Finance (No. 2) Act 1992 (c. 48)

(The document as of February, 2008)

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" TABLE OF RATES OF TAX

Portion of value		Rate of tax
Lower limit	Upper limit	Rate of tax Per cent.
£	£
0	150,000	Nil
150,000	--	40 "

(2) Subsection (1) above shall apply to any chargeable transfer made on or after 10th March 1992, and section 8(1) of the Inheritance Tax Act 1984 (indexation of rate bands) shall not apply to chargeable transfers made in the year beginning 6th April 1992.

73 Business and agricultural property relief

Schedule 14 to this Act (which makes provision in relation to relief in respect of business property and agricultural property) shall have effect.

Petroleum revenue tax

74 Oil exported direct from United Kingdom off-shore fields

(1) The enactments specified in Schedule 15 to this Act (being enactments relating to oil taxation) shall have effect subject to the amendments in that Schedule, being amendments--

(a) which take account, for the purpose of determining assessable profits and allowable losses, of certain cases where oil which is won from an off-shore oil field is, or could reasonably be expected to be, first landed in a country other than the United Kingdom; or

(b) which are consequential upon, or incidental to, the amendments referred to in paragraph (a) above.

(2) For the purposes of subsection (1)(a) above an oil field is an off-shore oil field if the whole of it is situated outside the geographical area of the United Kingdom (as determined under section 108 of the [1986 c. 41.] Finance Act 1986 - the on-shore/off-shore boundary).

(3) In the amendments in Schedule 15 to this Act, any reference to a country other than the United Kingdom shall be treated as a reference to the geographical area of that country exclusive of any land (or waters) to the seaward side of the high-water line along the coast of that country, including the coast of all islands comprised in that country.

(4) For the purpose of subsection (3) above, section 108(5) of the [1986 c. 41.] Finance Act 1986 (which provides a means of determining the high-water line at any place in the United Kingdom) shall, with any necessary modifications, apply to determine the high-water line at any place in a country other than the United Kingdom.

(5) Except in so far as they have effect in relation to corporation tax or income tax, the amendments in Schedule 15 to this Act take effect as follows--

(a) in so far as they relate to expenditure incurred, they take effect for claim periods ending after 27th November 1991; and

(b) in so far as they relate to any other matter, they take effect for chargeable periods ending after 30th June 1992.

(6) This section shall be construed as one with Part I of the [1975 c. 22.] Oil Taxation Act 1975.

General and Special Commissioners

75 Change of name

(1) The Lord Chancellor may, with the consent of the Lord Advocate, make regulations providing for--

(a) Commissioners for the general purposes of the income tax to hold office by a different name (and to be referred to otherwise than as "General Commissioners"), and

(b) Commissioners for the special purposes of the Income Tax Acts to hold office by a different name (and to be referred to otherwise than as "Special Commissioners").

(2) The regulations may make such consequential amendments of any Act or instrument made under any Act as the Lord Chancellor thinks appropriate.

(3) Regulations under this section shall be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

76 Miscellaneous

Schedule 16 to this Act (which makes provision in relation to the remuneration, jurisdiction, practice and procedure of the General and Special Commissioners etc.) shall have effect.

Miscellaneous

77 Northern Ireland Electricity

Schedule 17 to this Act (which makes provision in relation to the transfer of the undertaking of Northern Ireland Electricity) shall have effect.

78 Gas levy: restriction of liability

In section 123 of the [1990 c. 29.] Finance Act 1990 (gas levy), in subsection (3) (rights to gas of British Gas Corporation treated as continuing, for purposes of levy on producer, in certain circumstances) at the end of paragraph (b) (termination of rights disregarded unless occurring before 5th March 1990) there shall be added "or by effluxion of time, pursuant to a term in the contract or document, being a term in existence on 27th November 1991."

79 Treasury bills

(1) In section 8 of the [1877 c. 2.] Treasury Bills Act 1877 (bills to be issued under Treasury warrant countersigned by Comptroller and Auditor General) the words "countersigned by the Comptroller and Auditor General" shall be omitted.

(2) This section shall apply where the warrant concerned is issued on or after the day on which this Act is passed.

80 Publication of rates of interest

(1) Section 5(8) of the [1968 c. 13.] National Loans Act 1968 (which requires the Treasury to publish certain rates of interest in the London and Edinburgh Gazettes) shall cease to have effect.

(2) This section shall have effect in relation to rates of interest determined after the day on which this Act is passed.

General

81 Interpretation

In this Act "the Taxes Act 1988" means the [1988 c. 1.] Income and Corporation Taxes Act 1988.

82 Repeals

The enactments specified in Schedule 18 to this Act (which include provisions which are already spent) are hereby repealed to the extent specified in the third column of that Schedule, but subject to any provision of that Schedule.

83 Short title

This Act may be cited as the Finance (No. 2) Act 1992.

SCHEDULES

Section 1.

SCHEDULE 1 Amendments relating to excise duties etc.

The Customs and Excise Management Act 1979 (c. 2)

1 In section 1(1) of the Customs and Excise Management Act 1979 (interpretation), after the definition of "examination station" there shall be inserted the following definition--

" "excise duty point" has the meaning given by section 1 of the Finance (No. 2) Act 1992; " .

2 In section 43 of that Act (duty on imported goods)--

(a) in subsection (2), for "and (2C)" there shall be substituted "(2C) and (2D)"; and

(b) after subsection (2C) there shall be inserted the following subsection--

" (2D) Nothing in the provisions of subsections (1) and (2) above or of subsection (6) below or in any exception to any of those provisions made by or under any of sections 44 to 48 below shall have effect for the purposes of any duty of excise chargeable on any goods for which--

(a) the excise duty point is fixed by regulations under section 1 of the Finance (No. 2) Act 1992; and

(b) the applicable rate of duty is determined in accordance with subsection (2) of that section. "

3 In section 94 of that Act (deficiency in warehoused goods), after subsection (5) there shall be inserted the following subsection--

" (6) The preceding provisions of this section so far as they have effect for-

(a) fixing the excise duty point for any goods chargeable with a duty of excise; or

(b) determining the person on whom any liability to pay any such duty is to fall,

shall have effect subject to the provisions of any regulations under section 1 of the Finance (No. 2) Act 1992; and accordingly, the power to make regulations under that section shall include power, for the purposes of, or in connection with, the making of any provision falling within paragraph (a) or (b) above, to modify any of the preceding provisions of this section and the provisions of section 95 below. "

4 In section 95(1) of that Act (application of section 94 to deficiencies in goods removed from warehouses), after "subsection (2) below" there shall be inserted "and to any such regulations as are mentioned in subsection (6) of that section".

5 In section 96 of that Act (deficiency in certain goods moved by pipeline), after subsection (5) there shall be inserted the following subsection--

" (6) The preceding provisions of this section so far as they have effect for--

(a) fixing the excise duty point for any goods chargeable with a duty of excise; or

(b) determining the person on whom any liability to pay any such duty is to fall,

shall have effect subject to the provisions of any regulations under section 1 of the Finance (No. 2) Act 1992; and, accordingly, the power to make regulations under that section shall include power, for the purposes of, or in connection with, the making of any provision falling within paragraph (a) or (b) above, to modify any of the preceding provisions of this section. "

6 (1) Subject to sub-paragraph (2) below, section 100H(1) of that Act (liability to duty under REDS regulations) shall have effect--

(a) with the omission of paragraph (f);

(b) with the substitution in paragraph (g) for the words from "for the payment" to "liable" of the words "on goods which have been or may be the subject of a transaction involving a registered excise dealer and shipper"; and

" (h) for determining, in relation to goods which are the subject of a transaction involving a registered excise dealer and shipper, the duties of excise chargeable on those goods and the rates of those duties and, in that connection, the method of charging the duties; " .

(2) Where apart from this sub-paragraph any provisions contained in regulations made by virtue of paragraph (f) or (h) of section 100H(1) of that Act would cease to have effect by virtue of sub-paragraph (1) above, those provisions shall continue in force, notwithstanding that sub-paragraph, as if contained in regulations made under section 1 of this Act and, accordingly, may be revoked, amended or re-enacted by regulations under that section.

7 In section 127A(1) of that Act (power to provide for deferred payment of excise duty), after "payment" there shall be inserted "(in accordance, where any requirement to pay the duty takes effect, with that requirement)".

The Customs and Excise Duties (General Reliefs) Act 1979 (c. 3)

8 (1) In subsection (3) of section 13 of the Customs and Excise Duties (General Reliefs) Act 1979 (power to provide for reliefs in respect of duty and VAT subject to conditions)--

(a) in paragraph (a), after "applies" there shall be inserted "and conditions with respect to the conduct in relation to the goods of persons other than the person on whom the relief is conferred and of persons whose identity cannot be ascertained at the time of importation"; and

(b) in paragraph (b), after "including" there shall be inserted "provisions requiring any person to whom a condition of the relief at any time relates to notify the Commissioners of any non-compliance with the condition and".

(2) After that subsection there shall be inserted the following subsections--

" (3A) An order under this section may provide, in relation to any relief which under such an order is made subject to a condition, for there to be a presumption that, in such cases as may be described in the order by reference--

(a) to the quantity of goods in question; or

(b) to any other factor which the Commissioners consider appropriate,

the condition is to be treated, unless the Commissioners are satisfied to the contrary, as not being complied with.

(3B) An order under this section may provide, in relation to any requirement of such an order for the Commissioners to be notified of non-compliance with a condition to which any relief from payment of any duty of excise is made subject, for goods to be exempt from forfeiture under section 124 of the Customs and Excise Management Act 1979 (forfeiture for breach of certain conditions) in respect of non-compliance with that condition if--

(a) the non-compliance is notified to the Commissioners in accordance with that requirement;

(b) any duty which becomes payable on those goods by virtue of the non-compliance is paid; and

(3C) If any person fails to comply with any requirement of an order under this section to notify the Commissioners of any non-compliance with a condition to which any relief is made subject-

(a) he shall be liable, on summary conviction, to a penalty of an amount not exceeding level 5 on the standard scale; and

(b) the goods in respect of which the offence was committed shall be liable to forfeiture. "

(3) In subsection (4) of that section (definitions), after the definition of "Community relief" there shall be inserted the following definition--

" "conduct", in relation to any person who has or may acquire possession or control of any goods, includes that person's intentions at any time in relation to those goods; " .

The Alcoholic Liquor Duties Act 1979 (c. 4)

9 In section 36(2) of the Alcoholic Liquor Duties Act 1979 (charge of duty on beer), at the end there shall be inserted "and with any regulations under section 1 of the Finance (No. 2) Act 1992".

10 (1) Subject to sub-paragraph (2) below, paragraph (d) of section 41A(7) of that Act (power to impose liability for beer duty on prescribed persons) shall cease to have effect.

(2) Where apart from this sub-paragraph any provisions contained in regulations made by virtue of paragraph (d) of section 41A(7) of that Act would cease to have effect by virtue of sub-paragraph (1) above, those provisions shall continue in force, notwithstanding that sub-paragraph, as if contained in regulations made under section 1 of this Act and, accordingly, may be revoked, amended or re-enacted by regulations under that section.

11 (1) Subsection (1) of section 49 of that Act (regulations as to the duty on beer) shall have effect with the substitution of the following paragraph for paragraph (e) (power to prescribe matters with respect to charge for beer duty), that is to say--

" (e) for determining the duty and the rate thereof and, in that connection, prescribing the method of charging the duty; " .

(2) Where apart from this sub-paragraph any provisions contained in regulations made by virtue of paragraph (e) of section 49(1) of that Act would cease to have effect by virtue of sub-paragraph (1) above, those provisions shall continue in force, notwithstanding that sub-paragraph, as if contained in regulations made under section 1 of this Act and, accordingly, may be revoked, amended or re-enacted by regulations under that section.

12 In section 54(1) of that Act (charge of duty on wine), at the end there shall be inserted "and with any regulations under section 1 of the Finance (No. 2) Act 1992".

13 In section 55(1) of that Act (charge of duty on made-wine), at the end there shall be inserted "and with any regulations under section 1 of the Finance (No. 2) Act 1992".

Section 3.

SCHEDULE 2 Protection of revenues derived from excise duties

The Customs and Excise Management Act 1979 (c. 2)

1 In section 1(1) of the Customs and Excise Management Act 1979 (interpretation)--

(a) in the definition of "occupier", for "means the" there shall be substituted "includes any";

(b) in the definition of "warehoused" and cognate expressions, after "that section" there shall be inserted "and any regulations made by virtue of section 93(2)(da)(i) or (ee) or (4) below".

2 (1) In section 93 of that Act (regulation of warehouses and warehoused goods), for subsection (1) there shall be substituted the following subsection--

" (1) The Commissioners may by regulations under this section (referred to in this Act as "warehousing regulations")--

(a) prohibit the deposit or keeping of goods in a warehouse except where the occupier of the warehouse has been approved by the Commissioners in accordance with the regulations and where such conditions as may be prescribed in relation to that occupier are satisfied;

(b) otherwise regulate the deposit, keeping, securing and treatment of goods in a warehouse;

(d) regulate the removal of goods from a warehouse and make provision with respect to goods which have lawfully been permitted to be removed from a warehouse without payment of duty; and

(e) make provision, in relation to goods which have been warehoused or are required to be deposited in a warehouse with respect to the keeping, preservation and production of records and the furnishing of information. "

(2) In subsection (2) of that section (further provision that may be made by warehousing regulations)--

(a) after paragraph (d) there shall be inserted the following paragraphs--

" (da) providing for all or any prescribed purposes of the customs and excise Acts--

(i) for goods to be treated as warehoused where in a prescribed case they are in the custody or under the control of an approved occupier of a warehouse; and

(ii) for goods to be treated, at such times before the excise duty point for those goods as may be prescribed or as may be determined under the regulations, as goods which are required to be deposited in a warehouse;

(db) providing for the revocation of the approval under regulations of any occupier of a warehouse and applying, with modifications, any of the provisions of section 98 below in relation to such a revocation or to cases where such an approval is not renewed; "

(b) in paragraph (ee), for "to be warehoused" there shall be substituted "required to be deposited in a warehouse";

" (fa) requiring goods which are required to be deposited in a warehouse or which have lawfully been permitted to be removed from a warehouse without payment of duty to be accompanied by such documents in such form and containing such particulars as may be prescribed;

(fb) imposing or providing for the imposition under the regulations of requirements on persons concerned in any prescribed respect with the carriage of such goods to keep and preserve the documents that are required to accompany the goods;

(fc) imposing or providing for the imposition under the regulations of requirements on a person so concerned to produce or cause to be produced any documents which are required to accompany any goods by virtue of paragraph (fa) above to an officer when required to do so for the purpose of allowing the officer to inspect them, to copy or take extracts from them or to remove them at a reasonable time and for a reasonable period; "

(d) in paragraph (g), after "are" there shall be inserted "required";

(e) in the definition of "relevant business activity" after the word "are", in the first place where it occurs, there shall be inserted "required".

(3) In subsection (2A) of that section (compensation where removed documents are lost)--

(a) after the word "documents", in each place where it occurs, there shall be inserted "or records"; and

(b) for "(2)(j)" there shall be substituted "(2)(fc) or (j)".

(4) In subsection (3) of that section (power to make different provision for different warehouses and goods), after the word "for", in the first place where it occurs, there shall be inserted "different cases, including different provision for different occupiers or descriptions of occupier, for".

(5) After subsection (5) of that section there shall be inserted the following subsection--

" (5A) Warehousing regulations made by virtue of any of paragraphs (fa) to (fc) or (g) to (j) of subsection (2) above may also provide for the forfeiture of the goods in question in the event of any contravention of, or non-compliance with, any requirements imposed by or under the regulations with respect to any documents or records relating to prescribed goods. "

(6) In subsection (6) of that section (offence), for the words from "penalty", in the first place where it occurs, onwards there shall be substituted the words "penalty of an amount not exceeding level 5 on the standard scale, together with a penalty of £20 for each day on which the failure continues".

(7) In subsection (7)(b) of that section--

(a) for "to be warehoused" there shall be substituted "required to be deposited in a warehouse";

(b) for "or which are to be warehoused on drawback" there shall be substituted "which are to be warehoused on drawback or which are otherwise to be treated by virtue of subsection (2)(da)(ii) above as goods which are required to be deposited in a warehouse".

3 In section 100(2) of that Act (forfeiture in respect of contraventions relating to warehousing)--

(a) in paragraphs (a) and (b), after "for warehousing" there shall be inserted "or are otherwise required to be deposited in a warehouse";

(b) for paragraph (d) there shall be substituted the following paragraph--

" (d) any goods are concealed at a time before they are warehoused when they have been entered for warehousing or are otherwise required to be deposited in a warehouse or when they are required to be in the custody or under the control of the occupier of a warehouse; or " .

4 In section 100H(1) of that Act (provision that may be contained in REDS regulations), after paragraph (m) there shall be inserted the following paragraph--

" (ma) imposing requirements with respect to, or to the production of, the documents required to accompany goods which are the subject of a transaction involving a registered excise dealer and shipper on any person concerned in any prescribed respect with the carriage of those goods, or providing for the imposition under the regulations of any such requirements; " .

5 In section 117 of that Act (execution of distress against revenue traders in respect of relevant excise duty)--

(a) the word "relevant", in the first place where it occurs in subsection (1) and where it occurs in subsections (2)(a) and (5), shall be omitted;

(b) for the words "a relevant" in subsections (1)(a) and (3) there shall be substituted "any"; and

6 In section 129 of that Act (power to remit or repay duty on denatured goods)--

(a) in paragraph (b) of subsection (1) for "warehoused" there shall be substituted "chargeable with a duty the requirement to pay which has not yet taken effect"; and

(b) after that subsection there shall be inserted the following subsection--

" (1A) The reference in subsection (1) above to goods which are chargeable with a duty the requirement to pay which has not yet taken effect shall be construed as a reference to any goods which are warehoused or, in the application of that section in relation to a duty of excise, to any goods at a time, before the excise duty point for those goods, when they are chargeable with such a duty. "

7 In section 170 of that Act (fraudulent evasion of duty), after subsection (5) there shall be inserted the following subsection--

" (6) Where any person is guilty of an offence under this section, the goods in respect of which the offence was committed shall be liable to forfeiture. "

8 After section 170 of that Act there shall be inserted the following sections--

" 170A Offence of handling goods subject to unpaid excise duty

(1) Subject to subsection (2) below, if--

(a) after the excise duty point for any goods which are chargeable with a duty of excise, a person acquires possession of those goods or is concerned in carrying, removing, depositing, keeping or otherwise dealing with those goods; and

(b) at the time when he acquires possession of those goods or is so concerned, the duty on the goods has not been paid and its payment has not been deferred,

that person shall be liable, on summary conviction, to a penalty of an amount not exceeding level 5 on the standard scale.

(2) In proceedings for an offence under this section it shall be a defence to show that the person who acquired possession of the goods or was concerned in carrying, removing, depositing, keeping or otherwise dealing with them--

(a) acted in accordance with the directions of, or with the consent of, the proper officer; or

(b) was not himself the person, or one of the persons, liable to pay the unpaid duty and at the time when he acted either--

(i) had no grounds for suspecting that the goods were chargeable with a duty of excise that had not yet been paid; or

(ii) believed on reasonable grounds that the duty had been paid or its payment deferred or that the liability to pay the duty had not yet taken effect.

170B Offence of taking preparatory steps for evasion of excise duty

(1) If any person is knowingly concerned in the taking of any steps with a view to the fraudulent evasion, whether by himself or another, of any duty of excise on any goods, he shall be liable--

(a) on summary conviction, to a penalty of the prescribed sum or of three times the amount of the duty, whichever is the greater, or to imprisonment for a term not exceeding six months or to both; and

(b) on conviction on indictment, to a penalty of any amount or to imprisonment for a term not exceeding seven years or to both.

(2) Where any person is guilty of an offence under this section, the goods in respect of which the offence was committed shall be liable to forfeiture. "

9 In section 171(5) of that Act (which provides for the time at which duty is to be treated as payable where that cannot be ascertained for the purposes of any offence)--

(a) after "43 above" there shall be inserted "or the relevant excise duty point"; and

(b) at the end there shall be inserted "or, as the case may be, as if the time when the proceedings were commenced was the relevant excise duty point."

The Customs and Excise Duties (General Reliefs) Act 1979 (c. 3)

10 In section 13C of the Customs and Excise Duties (General Reliefs) Act 1979 (offence where relieved goods used in breach of condition), after subsection (4) there shall be inserted the following subsection--

" (5) Where any person is guilty of an offence under this section, the goods in respect of which the offence was committed shall be liable to forfeiture. "

Section 14.

SCHEDULE 3 Value added tax: abolition of fiscal frontiers etc.

Part I Amendments of the Value Added Tax Act 1983 (c. 55)

Introduction

1 The Value Added Tax Act 1983 shall be amended in accordance with the following provisions of this Part of this Schedule.

Imposition and extent of tax

2 In section 1 (charge to tax), for the words from "and on" onwards there shall be substituted "on the acquisition in the United Kingdom from other member States of any goods and on the importation of goods from places outside the member States."

3 (1) After section 2 (scope of tax) there shall be inserted the following sections--

" 2A Scope of tax on acquisitions

(1) Tax shall be charged on any acquisition from another member State of any goods where--

(a) the acquisition is a taxable acquisition and takes place in the United Kingdom;

(b) the acquisition is otherwise than in pursuance of a taxable supply; and

(c) the person who makes the acquisition is a taxable person or the goods are subject to a duty of excise or consist in a new means of transport.

(2) An acquisition of goods from another member State is a taxable acquisition if--

(a) it falls within subsection (3) below or the goods consist in a new means of transport; and

(b) it is not an exempt acquisition.

(3) An acquisition of goods from another member State falls within this subsection if--

(a) the goods are acquired in the course or furtherance of--

(i) any business carried on by any person; or

(ii) any activities carried on otherwise than by way of business by any body corporate or by any club, association, organisation or other unincorporated body;

(b) it is the person who carries on that business or, as the case may be, those activities who acquires the goods; and

(i) is taxable in another member State at the time of the transaction in pursuance of which the goods are acquired; and

(ii) in participating in that transaction, acts in the course or furtherance of a business carried on by him.

(4) Tax on any acquisition of goods from another member State is a liability of the person who acquires the goods and (subject to provisions about accounting and payment) becomes due at the time of acquisition.

2B Scope of tax on imports

(1) Tax on the importation of goods from places outside the member States shall be charged and payable as if it were a duty of customs.

(2) For the purposes of this Act goods are imported from a place outside the member States where--

(a) having been removed from a place outside the member States, they enter the territory of the Community;

(b) they enter that territory by being removed to the United Kingdom or are removed to the United Kingdom after entering that territory; and

(c) the circumstances are such that it is on their removal to the United Kingdom or subsequently while they are in the United Kingdom that any Community customs debt in respect of duty on their entry into the territory of the Community would be incurred.

(3) Accordingly--

(a) goods shall not be treated for the purposes of this Act as imported at any time before a Community customs debt in respect of duty on their entry into the territory of the Community would be incurred; and

(b) the person who is to be treated for the purposes of this Act as importing any goods from a place outside the member States is the person who would be liable to discharge any such Community customs debt.

(4) The preceding provisions of this section shall not apply, except in so far as the context otherwise requires or provision to the contrary is contained in regulations under subsection (1) of section 24 below, for construing any references to importation or to an importer in any enactment or subordinate legislation applied for the purposes of this Act by that subsection.

2C Taxable persons

(1) A person is a taxable person for the purposes of this Act while he is, or is required to be, registered under this Act.

(2) Schedules 1 to 1B to this Act shall have effect with respect to registration.

(3) Persons registered under any of those Schedules shall be registered in a single register kept by the Commissioners for the purposes of this Act; and, accordingly, references in this Act to being registered under this Act are references to being registered under any of those Schedules.

(4) The Commissioners may by regulations make provision as to the inclusion and correction of information in that register with respect to the Schedule under which any person is registered. "

Meaning of supply

4 (1) In subsection (3) of section 3 (power to provide for how transactions are to be treated for the purposes of the charge on supplies), at the end there shall be inserted "and may provide that paragraph 5A of that Schedule shall not apply, in such circumstances as may be described in the order, so as to make a removal of assets a supply of goods under that paragraph."

(2) In subsection (5) of that section (treatment of goods as supplied to and from the same person in the course or furtherance of his business), for "acquired" there shall be substituted "taken possession of".

Time of supply

5 In section 4(1) (time of supply), after "apply" there shall be inserted "(subject to section 35 below)".

6 (1) After subsection (3) of section 5 (further provisions as to time of supply), there shall be inserted the following subsections--

" (3A) Where any supply of goods involves both--

(a) the removal of the goods from the United Kingdom; and

(b) their acquisition in another member State by a person who is liable for value added tax on the acquisition in accordance with provisions of the law of that member State corresponding, in relation to that member State, to the provisions of section 2A above,

section 4(2) above and subsections (1) to (3) and (5) to (7) of this section shall not apply and the supply shall be treated for the purposes of this Act as taking place on whichever is the earlier of the days specified in subsection (3B) below.

(3B) The days mentioned in subsection (3A) above are--

(a) the fifteenth day of the month following that in which the removal in question takes place; and

(b) the day of the issue, in respect of the supply, of a tax invoice or of an invoice of such other description as the Commissioners may by regulations prescribe. "

(2) In subsection (9) of that section--

(a) for "(3)" there shall be substituted "(3B)"; and

(b) in the words after paragraph (b), after "there is" there shall be inserted "a supply of goods to a person who has given such an undertaking as is mentioned in section 32B(4)(b) below or there is".

(3) In subsection (10) of that section (meaning of "tax invoice"), for "taxable person" there shall be substituted "person to whom such an invoice should be issued."

Place of supply

7 (1) In subsection (1) of section 6 (place of supply), after "apply" there shall be inserted "(subject to section 35 below)".

(2) At the beginning of subsection (2) of that section there shall be inserted "Subject to the following provisions of this section".

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