The Value Added Tax (Northern Ireland) (EU Exit) Regulations 2020

Part 2 U.K. Liability for VAT on removals: exceptions

Removals of gold: customer to account U.K.

3.—(1) Paragraph (2) applies where—

(a) a taxable person M1 makes a taxable supply of gold within the meaning of section 55(5) M2 of VATA (customers to account for tax on supplies of gold etc) to a person (P) who—

(i) is a taxable person at the time the supply is made; and

(ii) is supplied in connection with the carrying on by P of a business; and

(b) the supply involves the removal of the gold from Great Britain to Northern Ireland; or vice versa.

(2) Where this paragraph applies, P (and only P) is treated as having imported the gold for the purpose of paragraph 4 of Schedule 9ZB M3 to VATA (liability for VAT on movements between Great Britain and Northern Ireland) instead of the supplier M4 .

(3) This regulation is subject to regulation 6 (special customs procedures).

Commencement Information

I1 Reg. 3 not in force at made date, see reg. 1

I2 Reg. 3 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

Marginal Citations

M1 Defined by section 3 VATA.

M2 Section 55 was relevantly amended by sections 29 and 32 of the Finance Act 1996 (c. 8).

M3 Schedule 9ZB was inserted into VATA by paragraph 2 of Schedule 2 to the Taxation (Post-transition Period) Act 2020 (c. 26) (“TPTPA”) and amended by paragraph 27 of Schedule 3 to the TPTPA.

M4 See paragraph 4(3) of Schedule 9ZB.

Removals of investment gold: person to account is the person who would have accounted for VAT on the supply U.K.

4.—(1) Paragraph (2) applies where—

(a) a taxable person makes a supply of gold of a description which but for Note 4(b) to Group 15 of Schedule 9 M5 to VATA (investment gold) would have fallen within that Group; and

(b) the supply involves the removal of the gold from Great Britain to Northern Ireland, or vice versa.

(2) Where this paragraph applies, the person who is treated as having imported the gold for the purpose of paragraph 4 of Schedule 9ZB to VATA is the person (and only that person) who would be required to account for VAT on the supply of the gold if the supply were a taxable but not a zero-rated supply.

(3) This regulation is subject to regulation 6 (special customs procedures).

Commencement Information

I3 Reg. 4 not in force at made date, see reg. 1

I4 Reg. 4 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

Marginal Citations

M5 Group 15 was inserted into VATA by S.I. 1999/3116. Articles 5-7 of S.I. 1973/173 prescribe who is obliged to account for VAT on such a supply.

Section 55A supplies: customer to account U.K.

5.—(1) Paragraph (2) applies where—

(a) a taxable person receives a taxable supply of goods which are of a description specified in an order made under section 55A(9) M6 of VATA (customers to account for tax on supplies of goods or services of a kind used in missing trader fraud) and which are not excepted supplies for the purposes of that section; and

(b) the supply involves the removal of the goods from Great Britain to Northern Ireland, or vice versa.

(2) Where this paragraph applies, the taxable person who receives the supply (and only that person) is treated as having imported the goods for the purpose of paragraph 4 of Schedule 9ZB to VATA instead of the supplier.

(3) This regulation is subject to regulation 6 (special customs procedures).

Commencement Information

I5 Reg. 5 not in force at made date, see reg. 1

I6 Reg. 5 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

Marginal Citations

M6 Section 55A was inserted by section 19 of the Finance Act 2006 (c.25) and amended by section 50 of the Finance Act 2010 (c. 13), section 203 of, and paragraph 6 of Schedule 28 to, the Finance Act 2012 (c. 14), section 43 of, and paragraph 55 of Schedule 8 to, TCTA and section 51 of the Finance Act 2019 (c. 1). The amendment made by TCTA is not yet in force.

Removals where goods declared to special customs procedure U.K.

6.—(1) Paragraph (2) applies where goods are—

(a) removed from Great Britain to Northern Ireland or vice versa; and

(b) declared to a special customs procedure on their entry into that other territory.

(2) Where this paragraph applies, the person who is treated as having imported the goods for the purpose of paragraph 4 of Schedule 9ZB to VATA is the person who causes the goods to be placed into free circulation, and not the person described in paragraph 4(3) or (4) of that Schedule, or any person described in this Part.

(3) A person (P) who (but for this regulation) would be treated as having imported the goods for the purpose of paragraph 4 of Schedule 9ZB to VATA is so treated if, on or before the date on which P would have to pay the VAT charged on the removal of those goods, P does not hold evidence of a description specified in a public notice made by the Commissioners of the goods having been placed into a special customs procedure.

(4) In this regulation—

(a) “special customs procedure” means—

(i) a procedure listed in Article 210 of Regulation (EU) No 952/2013 of the European Parliament and of the Council of 9 October 2013 laying down the Union Customs Code M7 , as it has effect in Northern Ireland as a result of section 7A of the European Union (Withdrawal) Act 2018 M8 ; or

(ii) a procedure listed in section 3(4) of the Taxation (Cross-border Trade) Act 2018;

(b) the reference to causing goods to be placed into free circulation is a reference to placing goods on the market, or putting them to private use or consumption, in Northern Ireland or Great Britain, as the case may be.

Commencement Information

I7 Reg. 6 not in force at made date, see reg. 1

I8 Reg. 6 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

Marginal Citations

M7 OJ L 269 10.10.2013, p 1.

M8 2018; c. 16. Section 7A was inserted by section 5 of the European Union (Withdrawal Agreement) Act 2020 (c. 1).

Movement of own goods and on behalf of third party: remover to account U.K.

7.—(1) Paragraph (2) applies where a taxable person (T) makes a relevant removal of goods from Great Britain to Northern Ireland in the course of T's business but otherwise than in the course of a taxable supply and as a result of which ownership in the goods does not pass.

(2) Where this paragraph applies, T (and only T) is treated as having imported the goods for the purpose of paragraph 4 of Schedule 9ZB to VATA.

(3) In this regulation a “relevant removal of goods” is a removal by T or under T's direction of goods of which T has possession and in relation to which T exercises control, whether or not T is the owner of the goods, but does not include a removal which consists only of the physical delivery of the goods by a person to whom the goods are consigned for that purpose.

(4) This regulation is subject to regulation 6 (special customs procedures).

Commencement Information

I9 Reg. 7 not in force at made date, see reg. 1

I10 Reg. 7 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

Removals from Northern Ireland to Great Britain – zero-rating of supplies for export U.K.

8.—(1) Paragraph (2) applies where—

(a) a taxable person (P) treats a supply of goods as zero-rated as a result of the Commissioners being satisfied that the conditions in regulation 133B of the Value Added Tax Regulations 1995 M9 (supplies to persons outside the relevant states) are met; and

(b) paragraph (2) of that regulation is satisfied by the goods being removed from Northern Ireland to Great Britain.

(2) Where this paragraph applies, P (and only P) is treated as having imported the goods for the purpose of paragraph 4 of Schedule 9ZB to VATA.

Commencement Information

I11 Reg. 8 not in force at made date, see reg. 1

I12 Reg. 8 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

Marginal Citations

M9 S.I. 1995/2518; relevantly amended by S.I. 2020/1545.

9.—(1) Paragraph (2) applies where—

(a) a taxable person (P) treats a supply of goods as zero-rated as a result of the Commissioners being satisfied that the conditions in regulation 133C of the Value Added Tax Regulations 1995 (VAT retail export scheme) are met; and

(b) sub-paragraph (1)(c) of that regulation is satisfied by the goods being removed from Northern Ireland to Great Britain.

(2) Where this paragraph applies, P (and only P) is treated as having imported the goods for the purpose of paragraph 4 of Schedule 9ZB to VATA.

Commencement Information

I13 Reg. 9 not in force at made date, see reg. 1

I14 Reg. 9 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

10.—(1) Paragraph (2) applies where—

(a) a taxable person (P) treats a supply of goods as zero-rated as a result of the Commissioners being satisfied that the conditions in regulation 133D of the Value Added Tax Regulations 1995 (supplies to persons departing the relevant states) are met; and

(b) the requirement in paragraph (1) of that regulation that the goods be for export is satisfied by the goods being removed from Northern Ireland to Great Britain.

(2) Where this paragraph applies, P (and only P) is treated as having imported the goods for the purpose of paragraph 4 of Schedule 9ZB to VATA.

Commencement Information

I15 Reg. 10 not in force at made date, see reg. 1

I16 Reg. 10 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

11.—(1) Paragraph (2) applies where—

(a) a taxable person (P) treats a supply of goods as zero-rated as a result of the Commissioners being satisfied that the conditions in regulation 133E of the Value Added Tax Regulations 1995 (supplies to persons departing the relevant states), are met; and

(b) the requirement in paragraph (1) of that regulation that the goods be for export was satisfied by the goods being removed from Northern Ireland to Great Britain.

(2) Where this regulation applies, P (and only P) is treated as having imported the goods for the purpose of paragraph 4 of Schedule 9ZB to VATA.

Commencement Information

I17 Reg. 11 not in force at made date, see reg. 1

I18 Reg. 11 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

Gifts from Great Britain to Northern Ireland: sender to account U.K.

12.—(1) Paragraph (3) applies where goods are removed from Great Britain to Northern Ireland in a consignment of a non-commercial character.

(2) In this regulation, a consignment is of a non-commercial character only if the following requirements are met—

(a) it is sent by one private individual to another;

(b) it is not sent in return for any consideration in money or money's worth; and

(c) it is intended solely for the personal use of the consignee or that of the consignee's family and not for any commercial purpose.

(3) Where this paragraph applies, the sender of the goods (and only the sender) is treated as having imported the goods for the purpose of paragraph 4 of Schedule 9ZB to VATA.

Commencement Information

I19 Reg. 12 not in force at made date, see reg. 1

I20 Reg. 12 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

Other removals by non-taxable persons U.K.

13.—(1) Paragraph (2) applies where goods are removed from Great Britain to Northern Ireland, otherwise than for the purposes of, or in the course or furtherance of, any business carried on by a registered person (but otherwise than as described in regulation 12 (gifts)).

(2) Where this paragraph applies, the person removing the goods (and only that person) is treated as having imported the goods for the purposes of paragraph 4 of Schedule 9ZB to VATA.

Commencement Information

I21 Reg. 13 not in force at made date, see reg. 1

I22 Reg. 13 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.

Removals from the Isle of Man to Northern Ireland U.K.

14.  This Part applies to goods removed to Northern Ireland from the Isle of Man as it applies to goods removed from Great Britain to Northern Ireland and, in applying this Part for that purpose, references to provisions in VATA, other than references to Schedule 9ZB, are to be read as the corresponding provisions of an Act of Tynwald.

Commencement Information

I23 Reg. 14 not in force at made date, see reg. 1

I24 Reg. 14 in force at 31.12.2020 by S.I. 2020/1641, reg. 2, Sch.