to depart from the relevant states within 15 months and remain outside the relevant states for a period of at least 6 months, permit that person within 12 months of the person’s intended departure to purchase, from a registered person, a motor vehicle located in Northern Ireland at the time of purchase without payment of VAT, for subsequent export, and its supply, subject to such conditions as they may impose, shall be zero-rated.

2

The conditions that the Commissioners may impose under paragraph (1) may be specified in a notice published by them.

3

In this regulation, “overseas visitor” means a person who, during the 2 years immediately preceding the date of the application has not been in Northern Ireland for more than 365 days, or who, during the 6 years immediately preceding the date of the application has not been in Northern Ireland for more than 1,095 days.

133E

1

The Commissioners may, on application by any person who intends to depart from the relevant states within 9 months and remain outside the relevant states for a period of at least 6 months, permit that person within 6 months of the person’s intended departure to purchase, from a registered person, a motor vehicle located in Northern Ireland at the time of purchase without payment of VAT, for subsequent export, and its supply, subject to such conditions as they may impose, shall be zero-rated.

2

The conditions that the Commissioners may impose under paragraph (1) may be specified in a notice published by them.

3

In this regulation, “overseas visitor” means a person who, during the 2 years immediately preceding the date of the application has not been in Northern Ireland for more than 365 days, or who, during the 6 years immediately preceding the date of the application has not been in Northern Ireland for more than 1,095 days.

Supplies to persons taxable in a member State

133F

1

Subject to regulation 133G, where the Commissioners are satisfied that —

a

a supply of goods by a taxable person involves their removal from Northern Ireland;

b

the supply is to a person (“P”) who is registered for VAT in a member State and has provided the supplier with the VAT identification number issued to P by that member State,

c

the goods have been removed to a member State, and

d

the goods are not goods in relation to whose supply the taxable person has opted, pursuant to section 50A70 of the Act, for VAT to be charged by reference to the profit margin on the supply,

the supply, subject to such conditions as they may impose, shall be zero-rated.

133G

The zero-rating provided for by regulation 133F shall be revoked where, in relation to a supply,—

a

the taxable person who makes the supply fails to comply with the obligation to submit a statement under regulation 22; or

b

the statement submitted by that taxable person does not set out the correct information as required by or under regulation 22, unless the taxable person can satisfy the Commissioners that there was a reasonable excuse for the failure to comply or the failure to provide the correct information, as appropriate.

Additional provision in relation to importations, exportations and removals in respect of Northern Ireland133H

1

The Commissioners may make additional provision in relation to importation, exportation and removals so far as concerning value added tax in respect of Northern Ireland in a notice published by them.

2

A notice made under this regulation may include provision for the following—

a

enactments, regulations and Union customs legislation which are to be excepted or adapted in relation to importations in, or exports from, Northern Ireland;

b

treatment of supplies made to persons taxable in a member State or supplies of goods subject to excise duty to persons who are not taxable in a member State;

c

reimportation of goods exported for treatment or process, temporary importations and export of freight containers;

d

territories to be treated as excluded from or included in the territory of the Community and of the member States, related entry and exit formalities and use of the internal transit procedure under Union customs legislation and Union customs legislation which will apply.

3

In paragraph (2)(a) “status” is a reference to whether the person in question is or is required to be registered under the Act or would be required to register under the Act were it not for paragraph 1(9) of Schedule 1, paragraph 38(6) or paragraph 48(7) of Schedule 9ZA72, to the Act.

Part 16BNorthern Ireland fiscal and other Northern Ireland warehousing regimes

Northern Ireland warehouses and fiscal warehouses: application of Part 16A with modifications

145L Part 16A and Schedule 1A apply to Northern Ireland warehouses and Northern Ireland fiscal warehouses as they apply to warehouses and fiscal warehouses—

a

as if any reference to “fiscal warehouse”, “warehouse”, “fiscal warehousing regime” and “warehousing regime” were a reference respectively to “Northern Ireland fiscal warehouse”, “Northern Ireland warehouse”, “Northern Ireland fiscal warehousing regime” and “Northern Ireland warehousing regime”; and

b

with the modifications set out in regulations 145M to 145R in respect of Part 16A, and in regulation 145T in respect of Schedule 1A.

Interpretation

145M In regulation 145A(1) (interpretation)—

a

in the definition of “eligible goods”, read the words after “by” as “paragraph 25(1) of Schedule 9ZB to the Act73 (supplementary provision)”;

b

in the definition of “material time”, read the words after “by” as “paragraph 25(1) of Schedule 9ZB to the Act except in regulation 145D where “material time” means the time the services are performed.”.

Northern Ireland fiscal warehousing transfers

145N Read the heading to regulation 145G (fiscal warehousing transfers in Great Britain) as “Fiscal warehousing transfers in Northern Ireland”.

Removal of goods from a Northern Ireland fiscal warehousing regime and transfers

145O(1) In the heading to regulation 145H (removal of goods from a fiscal warehousing regime and transfers outside Great Britain), read “Great Britain” as “Northern Ireland”.

2

In regulation 145H(1), read “sections 18F(5), 18F(6)” as “paragraph 25(4), 25(5) of Schedule 9ZB to the Act”;

3

In regulation 145H(2)—-

a

read there as being before sub-paragraph (c)—

bb

where the goods in question are transferred or are in the process of transfer to arrangements which correspond in effect, under the law of a member State, to paragraph 19(5) (Northern Ireland fiscal warehouses: relief) of Schedule 9ZB to the Act whether or not those arrangements also correspond in effect to section 18C(1) (zero-rating of certain specified services performed in a fiscal or other warehousing regime) as applied by paragraph 21 (Northern Ireland warehouses and fiscal warehouses: services) of Schedule 9ZB to the Act

b

in sub-paragraph (c), read “Great Britain” as “Northern Ireland and the member States”;

4

In regulation 145H(4)—-

a

read there as being before sub-paragraph (c)—

bb

a document evidencing the completion of the transfer of the eligible goods from the relevant Northern Ireland fiscal warehousing regime directly to arrangements which correspond, in a member state, to Northern Ireland (60 days); or

b

in sub-paragraph (c), read “Great Britain” as “Northern Ireland and the member States”.

145P. In regulation 145I(2), read the reference to section 18D(2) as a reference to paragraph 22(2) (removal from warehousing: accountability) of Schedule 9ZB to the Act.

Payment on removal of goods from a Northern Ireland fiscal warehousing regime

145Q. In regulation 145J(2)(a) (payment on removal of goods from a fiscal warehousing regime), read the reference to section 18B(4) as a reference to paragraph 19(6) of Schedule 9ZB to the Act.

Place of supply of goods subject to a Northern Ireland warehousing regime

145R. In regulation 145K (place of supply of goods subject to a warehousing regime), read “section 18(1)” in each place it occurs as “paragraph 16(1) of Schedule 9ZB to the Act”.

Fiscal warehousing certificates

145S(1) The certificate referred to in paragraph 19(1)(d) of Schedule 9ZB to the Act (certificate relating to acquisitions in or intended for fiscal warehousing) and the certificate referred to in paragraph 19(3)(d) of Schedule 9ZB to the Act (supplies of goods intended for fiscal warehousing) must contain the information indicated in the form specified in a notice published by the Commissioners

2

A certificate prepared under paragraph 19(1)(d) of Schedule 9ZB by an acquirer who is not a taxable person must be kept by that person for a period of six years commencing on the day the certificate is prepared; and the person must produce it to a proper officer when that officer requests the person to do so.

Northern Ireland: modification of Schedule 1A

145T In Schedule 1A74 (fiscal warehousing)—

a

in paragraph 1—

i

read there as being before sub-paragraph (f)—

ea

It must accurately identify as “transferred goods” all eligible goods which are transferred directly from the Northern Ireland fiscal warehousing regime to corresponding arrangements in a member State under regulation 145H(2)(bb), the date and time when the transfer starts, and the address of the place in the member State to which the goods in question are transferred.

ii

in sub-paragraph (f), read “Great Britain” in both places it occurs as “Northern Ireland and the member States;”;

b

in paragraph 3—

i

read there as being before sub-paragraph (d)—

ca

It must include the document relating to the completion of a transfer to corresponding arrangements in a member State referred to in regulation 145H(4)(bb) and it must relate that document to the relevant transfer.

ii

in sub-paragraph (d), read “Great Britain” as “Northern Ireland and the member States” ;

c

read paragraph 4(b) as—

b

It shall be adjusted to show a removal (and not a transfer) where the document referred to in regulations 145H(4)(bb) or 145H(4)(c) concerning goods which have been transferred to corresponding arrangements in a member State or which have been exported to a place outside Northern Ireland and the member States, is not received in time.

Modification of the Value Added Tax (Fiscal Warehousing) (Treatment of Transactions) Order 1996

145U(1) The Value Added Tax (Fiscal Warehousing) (Treatment of Transactions) Order 199675 applies with the modifications set out in paragraph (2) to goods subject to, or to be placed in, a Northern Ireland fiscal warehousing regime as it applies to goods subject to, or to be placed in, a fiscal warehousing regime.

2

The modifications are—

a

in article 2, read “eligible goods” and “material time” as having the meanings given by paragraph 25(1) of Schedule 9ZB to the Act (supplementary provision);

b

in article 3(2)(a) and (b), read “fiscal warehousing regime” as “Northern Ireland fiscal warehousing regime”.

za

VAT which the Commissioners would be obliged to repay if it was the subject of a claim made in accordance with Part 20 or Part 20A85;

Part 4ANorthern Ireland Chain Transactions

19

Article 20 applies where the same goods—

a

are supplied successively through a chain, and

b

are dispatched or transported either—

i

from a member State to Northern Ireland directly from the first supplier in the chain to the last customer in the chain, or

ii

from Northern Ireland to a member State directly from the first supplier in the chain to the last customer in the chain.

20

Where this article applies—

a

the NI-EU supply is to be treated as the supply that involves the removal of the goods from or to Northern Ireland; and

b

all supplies made after the NI-EU supply are to be treated as supplied—

i

outside the United Kingdom in the case of goods removed or to be removed from Northern Ireland to a customer in a member State;

ii

within the United Kingdom in the case of goods removed or to be removed from a member State to a customer in Northern Ireland.

21

The “NI-EU supply” is—

a

the supply in the chain that is made to the intermediary operator (“I”), or

b

where I has provided its supplier with the relevant VAT identification number issued to I, the supply in the chain that is made by I.

22

The “relevant VAT identification number” means—

a

where the goods are dispatched or transported from a member State, the VAT identification number issued to I by that member State;

b

where the goods are dispatched or transported from Northern Ireland, the VAT identification number issued to I by the United Kingdom along with an NI VAT identifier.

23

“Intermediary operator” means a supplier within the chain other than the first supplier in the chain who dispatches or transports the goods either itself or through a third party acting on its behalf.

a

gas supplied through a natural gas system situated in Great Britain or any network connected to a natural gas system in Great Britain;

aa

gas supplied through a natural gas system situated within Northern Ireland or the territory of a member State or any network connected to such a system; and