The following Value Added Tax guidance note Produced by Tolley provides comprehensive and up to date tax information covering:
This guidance note provides an overview of the definition of what constitutes a supply of goods and the associated VAT treatment. Please see the Supplies of services guidance note for more information on supplies of services.
The following are regarded as supplies of goods:
transactions where title to the whole goods immediately transfers to the recipient (VATA 1994, Sch 4, para 1(1)). However, on occasion it may not be completely clear whether title will immediately transfer so businesses should do the following:
ascertain the intention of the parties
review the wording contained in any agreements
study the conduct of the parties involved
the transfer of possession where an intention to transfer title to the recipient is contemplated at some point in the future. Depending on the nature of the agreement there can be one or two supplies – a single supply of goods at the outset, eg hire purchase, or a supply of services (hire) and a later separate supply of goods (VATA 1994, Sch 4, para 1(2))
the supply of power, heat, refrigeration or ventilation. This does not include the hire of equipment used to provide these goods. (VATA 1994, Sch 4, para 3).
supply of a major interest in land and property (freehold interest or long leasehold interest of over 21 years) or in Scotland the dominium utile. See the Overview of VAT and property issues guidance note for more information.
the grant or assignment of any interest in, right over or licence to occupy the land concerned otherwise than for a consideration (VATA 1994, Sch 4, para 9)
disposing of business assets (VATA 1994, Sch 4, para 5(1)). Includes the following:
the sale of assets (eg fixed assets)
assets that are taken permanently into private use
assets given away. The supply of business gifts and industrial samples are excluded provided certain conditions are met (VATA 1994, Sch 4, para 5(2)(3)).
transfers of own goods between EU member states (VATA
**Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason.
Access this article and thousands of others like it free for 7 days with a trial of TolleyGuidance.
Read full article
Already a subscriber? Login
This guidance note explains the general rules surrounding the availability of indexation allowance on the disposal of company assets and provides information on the rebasing rules for assets held on 31 March 1982. For an overview of the general position regarding company disposals, please refer to
From 6 April 2015, an individual can elect to transfer 10% of the personal allowance (£1,250 in 2020/21 and 2019/20) to the spouse or civil partner where neither party is a higher rate or additional rate taxpayer. The legislation calls this the ‘transferable tax allowance’ but the GOV.UK website
This guidance note provides details of quarterly instalment payments (QIPs) for corporation tax purposes and which companies need to pay their tax liabilities in this manner.Generally, corporation tax is payable nine months and one day after the end of the relevant accounting period. However, large
Why is this important?Tax-free amountEach individual, whether or not they are resident in the UK, is entitled to an annual exempt amount when calculating the taxable amount of their chargeable gains for the tax year (although see the exceptions below). The annual exempt amount is also known as the
To view our latest tax guidance content, sign in to Tolley Guidance or register for a free trial.