Legalize / United Kingdom / Public General Act

Value Added Tax Act 1994

Type Public General Act

Publication 1994-07-05

Last updated 2024-11-04

State In force

Department Statute Law Database

Source legislation.gov.uk

articles Not indexed

Reform history JSON API

The supply of services necessarily performed by a control centre in receiving and responding to calls from an alarm system specified in item 19.

Notes:

Group 13— Imports, exports etc.

Item No.

1

The supply of imported goods before a Customs declaration has been made under Part 1 of TCTA 2018 in respect of those goods where the supplier and the purchaser of the goods have agreed that the purchaser will make the Customs declaration.

2

The supply to or by an overseas authority, overseas body or overseas trader, charged with the management of any defence project which is the subject of an international collaboration arrangement or under direct contract with any government or government-sponsored international body participating in a defence project under such an arrangement, of goods or services in the course of giving effect to that arrangement.

3

The supply to an overseas authority, overseas body or overseas trader of jigs, patterns, templates, dies, punches and similar machine tools used in the United Kingdom solely for the manufacture of goods for export ....

Notes:

Group 14— Tax-free shops

Notes:

Group 15— Charities etc.

1

The sale, or letting on hire, by a charity of any goods donated to it for—

(a) sale,

(b) letting,

(d) sale or export,

(e) letting or export, or

(f) sale, letting or export.

1A

The sale, or letting on hire, by a taxable person of any goods donated to him for—

(a) sale,

(b) letting,

(d) sale or export,

(e) letting or export, or

(f) sale, letting or export,

if he is a profits-to-charity person in respect of the goods.

2

The donation of any goods for any one or more of the following purposes—

(a) sale by a charity or a taxable person who is a profits-to-charity person in respect of the goods;

(b) export by a charity or such a taxable person;

3

The export of any goods by a charity ....

4

The supply of any relevant goods for donation to a nominated eligible body where the goods are purchased with funds provided by a charity or from voluntary contributions.

5

The supply of any relevant goods to an eligible body which pays for them with funds provided by a charity or from voluntary contributions or to an eligible body which is a charitable institution providing care or medical or surgical treatment for disabled persons.

6

Repair and maintenance of relevant goods owned by an eligible body.

7

The supply of goods in connection with the supply described in item 6.

8

The supply to a charity of a right to promulgate an advertisement by means of a medium of communication with the public.

8A

A supply to a charity that consists in the promulgation of an advertisement by means of such a medium.

8B

The supply to a charity of services of design or production of an advertisement that is, or was intended to be, promulgated by means of such a medium.

8C

The supply to a charity of goods closely related to a supply within item 8B.

9

The supply to a charity, providing care or medical or surgical treatment for human beings or animals, or engaging in medical or veterinary research, of a medicinal product or veterinary medicinal product where the supply is solely for use by the charity in such care, treatment or research.

10

The supply to a charity of a substance directly used for synthesis or testing in the course of medical or veterinary research.

Notes:

Group 16— Clothing and footwear

Item No.

1

Articles designed as clothing or footwear for young children and not suitable for older persons.

2

The supply to a person for use otherwise than by employees of his of protective boots and helmets for industrial use.

3

Protective helmets for wear by a person driving or riding a motor bicycle or riding a pedal cycle.

Notes:

GROUP 17—EMISSIONS ALLOWANCES

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

GROUP 18 — EUROPEAN RESEARCH INFRASTRUCTURE CONSORTIA

Item No.

Group 19 - women's sanitary products

Item No.

1

The supply of women's sanitary products.

Group 20—Personal Protective Equipment (Coronavirus)

Item No.

1

The supply of equipment to provide protection from infection where the supply is made in the period beginning with 1st May 2020 and ending with 31st October 2020.

GROUP 21 — ONLINE MARKETPLACES (DEEMED SUPPLY)

Item No.

1

A supply by a person established outside the United Kingdom that is deemed to be a supply to an operator of an online marketplace by virtue of section 5A, provided that the supply does not involve the goods being imported for the purposes of that section.

GROUP 22 — FREE ZONES

Item No

1

The supply by one free zone business (“A”) to another free zone business (“B”) of—

(a) free zone procedure goods, if—

(i) the supply of the goods would (apart from this provision) be taxable but not zero-rated, and

(ii) A was authorised to make the supply;

(b) a service wholly performed in the free zone on or in relation to free zone procedure goods by a person authorised to do so, if—

(i) the supply of the service would (apart from this provision) be taxable but not zero-rated, and

(ii) before a VAT invoice is issued in respect of the supply, B notifies A in writing that this provision applies to the supply.

GROUP 23 — INSTALLATION OF ENERGY-SAVING MATERIALS IN ENGLAND AND WALES AND SCOTLAND FROM 1 APRIL 2022 TO 31 MARCH 2027 , and in Northern Ireland from 1st May 2023 to 31st March 2027

Item No

1

Relevant supplies of services of installing energy-saving materials in —

(a) residential accommodation, or

(b) a building intended for use solely for a relevant charitable purpose.....

2

Relevant supplies of energy-saving materials by a person who installs those materials in —

(a) residential accommodation, or

(b) a building intended for use solely for a relevant charitable purpose.....

NOTES:

Meaning of “energy-saving materials”

1

(1) For the purposes of this Group “energy saving materials” means any of the following—

(a) insulation for walls, floors, ceilings, roofs or lofts or for water tanks, pipes or other plumbing fittings;

(b) draught stripping for windows and doors;

(d) hot water system controls;

(e) solar panels;

(f) wind turbines;

(g) water turbines;

(h) ground source heat pumps;

(i) air source heat pumps;

(ia) water source heat pumps;

(j) micro combined heat and power units;

(k) boilers designed to be fuelled solely by wood, straw or similar vegetal matter.

(l) electrical storage batteries within sub-paragraph (2);

(m) smart diverters.

(2) An electrical storage battery is within this sub-paragraph if it is intended for use solely for storing energy converted from electricity that was—

(a) supplied to the residential accommodation or building in question, or

(b) generated by a microgeneration system.

(3) In sub-paragraph (2), “supplied” is to be construed in accordance with Part 1 of the Electricity Act 1989 (see section 64(1) of that Act).

(4) In sub-paragraph (1)(m), “smart diverter” means a device capable of automatically diverting electricity generated by a microgeneration system to one or more appliances, in particular circumstances.

(5) In sub-paragraphs (2) and (4), “microgeneration system” means equipment—

(a) that generates electricity, and

(b) that is itself an energy-saving material for the purposes of this Group.

Meaning of “residential accommodation”

2

(1) For the purposes of this Group “residential accommodation” means —

(a) a building, or part of a building, that consists of a dwelling or a number of dwellings;

(b) a building, or part of a building, used for a relevant residential purpose;

(d) a houseboat.

(2) For the purposes of this Group “use for a relevant residential purpose” has the same meaning as it has for the purposes of Group 1 in Schedule 7A (see paragraph 7(1) of the Notes to that Group).

(3) In sub-paragraph (1)(d) “houseboat” has the meaning given by paragraph 7(3) of the Notes to Group 1 in Schedule 7A.

Meaning of “relevant supplies”

3

For the purposes of this Group “relevant supplies” means supplies made —

(a) where the residential accommodation is in England, Wales or Scotland, on or after 1st April 2022 and before 1st April 2027; and

(b) where the residential accommodation is in Northern Ireland, on or after 1st May 2023 and before 1st April 2027.

Installation of heat pumps

4

For the purposes of item 1, “installing energy-saving materials” includes carrying out groundworks, or dredging a body of water, in order to install pipework or other equipment necessary for the operation of a ground source heat pump or a water source heat pump.

Meaning of “use for a relevant charitable purpose”

5

For the purposes of this Group a building is used “for a relevant charitable purpose” if it is used by a charity—

(a) otherwise than in the course or furtherance of a business, or

(b) as a village hall or similarly in providing social or recreational facilities for a local community.

SCHEDULE 9

Part I — Index to exempt supplies of goods and services

Part II — The Groups

Group 1— Land

Item No.

1

The grant of any interest in or right over land or of any licence to occupy land, or, in relation to land in Scotland, any personal right to call for or be granted any such interest or right, other than—

(a) the grant of the fee simple in—

(i) a building which has not been completed and which is neither designed as a dwelling or number of dwellings nor intended for use solely for a relevant residential purpose or a relevant charitable purpose;

(ii) a new building which is neither designed as a dwelling or number of dwellings nor intended for use solely for a relevant residential purpose or a relevant charitable purpose after the grant;

(iii) a civil engineering work which has not been completed;

(iv) a new civil engineering work;

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(c) the grant of any interest, right or licence consisting of a right to take game or fish unless at the time of the grant the grantor grants to the grantee the fee simple of the land over which the right to take game or fish is exercisable;

(d) the provision in an hotel, inn, boarding house or similar establishment of sleeping accommodation or of accommodation in rooms which are provided in conjunction with sleeping accommodation or for the purpose of a supply of catering;

(e) the grant of any interest in, right over or licence to occupy holiday accommodation;

(f) the provision of seasonal pitches for caravans, and the grant of facilities at caravan parks to persons for whom such pitches are provided;

(g) the provision of pitches for tents or of camping facilities;

(h) the grant of facilities for parking a vehicle;

(j) the grant of any right to fell and remove standing timber;

(k) the grant of facilities for housing, or storage of, an aircraft or for mooring, or storage of, a ship, boat or other vessel;

(ka) the grant of facilities for the self storage of goods;

(l) the grant of any right to occupy a box, seat or other accommodation at a sports ground, theatre, concert hall or other place of entertainment;

(m) the grant of facilities for playing any sport or participating in any physical recreation; ...

(ma) the grant of facilities to a person who uses the facilities wholly or mainly to supply hairdressing services; and

(n) the grant of any right, including—

(i) an equitable right,

(ii) a right under an option or right of pre-emption, or

(iii) in relation to land in Scotland, a personal right,

to call for or be granted an interest or right which would fall within any of paragraphs (a) or (c) to (ma) above.

Notes:

Group 2 — Insurance

1

Insurance transactions and reinsurance transactions.

4

The provision by an insurance broker or insurance agent of any of the services of an insurance intermediary in a case in which those services—

(a) are related (whether or not a contract of insurance or reinsurance is finally concluded) to an insurance transaction or a reinsurance transaction; and

(b) are provided by that broker or agent in the course of his acting in an intermediary capacity.

Notes:

Group 3— Postal services

Item No

1

The supply of public postal services by a universal service provider.

2

The supply of goods by a universal service provider which is incidental to the supply of public postal services by that provider.

Notes:

Group 4— Betting, gaming , dutiable machine games and lotteries

Item No.

1

The provision of any facilities for the placing of bets or for the playing of any games of chance for a prize.

1A

The provision of any facilities for the playing of dutiable machine games (as defined in Part 1 of Schedule 24 to the Finance Act 2012) but only to the extent that—

(a) the facilities are used to play such games, and

(b) the takings and payouts in respect of those games are taken into account in determining the charge to machine games duty.

2

The granting of a right to take part in a lottery.

Notes:

Group 5— Finance

Item No.

1

The issue, transfer or receipt of, or any dealing with, money, any security for money or any note or order for the payment of money.

2

The making of any advance or the granting of any credit.

2A

The management of credit by the person granting it.

3

The provision of the facility of instalment credit finance in a hire-purchase, conditional sale or credit sale agreement for which facility a separate charge is made and disclosed to the recipient of the supply of goods.

4

The provision of administrative arrangements and documentation and the transfer of title to the goods in connection with the supply described in item 3 if the total consideration therefor is specified in the agreement and does not exceed £10.

5

The provision of intermediary services in relation to any transaction comprised in item 1, 2, 3, 4 or 6 (whether or not any such transaction is finally concluded) by a person acting in an intermediary capacity.

5A

The underwriting of an issue within item 1 or any transaction within item 6.

6

The issue, transfer or receipt of, or any dealing with, any security or secondary security being—

(a) shares, stocks, bonds, notes (other than promissory notes), debentures, debenture stock or shares in an oil royalty; or

(b) any document relating to money, in any currency, which has been deposited with the issuer or some other person, being a document which recognises an obligation to pay a stated amount to bearer or to order, with or without interest, and being a document by the delivery of which, with or without endorsement, the right to receive that stated amount, with or without interest, is transferable; or

(c) any bill, note or other obligation of the Treasury or of a Government in any part of the world, being a document by the delivery of which, with or without endorsement, title is transferable, and not being an obligation which is or has been legal tender in any part of the world; or

(d) any letter of allotment or rights, any warrant conferring an option to acquire a security included in this item, any renounceable or scrip certificates, rights coupons, coupons representing dividends or interest on such a security, bond mandates or other documents conferring or containing evidence of title to or rights in respect of such a security; or

(e) units or other documents conferring rights under any trust established for the purpose, or having the effect of providing, for persons having funds available for investment, facilities for the participation by them as beneficiaries under the trust, in any profits or income arising from the acquisition, holding, management or disposal of any property whatsoever.

7

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

8

The operation of any current, deposit or savings account.

9

The management of—

(a) an authorised open-ended investment company; or

(aa) an authorised contractual scheme; or

(b) an authorised unit trust scheme; or

(d) a sub-fund of any other Gibraltar collective investment scheme; or

(e) an individually recognised overseas scheme that is not an umbrella scheme; or

(f) a sub-fund of any other individually recognised overseas scheme; or

(g) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(h) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(i) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(j) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(k) a qualifying pension fund.

10

The management of a closed-ended collective investment undertaking.

Notes:

Group 6— Education

Item No.

1

The provision by an eligible body of—

(a) education;

(b) ... or

2

The supply of private tuition, in a subject ordinarily taught in a school or university, by an individual teacher acting independently of an employer.

3

The provision of examination services—

(a) by or to an eligible body; or

(b) to a person receiving education or vocational training which is—

(i) exempt by virtue of items 1, 2 , 5 or 5A (or would be so exempt but for item 1 or 2 of Part 3); or

(ii) provided otherwise than in the course or furtherance of a business.

4

The supply of any goods or services (other than examination services) which are closely related to a supply of a description falling within item 1 (or would be so exempt but for item 1 or 2 of Part 3) (the principal supply) by or to the eligible body making the principal supply provided—

(a) the goods or services are for the direct use of the pupil, student or trainee (as the case may be) receiving the principal supply; and

(b) where the supply is to the eligible body making the principal supply, it is made by another eligible body.

5

The provision of vocational training, and the supply of any goods or services essential thereto by the person providing the vocational training, to the extent that the consideration payable is ultimately a charge to funds provided pursuant to arrangements made under section 2 of the Employment and Training Act 1973, section 1A of the Employment and Training Act (Northern Ireland) 1950 or section 2 of the Enterprise and New Towns (Scotland) Act 1990.

5A

The provision of education or vocational training and the supply, by the person providing that education or training, of any goods or services essential to that provision, to the extent that the consideration payable is ultimately a charge to funds provided by

(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

5B

The provision of education or vocational training and the supply, by the person providing that education or training, of any goods or services essential to that provision, to persons who are—

(a) aged under 19,

(b) aged 19 or over, in respect of education or training begun by them when they were aged under 19,

(ba) aged 19 or over and for whom an EHC plan is maintained,

(d) aged 25 or over, in respect of education or training begun by them when they were within paragraph (ba) or (c),

to the extent that the consideration payable is ultimately a charge to funds provided by the Secretary of State.

5C

The provision of education or vocational training and the supply, by the person providing that education or training, of any goods or services essential to that provision, to persons who are aged 19 or over, to the extent that the consideration payable is ultimately a charge to funds provided by the Secretary of State in exercise of functions under Part 4 of the Apprenticeships, Skills, Children and Learning Act 2009.

6

The provision of facilities by—

(a) a youth club or an association of youth clubs to its members; or

(b) an association of youth clubs to members of a youth club which is a member of that association.

Notes:

Group 7— Health and welfare

Item No.

1

The supply of services consisting in the provision of medical care by a person registered or enrolled in any of the following—

(a) the register of medical practitioners ...;

(b) either of the registers of ophthalmic opticians or the register of dispensing opticians kept under the Opticians Act 1989 or either of the lists kept under section 9 of that Act of bodies corporate carrying on business as ophthalmic opticians or as dispensing opticians;

(ca) the register of osteopaths maintained in accordance with the provisions of the Osteopaths Act 1993 ;

(cb) the register of chiropractors maintained in accordance with the provisions of the Chiropractors Act 1994 ;

(d) the register of qualified nurses, midwives and nursing associates maintained under article 5 of the Nursing and Midwifery Order 2001;

(e) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2

The supply of any services consisting in the provision of medical care, or the supply of dental prostheses, by—

(a) a person registered in the dentists’ register;

(b) a person registered in the dental care professionals register established under section 36B of the Dentists Act 1984; ...

2A

The supply of any services or dental prostheses by a dental technician.

3

The supply of any services consisting in the provision of medical care by a person registered in the register maintained under article 19 of the Pharmacy Order 2010 or in the register of pharmaceutical chemists kept under the Pharmacy (Northern Ireland) Order 1976.

4

The provision of care or medical or surgical treatment and, in connection with it, the supply of any goods, in any hospital or state-regulated institution.

5

The provision of a deputy for a person registered in the register of medical practitioners ....

6

Human blood.

7

Products for therapeutic purposes, derived from human blood.

8

Human (including foetal) organs or tissue for diagnostic or therapeutic purposes or medical research.

9

The supply by—

(a) a charity,

(b) a state-regulated private welfare institution or agency, or

of welfare services and of goods supplied in connection with those welfare services.

10

The supply, otherwise than for profit, of goods and services incidental to the provision of spiritual welfare by a religious community to a resident member of that community in return for a subscription or other consideration paid as a condition of membership.

11

The supply of transport services for sick or injured persons in vehicles specially designed for that purpose.

Notes:

Group 8— Burial and cremation

Item No.

1

The disposal of the remains of the dead.

2

The making of arrangements for or in connection with the disposal of the remains of the dead.

Group 9— SUBSCRIPTIONS TO TRADE UNIONS, PROFESSIONAL AND OTHER PUBLIC INTEREST BODIES

Item No.

1

The supply to its members of such services and, in connection with those services, of such goods as are both referable only to its aims and available without payment other than a membership subscription by any of the following non-profit-making organisations—

(a) a trade union or other organisation of persons having as its main object the negotiation on behalf of its members of the terms and conditions of their employment;

(b) a professional association, membership of which is wholly or mainly restricted to individuals who have or are seeking a qualification appropriate to the practice of the profession concerned;

(c) an association, the primary purpose of which is the advancement of a particular branch of knowledge, or the fostering of professional expertise, connected with the past or present professions or employments of its members;

(d) an association, the primary purpose of which is to make representations to the Government on legislation and other public matters which affect the business or professional interests of its members.

(e) a body which has objects which are in the public domain and are of a political, religious, patriotic, philosophical, philanthropic or civic nature.

Note:

Group 10— Sport, sports competitions and physical education

Item No.

1

The grant of a right to enter a competition in sport or physical recreation where the consideration for the grant consists in money which is to be allocated wholly towards the provision of a prize or prizes awarded in that competition.

2

The grant, by an eligible body established for the purposes of sport or physical recreation, of a right to enter a competition in such an activity.

3

The supply by an eligible body to an individual ... of services closely linked with and essential to sport or physical education in which the individual is taking part.

Notes:

Group 11— Works of art etc

Item No.

1

The disposal of an object with respect to which estate duty is not chargeable by virtue of section 30(3) of the Finance Act 1953, section 34(1) of the Finance Act 1956 or the proviso to section 40(2) of the Finance Act 1930.

2

The disposal of an object with respect to which inheritance tax is not chargeable by virtue of paragraph 1(3)(a) or (4), paragraph 3(4)(a), or the words following paragraph 3(4), of Schedule 5 to the Inheritance Tax Act 1984.

3

The disposal of property with respect to which inheritance tax is not chargeable by virtue of section 32(4) or 32A(5) or (7) of the Inheritance Tax Act 1984.

4

The disposal of an asset in a case in which any gain accruing on that disposal is not a chargeable gain by virtue of section 258(2) of the Taxation of Chargeable Gains Act 1992.

GROUP 12—FUND-RAISING EVENTS BY CHARITIES AND OTHER QUALIFYING BODIES

Item No.

1

The supply of goods and services by a charity in connection with an event—

(a) that is organised for charitable purposes by a charity or jointly by more than one charity,

(b) whose primary purpose is the raising of money, and

2

The supply of goods and services by a qualifying body in connection with an event—

(a) that is organised exclusively for the body’s own benefit,

(b) whose primary purpose is the raising of money, and

3

The supply of goods and services by a charity or a qualifying body in connection with an event—

(a) that is organised jointly by a charity, or two or more charities, and the qualifying body,

(b) that is so organised exclusively for charitable purposes or exclusively for the body’s own benefit or exclusively for a combination of those purposes and that benefit,

(d) that is promoted as being primarily for the raising of money.

Notes:

For this purpose “electronic communications” includes any communications by means of an electronic communications network.

Notes:

GROUP 13— CULTURAL SERVICES ETC

Item No.

1

The supply by a public body of a right of admission to—

(a) a museum, gallery, art exhibition or zoo; or

(b) a theatrical, musical or choreographic performance of a cultural nature.

2

The supply by an eligible body of a right of admission to—

(a) a museum, gallery, art exhibition or zoo; or

(b) a theatrical, musical or choreographic performance of a cultural nature.

Notes:

(1) For the purposes of this Group “public body” means—

(a) a local authority;

(b) a government department within the meaning of section 41(6); or

(c) a non-departmental public body which is listed in the 1995 edition of the publication prepared by the Office of Public Service and known as “Public Bodies”.

(2) For the purposes of item 2 “eligible body” means any body (other than a public body) which—

(a) is precluded from distributing, and does not distribute, any profit it makes;

(b) applies any profits made from supplies of a description falling within item 2 to the continuance or improvement of the facilities made available by means of the supplies; and

(c) is managed and administered on a voluntary basis by persons who have no direct or indirect financial interest in its activities.

(3) Item 1 does not include any supply the exemption of which would be likely to create distortions of competition such as to place a commercial enterprise carried on by a taxable person at a disadvantage.

(4) Item 1(b) includes the supply of a right of admission to a performance only if the performance is provided exclusively by one or more public bodies, one or more eligible bodies or any combination of public bodies and eligible bodies.

GROUP 14—SUPPLIES OF GOODS WHERE INPUT TAX CANNOT BE RECOVERED

Item No.

1

A supply of goods in relation to which each of the following conditions is satisfied, that is to say—

(a) there is input tax of the person making the supply (“the relevant supplier”), or of any predecessor of his, that has arisen or will arise on the supply to, ... or importation by, the relevant supplier or any such predecessor of goods used for the supply made by the relevant supplier;

(b) the only such input tax is non-deductible input tax; and

(c) the supply made by the relevant supplier is not a supply which would be exempt under Item 1 of Group 1 of Schedule 9 but for an option to tax any land under Part 1 of Schedule 10.

Notes:

GROUP 15—INVESTMENT GOLD

Item No.

1

The supply of investment gold.

2

The grant, assignment or surrender of any right, interest, or claim in, over or to investment gold if the right, interest or claim is or confers a right to the transfer of the possession of investment gold.

3

The supply, by a person acting as agent for a disclosed principal, of services consisting of—

(a) the effecting of a supply falling within item 1 or 2 that is made by or to his principal, or

(b) attempting to effect a supply falling within item 1 or 2 that is intended to be made by or to his principal but is not in fact made.

Notes:

Item No

1

The supply of services by an independent group of persons where each of the following conditions is satisfied—

(a) each of those persons is a person who is carrying on an activity (“the relevant activity”) which is exempt from VAT or is not carried on in the course or furtherance of carrying on a business,

(b) the supply of services is made for the purpose of rendering the members of the group the services directly necessary for the exercise of the relevant activity,

(d) the exemption of the supply is not likely to cause distortion of competition.

Part 3 — Exceptions

SCHEDULE 9ZA

PART 1 — Charge to VAT for acquisitions in Northern Ireland from member States

Charge to VAT

1

(1) VAT is charged, in accordance with this Schedule, on the acquisition in Northern Ireland of goods from a member State—

(a) by reference to the value of the acquisition as determined under Part 2 of this Schedule, and

(b) subject to paragraph 16, at the rate of VAT for the time being in force under section 2.

(2) VAT charged on the acquisition of goods in Northern Ireland from a member State is a liability of the person who acquires the goods and (subject to provisions about accounting and payment) becomes due at the time of acquisition.

(3) VAT charged on the acquisition of goods in Northern Ireland from a member State in accordance with this Schedule is referred to in this Schedule as “NI acquisition VAT”.

(4) References to VAT (without more) in this Act include NI acquisition VAT.

(5) The Commissioners may by regulations make provision about (including provision modifying) the application of provision that applies to value added tax made by or under any enactment (including provision made by or under this Act) to NI acquisition VAT or to goods acquired in Northern Ireland from a member State.

Scope of NI acquisition VAT

2

(1) NI acquisition VAT is charged on any acquisition from a member State of any goods where—

(a) the acquisition is a taxable acquisition,

(b) it takes place in Northern Ireland,

(d) the person who makes it is a taxable person or the goods acquired are subject to a duty of excise or consist in a new means of transport.

(2) In this Act, a “taxable acquisition” means an acquisition of goods from a member State that—

(a) is not an exempt acquisition (see paragraph 17(5)), and

(b) falls within sub-paragraph (3) or is an acquisition of goods consisting in a new means of transport.

(3) An acquisition of goods from a member State falls within this sub-paragraph if—

(a) the goods are acquired in the course or furtherance of—

(i) any business carried on by any person, or

(ii) any activities carried on otherwise than by way of business by any body corporate or by any club, association, organisation or other unincorporated body,

(b) it is the person who carries on that business or those activities who acquires the goods, and

(i) is taxable in a member State at the time of the transaction in pursuance of which the goods are acquired, and

(ii) in participating in that transaction, acts in the course or furtherance of a business carried on by the supplier.

Meaning of acquisition of goods from a member State

3

(1) References in this Act to the acquisition of goods from a member State are to an acquisition of goods in pursuance of a transaction that—

(a) is a supply of goods (including anything treated for the purposes of this Act as a supply of goods), and

(b) involves the removal of the goods from a member State (whether by or under the direction of the supplier, the person who acquires the goods or any other person),

and references in this Act, in relation to such an acquisition, to the supplier are to be construed accordingly.

(2) Where the person with the property in any goods does not change in consequence of anything which is treated for the purposes of this Act as a supply of goods, that supply is to be treated for the purposes of this Act as a transaction in pursuance of which there is an acquisition by the person making the supply.

(3) The Treasury may by regulations make provision about the circumstances in which an acquisition of goods is not to be treated as an acquisition of goods from a member State.

Time of acquisition

4

(1) For the purposes of this Act, the normal rule for determining the time that goods were acquired from a member State is that they are treated as being acquired on the earlier of—

(a) the 15th day of the month after the month in which the first removal of the goods occurs, and

(b) the day a relevant invoice is issued in respect of the transaction in pursuance of which the goods were acquired.

(2) But—

(a) different rules apply to acquisitions to which Part 4 of Schedule 9ZB applies (warehouses), and

(b) the Commissioners may by regulations provide for different rules to apply in any case described in those regulations.

(3) Regulations under sub-paragraph (2)(b) may include provision treating an acquisition as a series of acquisitions taking place at different times.

(4) In sub-paragraph (1) “relevant invoice” means an invoice of a description prescribed by regulations made by the Commissioners.

(5) For the purposes of this Act “first removal”, in relation to goods acquired, means the first removal of the goods in the course of the transaction in pursuance of which they are acquired.

Place of acquisition

5

(1) For the purposes of this Act, the normal rule for determining whether goods are acquired in Northern Ireland is that they are treated as being acquired in Northern Ireland if—

(a) they are acquired in pursuance of a transaction which involves their removal from a member State to Northern Ireland and which does not involve their removal from Northern Ireland, or

(b) they are acquired by a person who, for the purposes of their acquisition, makes use of a number assigned to the person for the purposes of VAT in the United Kingdom along with an NI VAT identifier (see paragraph 7).

(2) But—

(a) goods are not treated as being acquired in Northern Ireland by virtue of sub-paragraph (1)(b) where it is established in accordance with regulations made by the Commissioners that VAT—

(i) has been paid in a member State on the acquisition of those goods, and

(ii) fell to be paid by virtue of provisions of the law of that member State corresponding, in relation to that member State, to the provision made by sub-paragraph (1)(a), and

(b) different rules apply to acquisitions to which paragraph 16 or 17 of Schedule 9ZB applies.

(3) If an acquisition of goods is not treated, for the purposes of this Act, as taking place in Northern Ireland it is treated for those purposes as an acquisition taking place outside Northern Ireland.

(4) The Commissioners may by regulations make provision—

(a) about the circumstances in which a person is to be treated as having made use of a number assigned to the person for the purposes of VAT in the United Kingdom along with an NI VAT identifier for the purposes of the acquisition of any goods, and

(b) for the refund, in prescribed circumstances, of NI acquisition VAT paid on acquisitions of goods in relation to which the conditions in sub-paragraph (2)(a)(i) and (ii) are met.

Acquisitions from persons belonging in member States

6

(1) Sub-paragraph (2) applies where—

(a) a person (“the original supplier”) makes a supply of goods to a person who belongs in a member State (“the intermediate supplier”),

(b) that supply involves the removal of the goods from a member State and their removal to Northern Ireland but does not involve the removal of the goods from Northern Ireland,

(c) both that supply and the removal of the goods to Northern Ireland are for the purposes of the making of a supply by the intermediate supplier to another person (“the customer”) who is registered under this Act,

(d) neither of those supplies involves the removal of the goods from a member State in which the intermediate supplier is taxable at the time of the removal without also involving the previous removal of the goods to that member State, and

(e) there would be a taxable acquisition by the customer if the supply to the customer involved the removal of goods from a member State to Northern Ireland.

(2) Where this sub-paragraph applies—

(a) the supply by the original supplier to the intermediate supplier is ignored for the purposes of this Act, and

(b) the supply by the intermediate supplier to the customer is treated for the purposes of this Act, other than for the purposes of Part 8 of this Schedule, as if it did involve the removal of the goods from a member State to Northern Ireland.

(3) For the purposes of this Act, other than for the purposes of Part 8 of this Schedule, a supply of goods is treated as involving their removal from a member State to Northern Ireland, and is treated as not being a taxable supply if—

(a) the supply is made by a person belonging in a member State to a person who is registered under this Act,

(b) the supply involves the installation or assembly of the goods at a place in Northern Ireland to which they are removed, and

(c) were the supply to be treated as described in the words before paragraph (a), there would be a taxable acquisition by the registered person.

(4) But neither sub-paragraph (2) nor sub-paragraph (3) applies in relation to a supply unless—

(a) in the case of sub-paragraph (2), the intermediate supplier, or

(b) in the case of sub-paragraph (3), the person making the supply,

complies with such requirements to provide information to the Commissioners or to the person supplied as may be specified in regulations made by the Commissioners.

(5) The requirements to provide information that may be specified in regulations include—

(a) requirements to provide documents (for example, invoices);

(b) requirements to provide information or documents before a supply is made (as well as after);

(d) requirements as to the manner in which information or documents are to be provided.

(6) Where a taxable acquisition is treated as having been made by virtue of this paragraph, that acquisition is treated as taking place at the time referred to in paragraph 4(1)(b) (day on which invoice issued).

(7) For the purposes of this paragraph a person belongs in a member State if—

(a) the person is taxable in a member State,

(b) the person does not have any business establishment or other fixed establishment in Northern Ireland,

(d) the person is not identified for the purposes of VAT in Northern Ireland and is not required, as a result of regulations under paragraph 7, to make a request to be so identified, and

(e) the person does not have a VAT representative who is identified for the purposes of VAT in Northern Ireland in connection with acting on the person's behalf, and is not for the time being required to appoint one who would be identified for those purposes.

(8) In determining, for the purposes of sub-paragraph (7)(d), whether a person is required to be registered under this Act, ignore any supplies made by the person that would be ignored for the purposes of this Act if the person belonged in a member State and complied with the information requirements that would apply by virtue of sub-paragraph (4).

(9) Where—

(a) any goods are acquired from a member State in a case which corresponds, in relation to another member State, to the case described in sub-paragraph (1) in relation to Northern Ireland, and

(b) the person who acquires the goods is registered under this Act, is identified for the purposes of VAT in Northern Ireland and would be the intermediate supplier in relation to that corresponding case,

the supply to that person of those goods and the supply by that person of those goods to the person who would be the customer in that corresponding case are to be ignored for the purposes of this Act.

(10) References in this paragraph to a person being taxable in a member State do not include references to a person who is so taxable by virtue only of provisions of the law of that member State corresponding to the provisions of this Act by virtue of which a person who is not registered under this Act is a taxable person if the person is required to be so registered.

Identification of persons for the purposes of VAT in Northern Ireland

7

(1) The Commissioners may by regulations make provision for the identification of persons for the purposes of VAT in Northern Ireland.

(2) In this Act “identified for the purposes of VAT in Northern Ireland” means identified in accordance with regulations under this paragraph.

(3) A person may only be identified for the purposes of VAT in Northern Ireland if—

(a) the person is registered under this Act,

(aa) the person is registered under the OSS scheme or a participant in a non-UK scheme within the meaning of Schedule 9ZD, or

(b) the person acts on behalf of a person in relation to VAT in Northern Ireland as a VAT representative.

(4) Regulations may make provision—

(a) about the circumstances in which a person may request to be identified for the purposes of VAT in Northern Ireland;

(b) for a person to be required to request to be identified for the purposes of Northern Ireland VAT;

(c) about the circumstances in which the Commissioners may determine that a person is identified for the purposes of VAT in Northern Ireland otherwise than at the person's request;

(d) requiring a person to notify the Commissioners of such matters as may be specified for the purpose of allowing the Commissioners to ascertain whether a person should be identified for the purposes VAT in Northern Ireland;

(e) about the circumstances in which a person is to be treated, for such purposes as may be specified, as if they were identified for the purposes of VAT in Northern Ireland (and which may include circumstances where the person is neither registered under this Act nor acting as a VAT representative);

(f) about the circumstances in which a person ceases to be identified for the purposes of VAT in Northern Ireland.

(5) Regulations may also make provision—

(a) about a specified means of communicating the fact of a person's identification for the purposes of VAT in Northern Ireland (and that means is referred to in this Act as an “NI VAT identifier”);

(b) about the circumstances in which a person may use, or is required to use, an NI VAT identifier (for example, in connection with the making of a transaction or return).

(6) In this paragraph “specified” means specified in regulations.

PART 2 — Valuation of acquisitions

Valuation of acquisitions from member States

8

(1) For the purposes of this Act the value of any acquisition of goods from a member State is taken to be the value of the transaction in pursuance of which they are acquired.

(2) Where goods are acquired from a member State otherwise than in pursuance of a taxable supply, the value of the transaction in pursuance of which they are acquired is to be determined for the purposes of sub-paragraph (1) in accordance with this Part, and for those purposes—

(a) sub-paragraphs (3) to (5) have effect subject to paragraphs 9 to 13, and

(b) section 19 and Schedule 6 do not apply in relation to the transaction.

(3) If the transaction is for a consideration in money, its value is taken to be such amount as is equal to the consideration.

(4) If the transaction is for a consideration not consisting or not wholly consisting of money, its value is taken to be such amount in money as is equivalent to the consideration.

(5) Where a transaction in pursuance of which goods are acquired from a member State is not the only matter to which a consideration in money relates, the transaction is deemed to be for such part of the consideration as is properly attributable to it.

Transactions below market value

9

(1) Where, in the case of the acquisition of any goods from a member State—

(a) the relevant transaction (see paragraph 13) is for a consideration in money,

(b) the value of the relevant transaction is (apart from this paragraph) less than the transaction⿿s open market value,

(d) that person is not entitled under sections 25 and 26 to credit for all the VAT on the acquisition,

the Commissioners may direct that the value of the relevant transaction is taken to be its open market value.

(2) A direction under this paragraph must be given—

(a) by notice in writing to the person by whom the acquisition in question is made, and

(b) within the period of 3 years commencing with the relevant time (see paragraph 13).

(3) A direction given to a person under this paragraph in respect of a transaction may include a direction that the value of any transaction—

(a) in pursuance of which goods are acquired by the person from a member State after the giving of the notice, or after such later date as may be specified in the notice, and

(b) as to which the conditions in paragraphs (a) to (d) of sub-paragraph (1) are satisfied,

is be taken to be its open market value.

(4) For the purposes of this paragraph, the open market value of a transaction in pursuance of which goods are acquired from a member State is to be taken to be the amount which would fall to be taken as its value under paragraph 8(3) if it were for such consideration in money as would be payable by a person standing in no such relationship with any person as would affect that consideration.

(5) Section 1122 of the Corporation Tax Act 2010 (“connected” persons) applies for the purpose of determining whether a person is connected with another for the purposes of this paragraph.

(6) A direction under this paragraph may be varied or withdrawn by the Commissioners by a further direction given by notice in writing.

Value where goods subject to excise duty etc

10

(1) This paragraph applies, in such cases as the Commissioners may by regulations prescribe, to an acquisition—

(a) of goods acquired in Northern Ireland from a member State,

(b) where those goods are charged with a relevant duty, and

(c) that is not an acquisition that is treated, by virtue of paragraph 16(7) of Schedule 9ZB, as taking place before the time which is the duty point (within the meaning given by paragraph 16(11) of that Schedule).

(2) The value of the relevant transaction in relation to an acquisition to which this paragraph applies is the sum of the value of that transaction (apart from this paragraph) and the total amount of relevant duty charged that is not already reflected in the value of that transaction.

(3) In this paragraph “relevant duty” in relation to an acquisition means—

(a) a duty of excise charged in connection with the removal of goods to Northern Ireland;

(b) any EU customs duty or agricultural levy of the European Union charged on that removal in accordance with any provision for the time being having effect for transitional purposes in connection with the accession of any State to the European Union.

Transfer or disposal for no consideration

11

(1) Where goods are acquired from a member State in pursuance of anything which is treated as a supply for the purposes of this Act as a result of paragraph 5(1) of Schedule 4 or paragraph 30 of Schedule 9ZB and there is no consideration, sub-paragraph (3) applies for determining the value of the relevant transaction.

(2) Sub-paragraph (3) also applies for determining the value of the relevant transaction in the case of an acquisition by a supplier that is deemed to take place as a result of paragraph 60(2)(c) or 61(2)(c).

(3) The value of the relevant transaction is taken to be—

(a) such consideration in money as would be payable by the supplier if the supplier were, at the time of the acquisition, to purchase goods identical in every respect (including age and condition) to the goods concerned,

(b) where the value cannot be ascertained in accordance with paragraph (a), such consideration in money as would be payable by the supplier if the supplier were, at that time, to purchase goods similar to, and of the same age and condition as, the goods concerned, or

(c) where the value cannot be ascertained in accordance with paragraph (a) or (b), the cost of producing the goods concerned if they were produced at that time.

(4) For the purposes of sub-paragraph (3), the amount of consideration in money that would be payable by any person if the person were to purchase any goods is taken to be the amount that would be so payable after the deduction of any amount included in the purchase price in respect of VAT on the supply of the goods to that person.

Foreign currency transactions

12

(1) Subject to the following provisions of this paragraph, where—

(a) goods are acquired from a member State, and

(b) any sum relevant for determining the value of the relevant transaction is expressed in a currency other than sterling,

then, for the purpose of valuing the relevant transaction, that sum is to be converted into sterling at the market rate which, on the relevant day, would apply in the United Kingdom to a purchase with sterling of that sum in the currency in question by the person making the acquisition.

(2) Where the Commissioners have published a notice which, for the purposes of this paragraph, specifies—

(a) rates of exchange, or

(b) methods of determining rates of exchange,

a rate specified in or determined in accordance with the notice, as for the time being in force, applies (instead of the rate for which sub-paragraph (1) provides) in the case of any transaction in pursuance of which goods are acquired by a person who opts, in such manner as may be allowed by the Commissioners, for the use of that rate in relation to that transaction.

(3) An option for the purposes of sub-paragraph (2) for the use of a particular rate or method of determining a rate—

(a) may not be exercised by any person except in relation to all such transactions in pursuance of which goods are acquired by the person from a member State as are of a particular description or after a particular date, and

(b) may not be withdrawn or varied except with the consent of the Commissioners and in such manner as they may require.

(4) In specifying a method of determining a rate of exchange, a notice published by the Commissioners under sub-paragraph (2) may allow a person to apply to the Commissioners for the use, for the purpose of valuing some or all of the transactions in pursuance of which goods are acquired by the person from a member State, of a rate of exchange which is different from any which would otherwise apply.

(5) On an application made in accordance with provision contained in a notice under sub-paragraph (4), the Commissioners may authorise the use with respect to the applicant of such a rate of exchange, in such circumstances, in relation to such transactions and subject to such conditions as they think fit.

(6) A notice published by the Commissioners for the purposes of this paragraph may be withdrawn or varied by a subsequent notice published by the Commissioners.

(7) Where goods are acquired from a member State, the appropriate rate of exchange is to be determined for the purpose of valuing the relevant transaction by reference to the relevant time; and, accordingly, the day on which that time falls is the relevant day for the purposes of sub-paragraph (1).

Meaning of “relevant transaction” and “relevant time”

13

In this Part of this Schedule—

“relevant transaction”, in relation to any acquisition of goods from a member State, means the transaction in pursuance of which the goods are acquired;

“the relevant time”, in relation to any such acquisition, means—if the person by whom the goods are acquired is not a taxable person and the time of acquisition does not fall to be determined in accordance with regulations made under paragraph 4(2)(b), the time of the first removal of the goods (see paragraph 4(5)), andin any other case, the time of acquisition.

PART 3 — Payment of NI acquisition VAT by taxable persons

Input tax and output tax

14

(1) NI acquisition VAT is input tax in relation to the taxable person acquiring the goods in question if the goods are used or are to be used for the purpose of any business carried on or to be carried on by the person.

(2) NI acquisition VAT is output tax in relation to the taxable person acquiring the goods in question (including VAT which is also to be counted as input tax by virtue of sub-paragraph (1)).

(3) Subsections (5) to (6A) of section 24 (input tax and output tax) apply to NI acquisition VAT as they apply to VAT on the supply or importation of goods.

Payment of NI acquisition VAT

15

(1) A taxable person must account for and pay NI acquisition VAT by reference to prescribed accounting periods (see section 25(1)).

(2) Subsections (2) to (6) of section 25 (payment by reference to accounting period and credit for input tax against output tax) contain provision relevant to the payment of NI acquisition VAT.

(3) Subsection (7) of that section (power to make order excluding credit for VAT paid) applies to acquisitions in Northern Ireland from a member State as it applies to the supply of goods.

(4) Section 26(1) has effect as if the reference to “input tax on supplies and importations” included input tax on acquisitions in Northern Ireland from a member State.

(5) That section and sections 26A to 28 contain further provision relevant to the payment of NI acquisition VAT.

PART 4 — Reliefs etc

Reduced rate

16

(1) NI acquisition VAT is charged at the rate of 5% (instead of at the rate provided by section 2) if—

(a) the acquisition in question is of goods the supply of which would be a supply of a description for the time being specified in Schedule 7A (charge at reduced rate), or

(b) the acquisition in question is of a description for the time being specified in regulations made by the Treasury for the purposes of this paragraph.

(2) Regulations under this paragraph may provide that sub-paragraph (1)(a) does not apply to a description of a supply specified in Schedule 7A that is specified in those regulations.

(3) The power to specify a description of an acquisition conferred by sub-paragraph (1)(b) may be exercised so as to describe an acquisition of goods by reference to matters unrelated to the characteristics of the goods.

Zero-rating and exempt acquisitions

17

(1) Section 30(3) (zero-rating) applies to an acquisition of goods in Northern Ireland from a member State as it would apply to an importation of those goods.

(2) The Treasury may by regulations provide—

(a) that sub-paragraph (1) does not apply to an acquisition of goods specified or described in the regulations;

(b) that no NI acquisition VAT is chargeable on an acquisition of goods specified or described in the regulations.

(3) The Commissioners may by regulations provide for the zero-rating of supplies of goods, or of such goods as may be specified in the regulations, in cases where—

(a) the supply in question involves both the removal of the goods from Northern Ireland and their acquisition in a member State by a person who is liable for VAT on the acquisition in accordance with provisions of the law of that member State corresponding, in relation to that member State, to the provisions of paragraph 2, and

(b) such other conditions, if any, as may be specified in the regulations or the Commissioners may impose are fulfilled.

(4) Section 30(10) applies to a supply of goods that has been zero-rated in pursuance of regulations made under sub-paragraph (3) as it applies to a supply of goods that has been zero-rated in pursuance of regulations made under section 30(8) or (9).

(5) An acquisition of goods from a member State is an exempt acquisition if the goods are acquired in pursuance of an exempt supply (see section 31).

Refunds and reliefs

18

(1) Sections 33 to 33C, 33E and 34 apply to an acquisition of goods from a member State as they apply to a supply of those goods.

(2) The Treasury may by order make provision for relieving from NI acquisition VAT if, or to the extent that, relief from VAT would be given by an order under section 37 (relief from VAT on importation) if the acquisition in question were an importation.

(3) An order under sub-paragraph (2) may provide for relief to be subject to such conditions as appear to the Treasury to be necessary or expedient, which may include conditions—

(a) prohibiting or restricting the disposal of or dealing with the goods concerned;

(b) framed by reference to the conditions to which, by virtue of any order under section 37 in force at the time of the acquisition, relief under such an order would be subject in the case of an importation of the goods concerned.

(4) Where relief from NI acquisition VAT given by an order under this paragraph was subject to a condition that has been breached or not complied with, the VAT becomes payable at the time of the breach or, as the case may be, at the latest time allowed for compliance.

(5) Section 38 has effect as if after “by him” there were inserted “ or on the acquisition of goods by that person from member States ”.

Refund of NI acquisition VAT to persons constructing certain buildings

18A

(1) Where—

(a) a person carries out works to which this paragraph applies, and

(b) the carrying out of the work by the person is lawful and otherwise than in the course or furtherance of any business, and

(c) NI acquisition VAT is chargeable on the acquisition from a member State of any goods used by the person for the purposes of the works,

the Commissioners must, on a claim made in that behalf, refund to that person the amount of NI acquisition VAT so chargeable.

(2) Where—

(a) a person carries out works to which this paragraph applies,

(b) the carrying out of the work by the person is lawful and otherwise than in the course or furtherance of any business, and

(c) VAT is chargeable in accordance with the law of a member State (see paragraph 81) on the supply of any goods used by the person for the purposes of the works,

the Commissioners must, on a claim made in that behalf, pay to that person an amount equal to that VAT so chargeable.

(3) The works to which this paragraph applies are—

(a) the construction of a building in Northern Ireland designed as a dwelling or a number of dwellings;

(b) the construction of a building in Northern Ireland for use solely for a relevant residential purpose or relevant charitable purpose;

(4) Subsections (1B) and (1D) of section 35 (refund of VAT to persons constructing certain buildings) apply for the purposes of this paragraph as they apply for the purposes of that section.

(5) Subsection (2) of that section applies to a refund under subparagraph (1) or (2) as it applies to a refund of VAT under that section.

(6) Subsections (4) and (4A) of that section apply for the purpose of construing this paragraph.

(7) Subsection (5) of that section has effect as if in paragraphs (a) and (b), after “this section” there were inserted “ or paragraph 18A of Schedule 9ZA ”.

(8) The provisions made by or under this Act or any other enactment (whenever passed or made) that apply to a refund under section 35 apply to a refund under sub-paragraph (2) as if references in those provisions (however framed)—

(a) to VAT chargeable on the supply of goods were to VAT chargeable under the law of a member State;

(b) to refunding VAT to a person were to paying a person in accordance with that sub-paragraph.

Refunds in relation to new means of transport supplied to member States

19

(1) Where a person who is not a taxable person makes such a supply of goods consisting in a new means of transport that involves the removal of the goods to a member State from Northern Ireland, the Commissioners must, on a claim made in that behalf, refund to that person, as the case may be—

(a) the amount of any VAT on the supply of that means of transport to that person, or

(b) the amount of any VAT paid by that person on the acquisition of that means of transport from a member State or on its importation into the United Kingdom as a result of its entry into Northern Ireland.

(2) But the amount of VAT that is to be refunded under this paragraph is not to exceed the amount that would have been payable on the supply involving the removal if it had been a taxable supply by a taxable person and had not been zero-rated.

(3) A claim for refund of VAT under this paragraph must—

(a) be made within such time and in such form and manner as may be specified in regulations made by the Commissioners,

(b) contain such information as may be specified in those regulations, and

PART 5 — Application of Act to acquisitions in particular cases

Crown application

20

Subsections (3) and (4) of section 41 (application to the Crown) apply to NI acquisition VAT as they apply to VAT chargeable on the supply of goods.

Groups of companies

21

(1) Section 43 (groups of companies) applies to an acquisition of goods from a member State as it would apply to an importation of those goods as if the reference in subsection (1)(c) to section 38 were omitted.

(2) Subsections (2) and (9) of section 44 (supplies to groups) apply to input tax on acquisitions as they applies to input tax on supplies.

Partnerships

22

(1) Subsection (1) of section 45 (partnerships) applies to persons carrying on in partnership activities, other than carrying on a business, in the course or furtherance of which they acquire goods from a member State as it apples to persons carrying on a business in partnership.

(2) Subsections (2) and (5) of that section apply to a liability for NI acquisition VAT as they apply to VAT on the supply of goods or services.

Unincorporated bodies, personal representative etc

23

(1) In section 46 (business carried on in divisions or by unincorporated bodies, personal representatives etc) any reference to “a business” includes any activity in the course or furtherance of which any body corporate or any club, association, organisation or other unincorporated body acquires goods from a member State.

(2) Subsection (3) of that section (no account to be taken in change of members of a club, association or organisation) applies in relation to the determination of whether goods are acquired from a member State by a club, association or organization mentioned in that subsection as it applies in relation to the determination of whether goods or services are supplied by such a club, association or organisation.

Agents

24

(1) Where goods are acquired from a member State by a person who is not a taxable person (“N”) and a taxable person (“T”) acts in relation to the acquisition and then supplies the goods in T's own name as agent of N, the goods are to be treated for the purposes of this Act as acquired and supplied by T as principal.

(2) Section 47 (agents) has effect as if—

(a) the reference in subsection (2) to “subsection (1) above” were to “subsection (1) and paragraph 24(1) of Schedule 9ZA”;

(b) the reference in subsection (2A) to “subsection (1) above” were to “subsection (1) or paragraph 24(1) of Schedule 9ZA”.

VAT representatives

25

Subsection (1)(a) of section 48 (VAT representatives and security) applies to a person who, without being a taxable person, acquires goods in Northern Ireland from one or more member States as it applies to a person who, without being a taxable person, makes taxable supplies.

Margin schemes

26

Section 50A(5) (margin schemes) has effect as if after “supply,” there were inserted “ acquisition ”.

PART 6 — Administration, collection and enforcement

Breaches of regulatory provisions

27

(1) Section 69(1) (breaches of regulatory provisions) applies to a failure to comply with a requirement imposed under paragraph 42, 52 or 65(1) or (2)(a) of this Schedule as it applies to a requirement imposed under the provisions mentioned in subsection (1)(a) of that section.

(2) Section 69(2) has effect as if after “imposed under” there were inserted “ paragraph 64 or 65(2)(b) of Schedule 9ZA or ”.

Offences

28

(1) Any reference in section 72(1) or (8) (offences)—

(a) to the evasion of VAT includes a reference to the obtaining of a refund under regulations made under paragraph 5(4) or under paragraph 18A or 19, and

(b) to the amount of VAT, in relation to such a refund, is to be construed as a reference to the amount falsely claimed by way of refund.

(2) Subsection (5) of section 72 applies to a claim for a refund under regulations made under paragraph 5(4) or under paragraph 18A or 19 as it applies to a claim for a refund under the provisions mentioned in paragraph (a) of that subsection.

(3) Subsection (10) of that section applies where a person has reason to believe that NI acquisition VAT has been or will be evaded as it applies where a person has reason to believe that VAT on the supply of goods or services has been or will be evaded.

Failure to make returns

29

(1) Subsection (3) of section 73 (failure to make returns etc) applies to an amount which by reason of the cancellation of a person's registration under paragraph 43(2), 43(5) or 53(5) ought not to have been paid as it applies to an amount which ought not to have been paid by reason of the cancellation of a person's registration under any of the provisions mentioned in that subsection.

(2) Subsection (7) of that section applies to the acquisition of goods from a member State by a taxable person as it applies to the supply of goods to a taxable person.

Interest on VAT

30

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Assessment in cases of acquisitions of certain goods by non-taxable persons

31

(1) Where a person who has, at a time when the person was not a taxable person, acquired in Northern Ireland from a member State any goods subject to a duty of excise or consisting in a new means of transport and—

(a) notification of that acquisition has not been given to the Commissioners by the person who is required to give one by regulations under paragraph 73(4) (whether before or after this paragraph comes into force),

(b) the Commissioners are not satisfied that the particulars relating to the acquisition in any notification given to them are accurate and complete, or

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