PE68300 - Other Partial Exemption issues: Movement of own goods: Accounting for VAT

On importation to NI the goods will be subject to import VAT which may be recovered as input tax, subject to the appropriate recovery rate. The original irrecoverable VAT in GB can then be recovered either as part of the longer period adjustment, or, if the movement was after the end of the tax year in which the irrecoverable VAT was incurred, this can be recovered in the same VAT return.

There should be a net nil result in input tax claimed on the original purchase and the output VAT declared in NI. Please see the example in PE68400.

It should be noted that the value of these goods is excluded from the apportionment ratio in both the Standard Method and a Special Method because the movement of the assets is not an actual supply.