The Value Added Tax (Input Tax) (Amendment) Order 1993

Statutory Instruments

1993 No. 2954

VALUE ADDED TAX

The Value Added Tax (Input Tax) (Amendment) Order 1993

Made

30th November 1993

Laid before the House of Commons

30th November 1993

Coming into force

1st January 1994

The Treasury, in exercise of the powers conferred on them by section 14(10) of the Value Added Tax Act 1983(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 (Input Tax) (Amendment) Order 1993 and shall come into force on 1st January 1994.

2.  Article 7(2)(g)(iv) of the Value Added Tax (Input Tax) Order 1992(2) shall be amended by—

• deleting “who is not a taxable person on”, and

• substituting “under an agreement which imposes a”.

Tim Wood

Timothy Kirkhope

Two of the Lords Commissioners of Her Majesty’s Treasury

30th November 1993

Explanatory Note

(This note is not part of the Order)

This Order, which comes into effect on 1st January 1994, amends the scope of the Value Added Tax (Input Tax) Order 1992 concerning the treatment for value added tax purposes of new motor cars. It amends Article 7 of that Order which concerns the non-deductibility of input tax on the supply, acquisition or importation of a motor car.

The Order enables businesses leasing cars to private taxi firms, self-drive hire firms and driving schools to reclaim the tax on purchases of motor cars for this purpose.

(1)

1983 c. 55; section 14(10) was amended by paragraph 15(6) of Schedule 3 to the Finance (No. 2) Act 1992 (c. 48).

(2)

S.I. 1992/3222.