The Value Added Tax (International Services) Order 1987

Made: 25th March 1987

Laid before the House of Commons: 25th March 1987

Coming into force: 1st May 1987

The Treasury, in exercise of the powers conferred on them by sections 16(4) and 48(6) of the Value Added Tax Act 1983[^f00001] and all other powers enabling them in that behalf, hereby make the following Order:

1

This Order may be cited as the Value Added Tax (International Services) Order 1987 and shall come into force on 1st May 1987.

2

Group 9 (International Services) of Schedule 5 (zero-rating)[^f00002] to the Value Added Tax Act 1983 shall be varied in accordance with the following provisions.

3

For Item 3 there shall be substituted the following:—

(3) The supply of — (a) cultural, artistic, sporting, scientific, educational or entertainment services; or (b) exhibition services; or (c) services ancillary to, including that of organising, the performance outside the United Kingdom of any services in paragraphs (a) or (b), being services performed outside the United Kingdom.

4

There shall be added the following note:—

(2) In Item 3 — (a) “exhibition” includes any conference or meeting; (b) there are not included any services comprised in paragraphs 1 to 7 of Schedule 3[^f00003] to this Act other than the letting on hire of stands at exhibitions.

5

In Note (4) paragraphs (b) and (c) shall be omitted.

6

In Item 9 for the words “item 1, 2 or 3” there shall be substituted the words “items 1 to 5”.

Signed

Michael Neubert — Tony Durant — Two of the Lords Commissioners of Her Majesty’s Treasury — 25th March 1987

Explanatory note

(This note is not part of the Order)

This Order revises, with effect from 1 May 1987, Items 3 and 9 of Group 9 of Schedule 5 to the Value Added Tax Act 1983, as amended. It also deletes part of Note (4) to Items 5 and 6 of the same Group.

Article 3 of the Order extends zero-rating to exhibition services performed at overseas venues.

Article 4 adds a new Note to Item 3. The new Note will have the effect of:

• (a) relieving overseas conferences and meetings in the same way as exhibitions.

• (b) including in the relief the letting on hire of stands and

• (c) excluding from the item consultancy and other services which are of a type whose place of supply is determined by where the customer belongs.

Article 5 provides for an amendment to Note (4) which has the effect of excluding from zero-rating under Items 5 or 6 exhibition services supplied to overseas traders at United Kingdom venues.

Article 6 of the Order rectifies a technical error arising from the consolidation of VAT law in the Value Added Tax Act 1983. Item 9 of Group 9 of Schedule 5 to that Act referred to Items 1 to 3 of Group 5 of Schedule 6; it should have referred to Items 1 to 5.

Footnotes

[^f00001]: 1983 c. 55.

[^f00002]: Group 9 was varied by S.I. 1985/799 which, interalia, omitted the original note (2).

[^f00003]: Schedule 3 was extended by S.I. 1985/799.