Plan de acción

5.1 Introduction

VAT is not only a tax on supplies. It is also a tax on the importation or acquisition of most goods - and of some services - received from outside the UK.

5.2 Imported goods

When goods are imported into the UK from outside the EC, VAT is normally due at the same rate as on a supply of those goods in the UK.

VAT must be paid when you import the goods or, if you or your agent is approved for duty deferment, you can defer payment with any duty. If you import goods into the UK from outside the EC, you should read Notice 702 Imports andNotice101 Deferring duty, VAT and other charges.

5.3 Warehoused goods

Similar arrangements to those above apply if you remove goods from an approved warehouse.

You should read the following Notices: Notice

number Title

197 Excise goods: Holding and movement,

179 Mineral (Hydrocarbon) Oils: Duty and VAT: Warehousing and related procedures, or

232 Customs warehousing, and 702/9 Warehousing and free zones. 5.4 Services received from outside the UK

If you receive from outside the UK for business purposes, any of the services listed in Section 31, the services are treated as if you supply them, and you must account for output tax on them.

If you have read Section 31 and you think that you might receive services of this kind from outside the UK, please read Notice 741 Place of supply of services.

If you receive from outside the UK any of the services listed in Section 31, their value counts towards your taxable turnover. This applies even if the only supplies you make in the UK are exempt.

If you are registered for VAT in the UK…

And you… Then you…

receive any service, the place of supply of which is the UK (other than those listed in the VAT Act 1994, Schedule 5, paragraphs 1 to 8 - see Section 31 of this notice) from a person who belongs outside the UK

may be required to account for VAT under the “reverse charge” procedure (see Notice 741 Place of Supply of Services).

If you are a non-UK supplier of these services and your customer does not supply a UK VAT registration number, please see Notice 741.

5.5 Free zones

VAT is not due on the importation of goods into a free zone. Import VAT is due only on goods removed from a free zone into the rest of the UK and on goods used or consumed within a zone.

If goods… Then import VAT is…

of UK origin which have been in a free zone are removed in an unaltered state, for home use

not due.

manufactured in a zone are removed into the UK for use in the owner’s business, as opposed to being sold or disposed of

due only on the value of any imported elements of the goods.

Supplies of goods and services to, from and within a free zone are taxable in the normal way. If you need more information you should read Notice 702/9 Warehousing and free zones.

5.6 Exported goods

If you export goods to a customer outside the EC, your supply is normally zero-rated provided that you meet the appropriate conditions.

There are a number of notices which deal with exports. You will find out more about these, and the conditions which you must meet to zero-rate your supplies, in Notice 703 Exports and removals of goods from the United Kingdom.

5.7 Exported services

Some supplies of services to overseas customers are zero-rated, but many are standard-rated. You will find more about this in Section 29. 5.8 Intra-EC supplies of goods

If you supply goods to a VAT-registered customer in another EC Member State and the goods are removed from the UK to another EC country, your supply may be zero-rated provided you meet the appropriate conditions.

You will find out more about the VAT treatment of supplies of goods within the Single Market, and the conditions you must meet to zero- rate your supplies, in Notice 725 The Single Market.

5.8.1 EC Sales List

Since 1 January 1993, UK traders registered for VAT who make supplies of goods to traders registered for VAT in the other Member States have been required to send in lists of their EC supplies. The EC Sales Lists are used to control the taxation on movements of goods within the EC.

You will find more details about EC Sales Lists in Notice 725 The Single Market.

5.8.2 Intrastat

You should show the value of the supply to or acquisition of goods from other EC Member States in Boxes 8 or 9 respectively of the VAT return.

Depending on the level of your trade with other EC Member States, you may be required to submit more detailed statistical declarations. These are known as INTRASTAT Supplementary Declarations.

You will find a more detailed explanation of the INTRASTAT system in Notice 60 The Intrastat General Guide.

5.8.3 Acquisitions

If… And… Then…

you purchase goods from a VAT-registered business in another EC country

the goods are removed to the UK

you may be required to account for VAT in the UK on the acquisition of the goods. This VAT can be recovered as input tax on the same VAT return, subject to the normal rules for reclaiming input tax.

6. General explanation of VAT: registering for VAT