S.I. No. 344/1985:

VALUE-ADDED TAX (REMISSION AND REPAYMENT OF TAX ON CERTAIN IMPORTATIONS) REGULATIONS, 1985.

VALUE-ADDED TAX (REMISSION AND REPAYMENT OF TAX ON CERTAIN IMPORTATIONS) REGULATIONS, 1985.

The Revenue Commissioners, in exercise of the powers conferred on them by sections 15 and 32 of the Value-Added Tax Act, 1972 (No. 22 of 1972), hereby make the following regulations:

1. These Regulations may be cited as the Value-Added Tax (Remission and Repayment of Tax on Certain Importations) Regulations, 1985.

2. These Regulations shall come into operation on the 25th day of October, 1985.

3. In these Regulations "the Act" means the Value-Added Tax Act, 1972 .

4. (1) Tax is hereby remitted in accordance with section 15 (5) (a) of the Act on the importation of goods by a person, not being a taxable person, where the Revenue Commissioners are satisfied that the goods were exported by the person in circumstances not qualifying for relief from tax, if any, previously paid or borne and that the goods have undergone work which has been carried out exclusively in another Member State of the Community, and in circumstances in which value-added tax referred to in Council Directive No. 77/388/EEC of 17 May, 1977,¹ was charged in respect of all of the work without the right to deduction or refund.

¹ OJ No. L145/1 OF 13.6.1977.

(2) (a) A person who establishes to the satisfaction of the Revenue Commissioners that he has paid tax on the importation of goods which were subsequently exported and which, during the whole of the period from the date of importation to the date of exportation, were on hire, lease or loan to him or were used by him solely in connection with the supply of taxable services shall, in accordance with section 15 (5) (b) of the Act, be entitled to repayment of tax subject to the limitations provided for in subparagraph (b) if he fulfils the following conditions to the satisfaction of the Revenue Commissioners:

(i) he shall establish that he is not a taxable person;

(ii) he shall claim a refund by completing such claim form as may be provided for the purpose by the Revenue Commissioners and he shall certify the particulars shown on such claim form to be correct;

(iii) he shall establish that the goods have been exported;

(iv) he shall, by the production of receipts for tax paid on importation of the goods to which the claim relates, establish the amount of such tax;

(v) he shall by the production of the appropriate form, duly certified, or by other sufficient documentary evidence, establish that the goods to which the claim relates are the same goods as those on which the tax was paid by him;

and

(vi) he shall establish that he is not entitled to repayment of the tax under any other provision of the Act or Regulations or of any other Act or instrument made under statute administered by the Revenue commissioners.

( b ) The amount of tax which shall be repaid--

(i) in the case of goods which were on hire, lease or loan to the claimant, shall be the excess, if any, of the tax paid on the importation of the goods over the tax which would have been chargeable on the hiring or leasing of the goods if the transaction had been chargeable to tax;

(ii) in the case of goods imported in connection with the supply of taxable services by the person by whom or for whom the goods were imported, shall be the excess, if any, of the tax paid on importation over the tax which would have been chargeable on such supply if the supply had been chargeable to tax.

5. Regulation 27 of the Value-Added Tax Regulations, 1979 ( S.I. No. 63 of 1979 ), is hereby revoked.

GIVEN this 24th day of October, 1985.

L. REASON,

Revenue Commissioner.

EXPLANATORY NOTE.

These Regulations, which enter into force on 25 October, 1985, concern relief from Value-Added Tax on--

( a ) goods re-imported after having undergone work in another Member State of the European Economic Community;

( b ) goods imported on hire, lease or loan, or for use in connection with the supply of taxable services, and subsequently exported.

Where goods are exported by a non-taxable person to another Member State and undergo repair, maintenance, etc., exclusively in that State with a charge to VAT there which is non-recoverable, the re-importation of the goods will be exempt from Irish VAT.

Where goods are imported by a non-taxable person on hire, lease or loan, or for use by him solely in connection with the supply of taxable services, and are subsequently exported, provision is made for a measure of relief from the VAT charged at importation.

Subject to specified conditions, the relief, by way of repayment, will be the excess, if any, of the VAT paid at importation over the tax attributable to the hiring or leasing of the goods or to the supply of any taxable services in connection with which they are used.

These Regulations supersede the provisions of Regulation 27 of the Value-Added Tax Regulations, 1979, which is now revoked.