Value Added Tax Act 1994 section 17

Zero-rating and exempt acquisitions

Section 17 of Schedule 9ZA sets out the rules for zero-rating and exemption of goods acquired in Northern Ireland from EU member states, including the powers of the Treasury and HMRC to make regulations modifying these rules.

• Goods acquired in Northern Ireland from an EU member state are zero-rated in the same way as if they had been imported.
• The Treasury may make regulations to disapply zero-rating for specified goods or to remove Northern Ireland acquisition VAT on specified goods altogether.
• HMRC may make regulations to zero-rate supplies of goods that are removed from Northern Ireland and acquired in an EU member state by a person liable for VAT there, subject to any conditions imposed.
• An acquisition of goods from an EU member state is exempt from VAT if the goods are acquired as part of an exempt supply.