Statutory Instrument 1995 No. 958

The Value Added Tax (Treatment of Transactions) Order 1995

---

© Crown Copyright 1995

Statutory Instruments printed from this website are printed under the superintendence and authority of the Controller of HMSO being the Queen's Printer of Acts of Parliament.

The legislation contained on this web site is subject to Crown Copyright protection. It may be reproduced free of charge provided that it is reproduced accurately and that the source and copyright status of the material is made evident to users.

It should be noted that the right to reproduce the text of Statutory Instruments does not extend to the Queen's Printer imprints which should be removed from any copies of the Statutory Instrument which are issued or made available to the public. This includes reproduction of the Statutory Instrument on the Internet and on intranet sites. The Royal Arms may be reproduced only where they are an integral part of the original document.

The text of this Internet version of the Statutory Instrument which is published by the Queen's Printer of Acts of Parliament has been prepared to reflect the text as it was Made. A print version is also available and is published by The Stationery Office Limited as the The Value Added Tax (Treatment of Transactions) Order 1995, ISBN 0110528107. The print version may be purchased by clicking here. Braille copies of this Statutory Instrument can also be purchased at the same price as the print edition by contacting TSO Customer Services on 0870 600 5522 or e-mail:customer.services@tso.co.uk.

Further information about the publication of legislation on this website can be found by referring to the Frequently Asked Questions.

To ensure fast access over slow connections, large documents have been segmented into "chunks". Where you see a "continue" button at the bottom of the page of text, this indicates that there is another chunk of text available.

1995 No. 958

VALUE ADDED TAX

The Value Added Tax (Treatment of Transactions) Order 1995

The Treasury, in exercise of the powers conferred on them by section 5(3) of the Value Added Tax Act 1994^[1] and of all other powers enabling them in that behalf, hereby make the following Order:

    1.    This Order may be cited as the Value Added Tax (Treatment of Transactions) Order 1995 and shall come into force on the day that the Finance Bill 1995 is passed.

    2.    In this Order —
"works of art" means —
 (a) paintings, drawings and pastels executed by hand but not comprised in manufactured articles that have been hand-painted or hand-decorated; collages and similar decorative plaques;
 (b) original engravings, lithographs and other prints;
 (c) original sculptures and statuary, in any material.

    3.—(1)  Subject to paragraph (3) below, the transfer of ownership in—
 (a) second-hand goods imported from a place outside the member States with a view to their sale by auction;
 (b) works of art imported from a place outside the member States for the purposes of exhibition, with a view to possible sale,
at a time when the second-hand goods or works of art, as the case may be, are still subject to arrangements for temporary importation with total exemption from import duty in accordance with Articles 137 to 141 and paragraph 1 of Article 144 of Council Regulation (EEC) No. 2913/92fn num="f002"> and paragraph 1(a) or (c) (as the case may require) and paragraphs 2 and 3 of Article 682 of Commission Regulation (EEC) No. 2454/93fn num="f003">, shall be treated as neither a supply of goods nor a supply of services.

    (2)  Subject to paragraph (3) below, the provision of any services relating to a transfer of ownership falling within paragraph (1)(a) or (b) above shall be treated as neither a supply of goods nor a supply of services.

    (3)  Paragraphs (1) and (2) above shall not apply in relation to any transfer of ownership in second-hand goods which is effected otherwise than by sale by auction.

Tim Wood

Timothy Kirkhope

Two of the Lords Commissioners of Her Majesty's Treasury

30th March 1995

Under Article 16.1E of Council Directive No. 77/388/EEC (OJ No. L 145, 13.6.1977, p.1) as amended by Article 1.20 of Council Directive No. 91/680/EEC (OJ No. L 376, 31.12.1991, p.1) member States may relieve from VAT certain supplies of goods and supplies of services relating to such supplies of goods, made whilst the goods are subject to certain customs arrangements.

This Order relieves from VAT certain transactions relating to second-hand goods and works of art whilst they are subject to temporary importation arrangements by treating those transactions as neither a supply of goods nor a supply of services.

[1] 1994 c. 23. back