OpenLegislation

The Finance Act 2016, Section 126 (Appointed Day), the Taxation (Cross-border Trade) Act 2018 (Appointed Day No. 8, Transition and Saving Provisions) and the Taxation (Post-transition Period) Act 2020 (Appointed Day No. 1) (EU Exit) Regulations 2020

S.I. 2020/1642 · Made 23 December 2020

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

Exiting The European Union

Excise

Customs

Value Added Tax

Made 23rd December 2020

The Treasury make these Regulations in exercise of the powers conferred by section 126(5) and (6) of the Finance Act 2016f1, sections 56 and 57 of the Taxation (Cross-border Trade) Act 2018f2 and section 11 of the Taxation (Post-transition Period) Act 2020f3.

The Treasury consider it appropriate to make regulations 5, 6, 7 and 8 in accordance with section 56(4) of the Taxation (Cross-border Trade) Act 2018.

Annotations to the whole text

Footnotes

f1

2016 c. 24.

f2

2018 c. 22.

f3

2020 c. 26.

Contents

  1. 1Citation
  2. 2Interpretation
  3. 3Appointed day – Finance Act 2016
  4. 4Appointed day, saving and transitional provisions – Taxation (Cross-border Trade) Act 2018
  5. 5Appointed day, saving and transitional provisions – Taxation (Cross-border Trade) Act 2018
  6. 6Appointed day, saving and transitional provisions – Taxation (Cross-border Trade) Act 2018
  7. 7Appointed day, saving and transitional provisions – Taxation (Cross-border Trade) Act 2018
  8. 8Appointed day, saving and transitional provisions – Taxation (Cross-border Trade) Act 2018
  9. 9Appointed day – Taxation (Post-transition Period) Act 2020
  10. Signature
  11. Explanatory note

1Citation

These Regulations may be cited as The Finance Act 2016, Section 126 (Appointed Day), the Taxation (Cross-border Trade) Act 2018 (Appointed Day No. 8, Transition and Saving Provisions) and the Taxation (Post-transition Period) Act 2020 (Appointed Day No. 1) (EU Exit) Regulations 2020.

2Interpretation

In these Regulations “EUCL” means the direct EU legislation referred to in paragraph 1(1) of Schedule 7 to the Taxation (Cross-border Trade) Act 2018.

3Appointed day – Finance Act 2016

The amendments to the Value Added Tax Act 1994f1 made by section 126 of the Finance Act 2016 (VAT: women’s sanitary products) have effect in relation to supplies made, and acquisitions and importations taking place, on or after IP completion dayf2.

4Appointed day, saving and transitional provisions – Taxation (Cross-border Trade) Act 2018

The day appointed for the coming into force of the following provisions of the Taxation (Cross-border Trade) Act 2018, so far as not already in force, is IP completion day—

(a)

Part 1 (import duty), other than paragraph 90 of Schedule 7;

(b)

Part 3 (value added tax);

(c)

Part 4 (excise duties).

5Appointed day, saving and transitional provisions – Taxation (Cross-border Trade) Act 2018

Section 5 of the Customs and Excise Duties (General Reliefs) Act 1979f1 shall continue to have effect as it had effect immediately before IP completion day in relation to goods removed to Great Britain from the Channel Islands.

6Appointed day, saving and transitional provisions – Taxation (Cross-border Trade) Act 2018

The amendment made by paragraph 8(1) of Schedule 9 to the Taxation (Cross-border Trade) Act 2018 has no effect in relation to failures, omissions or inaccuracies occurring before IP completion day.

7Appointed day, saving and transitional provisions – Taxation (Cross-border Trade) Act 2018

Any subordinate legislation that was made under any powers that are amended, modified or repealed by or under any provisions of the Taxation (Cross-border Trade) Act 2018 that come into force on IP completion day by virtue of regulation 4(b) shall continue to have effect as it had effect immediately before IP completion day.

8Appointed day, saving and transitional provisions – Taxation (Cross-border Trade) Act 2018

Where EUCL (or any part of it) continues to have effect in relation to a release for free circulation in accordance with Title II of Part 3 of the Agreement on the Withdrawal of the United Kingdom of Great Britain and Northern Ireland from the European Union and the European Atomic Energy Community, the amendment made by paragraph 9 of Schedule 9 to the Taxation (Cross-border Trade) Act 2018 is to be read as if for “Part 1 of the Taxation (Cross-border Trade) Act 2018” there were substituted “Article 201 of Regulation (EU) No 952/2013 of the European Parliament and of the Council of 9 October 2013 laying down the Union Customs Code”f1.

9Appointed day – Taxation (Post-transition Period) Act 2020

The day appointed for the coming into force of the provisions of the Taxation (Post-transition Period) Act 2020, so far as not already in force, is IP completion day, other than paragraph 7(3) of Schedule 2.

Signature

Michael Tomlinson

David Duguid

Two of the Lords Commissioners of Her Majesty’s Treasury

23rd December 2020

Explanatory note

(This note is not part of the Regulations)

These Regulations appoint IP completion day as the day on which various provisions of primary legislation come into force in consequence of the United Kingdom exiting the EU.

Regulation 3 provides that the amendments to the Value Added Tax Act 1994 (c. 23) made by section 126 of the Finance Act 2016 (c. 24) have effect in relation to supplies made, and acquisitions and importations taking place, on or after IP completion day. This changes the rate of value added tax applicable to women’s sanitary products from a reduced rate to a zero-rate.

Regulation 4 brings into force on IP completion day all the provisions of the Taxation (Cross-border Trade) Act 2018 (c. 22), so far as not already in force, except paragraph 90 of Schedule 7 (which relates to the repeal of section 119 of the Customs and Excise Management Act 1979 (c. 2) (delivery of imported goods on giving of security for duty)).

Regulation 5 makes a saving provision in relation to section 5 of the Customs and Excise Duties (General Reliefs) Act 1979 (c. 3), which relates to relief from customs duty of certain goods from the Channel Islands and is repealed by paragraph 123 of Schedule 7 to the Taxation (Cross-border Trade) Act 2018 (c. 22), in relation to goods removed to Great Britain from the Channel Islands.

Regulation 6 prevents the amendment to section 12 of the Finance Act 1994 (c. 9), which relates to assessments of excise duty or penalties, from having any effect in relation to failures, omissions or inaccuracies occurring before IP completion day.

Regulation 7 makes a saving provision in relation to the value added tax provisions that are being brought into force to ensure that existing subordinate legislation made under any amended, modified or repealed provisions will continue to have effect.

Regulation 8 ensures that penalty provisions in Schedule 41 to the Finance Act 2008 (c. 9) continue to have effect where goods are released for free circulation after IP completion day in accordance with the Union Customs Code.

Regulation 9 brings into force on IP completion day all the provisions of the Taxation (Post-transition Period) Act 2020 (c. 26), so far as not already in force, except paragraph 7(3) of Schedule 2.

A Tax Information and Impact Note has not been prepared for these Regulations as they give effect to previously announced policy and are appointed day regulations.