Value Added Tax Act 1994 section 43

Application of section 43 (company groups) to goods in Northern Ireland

Section 43 and Schedule 9ZB paragraph 31 set out a restriction on the VAT grouping rules as they apply to supplies of goods located in Northern Ireland.

• Under normal VAT grouping rules, supplies of goods and services between members of the same VAT group are disregarded for VAT purposes.
• This disregard does not apply to goods that are physically in Northern Ireland at the time of supply, unless both the supplier and recipient have a business or fixed establishment in Northern Ireland.
• If either party lacks a Northern Ireland establishment, the supply of goods located there is treated as a normal taxable supply, even though both parties are in the same VAT group.
• This rule reflects Northern Ireland's unique position under the Windsor Framework, where EU single market rules for goods continue to apply.