Value Added Tax Act 1994 section 18B

Fiscally warehoused goods: relief

Section 18B provides VAT relief for supplies of eligible goods that are placed into, or remain within, a fiscal warehousing regime, and sets out when VAT becomes chargeable on those goods.

• Supplies of eligible goods entering or already within a fiscal warehousing regime can be relieved from VAT, provided the buyer certifies the goods will be warehoused and the transaction is not a retail sale
• If further supplies of the goods occur while they remain fiscally warehoused, earlier supplies are treated as taking place outside the UK and are therefore outside the scope of VAT
• Where no subsequent supply occurs in warehouse, VAT on the original supply becomes due when the goods are removed from the fiscal warehousing regime
• Eligible goods must be of a type listed in Schedule 5A and, where applicable, any import duty, import VAT or excise duty must have been paid or deferred before entry into the regime

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