The Value Added Tax (Margin Schemes and Removal or Export of Goods: VAT-related Payments) Order 2023

VAT-related payments

4.—(1) The supply specified for the purposes of article 3 is a relevant supply of a motor vehicle (“the vehicle”) which meets the conditions specified in paragraph (2).

(2) The conditions specified in this paragraph are that—

(a) the vehicle is not an excluded good;

(b) the vehicle has been removed to Northern Ireland or exported to a member State; and

(c) the person who took possession of the vehicle in Great Britain or the Isle of Man is—

(i) in a case where the vehicle is removed to Northern Ireland, registered under VATA(1) at the time of the removal; or

(ii) in a case where the vehicle is exported to a member State, identified by that member State as being taxable in that member State(2) at the time of the export.

(3) In this article—

“antique” and “collectors’ item” have the meanings given in article 2 of the Value Added Tax (Special Provisions) Order 1995(3);

“excluded good” means a good which is an antique, collectors’ item or work of art;

“motor vehicle” means a mechanically propelled vehicle which is registered under either the Vehicle and Excise and Registration Act 1994(4) or the Licensing and Registration of Vehicles Act 1985 of the Isle of Man(5);

“work of art” has the meaning given in section 21(6) of VATA(6).

(1)

Section 3 of VATA provides that Schedules 1 to 3A and Parts 8 and 9 of Schedule 9ZA shall have effect with respect to registration and persons registered under any of those Schedules or Parts shall be registered in a single register kept by the Commissioners and accordingly references in VATA to being registered under VATA are references to being registered under those Schedules or Parts.

(2)

Paragraph 81(2) of Schedule 9ZA to VATA provides that references in VATA to a person being taxable in a member State are references to that person being taxable under so much of the law of that member State as makes provision for purposes corresponding, in relation to that member State, to the purposes of so much of VATA as makes provision as to whether a person is a taxable person. Schedule 9ZA was inserted by paragraphs 1 and 2 of Schedule 2 to the Taxation (Post-transition Period) Act 2020 (c. 26).

(3)

S.I. 1995/1268, amended by SI 1999/3120; there are other amending instruments, but none is relevant.

(4)

1994 c. 22.

(5)

AT 21 of 1985.

(6)

Subsection (6) was inserted by section 22 of the Finance Act 1995 (c. 4) and then it and associated subsections (6A) to (6C) were substituted by section 12(2) of the Finance Act 1999 (c. 16).