ICAs of alcohol products
In the case of intra-Community acquisitions of alcohol, Value-Added Tax (VAT) is payable at the same time as the excise duty is payable in the State. The VAT is chargeable on the invoiced price of the goods increased by the amount of the excise duty payable.
What is the duty suspension arrangement?
In general, VAT is not chargeable on the supply of alcohol products while held under a duty suspension arrangement. This is generally the case, regardless of the source (imports, European Union (EU) intra-Community acquisitions or home produced).
The supply of alcohol products while held under duty suspension does not constitute a supply for VAT purposes. Rather the final supply is subject to VAT. The VAT is payable along with the excise duty. This happens at the time the goods are removed from duty suspension. Any previous supply, EU intra-Community acquisition or importation, should be disregarded.
The VAT due on such final supply will not be chargeable on the VAT invoice issued at the time of supply. It will, instead, be payable with the excise duty by the owner at the time of the removal of the goods from duty suspension.
Where alcohol products are supplied while held under a duty suspension arrangement:
- VAT should not be charged by the supplier.
- VAT should not be shown on any invoice issued in respect of the supply.
Further guidance contains more detailed information on the ICAs of alcohol products.
Next: Acquisitions of new means of transport from another Member State
Published: 03 October 2018
Acquisitions of new means of transport from another Member State
If you purchase a new means of transport from another EU Member State and bring it into the State, it will be subject to Irish VAT. A new means of transport can be either a motor vehicle, vessel or aircraft. The table below sets out the relevant specifications.
| Transport | Specification | ‘New’ |
|---|---|---|
| Motor vehicle | Over 48cc or over 7.2kw power | 6 months old or less, or travelled 6,000km or less |
| Marine vessel | Over 7.5 metres in length | 3 months old or less, or sailed for 100 hours or less |
| Aircraft | Over 1,550kg take-off weight | 3 months old or less, or flown for 40 hours or less |
When does VAT become payable on new means of transport?
New motor vehicles
The VAT on the acquisition of a new motor vehicle is normally payable with the Vehicle Registration Tax (VRT) by:
- private individuals.
- other persons not entitled to reclaim VAT.
If no VRT applies, VAT is payable not later than the 15th day of the month following that in which the intra-Community acquisition occurs.
New vessels and aircraft
The VAT on the acquisition of a new vessel or aircraft is payable to the local Customs office by:
- private individuals.
- other persons not entitled to reclaim VAT.
The VAT is payable not later than three days after the date of arrival in the State.
Accountable Persons
Accountable persons who are entitled to reclaim VAT on the acquisition of a new means of transport must account for the VAT through their VAT return.
Published: 03 October 2018
