Part 2Amendment of secondary legislation relating to value added tax

Amendment of the Value Added Tax (Special Provisions) Order 1995I130

1

The Value Added Tax (Special Provisions) Order 1995 M1 is amended as follows.

2

In articles 7, 8 and 12, for “another member State” in each place it occurs substitute “ a member State ”.

3

In article 7—

a

after “acquisition of goods” insert “ in Northern Ireland ”;

b

for “the United Kingdom” substitute “ Northern Ireland ”.

4

In article 8 for “the United Kingdom” substitute “ Northern Ireland ”.

5

In article 12 (relief for certain goods)—

a

at the start of paragraph (3)(a) insert “ subject to paragraph (aa), ”;

b

at the end of paragraph (3)(a)(ii) insert “ where the goods are removed to Northern Ireland ”;

c

after paragraph (3)(a) insert—

aa

but the circumstances in sub-paragraph (a) do not apply if the person took possession of the goods in Great Britain or the Isle of Man and the goods are removed to Northern Ireland.

d

in paragraph (3)(b), for the words from “the customs procedure for temporary importation” to the end substitute—

i

a temporary admission procedure under Part 1 of the Taxation (Cross-border Trade) Act 2018, 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 2018 M2;

ii

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 2020 M3.

e

in paragraph (5)(iv), for “the customs procedure for temporary importation with total relief from import duties mentioned in article 12(3)(b)” substitute “ a temporary admission procedure mentioned in article 12(3)(b)(i) or the customs procedure for temporary importation mentioned in article 12(3)(b)(ii) as the case may be ”.

6

After article 12 insert—

Relief for certain goods removed from Northern Ireland to Great Britain12A

Article 12 has effect as if in paragraph (1)—

a

after “in any of the circumstances set out in paragraph (3) below,” there were inserted “ and the supply involves the removal of the goods from Northern Ireland to Great Britain, ”; and

b

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