Valuation ― special rules

By Tolley

The following Value Added Tax guidance note by Tolley provides comprehensive and up to date tax information covering:

  • Valuation ― special rules
  • Goods ― acquisitions from other EU member states
  • Importing goods
  • Reverse charge services
  • Connected persons
  • Non-business use of services supplied to a business
  • Supplies of goods for no consideration
  • Direct selling
  • Discounts
  • Tokens, stamps and vouchers
  • Supplies of long-term accommodation at a reduced rate
  • Supplies of catering and accommodation by employers to employees
  • Machine games
  • Use of stock in trade cars for less than market value
  • Motor dealer deposit contributions
  • Group supplies using an overseas member
  • Summary

This guidance note provides an overview of the special valuation rules that are applied to certain types of transactions. This note should be read in conjunction with the Consideration, Consideration ― specific situations and Valuation ― introduction guidance notes.

The general rules regarding the valuation of goods and services supplied for VAT purposes are outlined in the Valuation ― introduction guidance note but are subject to any of the special valuation rules outlined below. If there is any conflict between the special valuation rules explained below then the business needs to use the following order of preference of the special valuation rules in order to apply the correct valuation to the goods / services supplied.

VATA 1994, s 19(1)
Special valuation ruleOrder of preference
(a) Provisions other than those contained in VATA 1994, Sch 6. Comprising of:Acquisitions from other EU member states ― VATA 1994, s 20, Sch 7
 Imports ― VATA 1994, s 21
 Machine games takings ― VATA 1994, s 23

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