Value Added Tax Act 1994 section 12

Time of acquisition

Section 12 establishes when, for VAT purposes, an acquisition of goods from another EU Member State is treated as taking place.

• An acquisition is treated as occurring at the same time as the corresponding supply of the goods in the Member State from which they are dispatched.
• The time of acquisition is the earlier of either the 15th day of the month following the month in which the goods were dispatched, or the date the supplier issues an invoice (even if the invoice is issued before the goods are sent).
• The first relevant event for taxation purposes is the first physical removal of the goods in connection with the acquisition.
• HMRC has the power to make regulations specifying when an acquisition is to be treated as taking place.