Policy paper
Revenue and Customs Brief 5 (2018): VAT liability on goods supplied on approval
This brief explains HMRC's policy on goods supplied on approval, and the VAT liability of the delivery charges for these goods.
Documents
Details
This brief should be read by mail order retailers and anyone supplying goods delivered on approval.
HMRC has reviewed the guidance in this area and concluded that in guidance (VRS9150) the statement ‘normally’, in that mail order retailers ‘normally supply goods on approval terms’ is not correct. Such companies may supply goods on approval terms but often this will not be the case.