Value Added Tax Act 1994 section 30(9)

Zero-rating of supply of exported goods let on hire

Schedule 9ZB paragraph 11 modifies the zero-rating rule for goods let on hire and exported, so that it does not apply when goods are sent from Northern Ireland to an EU member state.

• Section 30(9) normally allows zero-rating for goods that are let on hire and then exported outside the United Kingdom.
• Under the Northern Ireland Protocol, Northern Ireland remains aligned with EU VAT rules for goods, which affects how exports are treated.
• This paragraph removes the zero-rating benefit where the goods are exported from Northern Ireland to another EU member state, meaning such transactions are not treated as zero-rated exports.
• Goods let on hire and exported from Northern Ireland to destinations outside the EU member states can still qualify for zero-rating under the normal rules.