Value Added Tax Act 1994 section 72

Avoidance (Schedules 9A and 11A)

Section 72 extends existing anti-avoidance and avoidance disclosure rules so that they also cover VAT on goods acquired from other EU member states.

• The anti-avoidance rules for VAT groups (Schedule 9A) are extended so that references to importation also include acquisitions from member states.
• The avoidance disclosure rules (Schedule 11A) are extended so that VAT "incurred" by a taxable person includes VAT on goods acquired from a member state.
• These modifications ensure that acquisitions from EU member states are treated consistently with imports for anti-avoidance purposes.
• The changes prevent avoidance schemes from exploiting any gap between the treatment of imports and intra-EU acquisitions.