VAT Regulations

COMMENT: So we finally have a ruling from the VAT tribunal but it is not good news.

Exhibitors at British showground fairs must pay 20% VAT on pitch rentals, a tribunal has decided.

The tribunal that will decide if British showground fairs must charge 20% VAT on pitch rentals will go ahead on February 10-12.

Auction houses who refund VAT on the buyer’s premium to overseas purchasers without ensuring that the correct paperwork is in place could find themselves liable for the tax themselves.

The French art world has welcomed their government’s decision to cut, rather than increase, the rate on tax for works imported in to France from outside the EU.

Campaigners against changes in VAT that affect showground fairs met for the first time at a crisis summit in London. They now intend to form a trade federation to fight the changes.

Nelson Events and IACF have announced that they will start charging reduced rate VAT on stands at their fairs from October 1. In a letter to ATG this week, they explain why they have been forced into this move, albeit reluctantly.

Fair organisers IACF say they may be forced to charge dealers VAT on stalls this year – even as they launch a legal appeal against new Revenue rules demanding the levy.

Dealers standing at fairs across the UK will soon face a 20% rise in stall rents as HM Revenue & Customs enforce new VAT rules.

Changes to the temporary import VAT scheme this month could have a major impact on dealers’ cash flow if they do not complete the necessary paperwork soon.

A new and alarming scam guide is targeting the trade with demands linked to European Union regulations and focusing on VAT.

DO light, sound and video installations constitute works of art? Not according to the European Commission, who have unexpectedly reversed a decision made in a UK tax tribunal in 2008, and refused to classify works by established contemporary artists Dan Flavin (b.1933) and Bill Viola (b.1951) as “art”.

CECIL Court, the pedestrian thoroughfare in the West End of London that is home to around 20 antiquarian book dealers, has become the focus of a wider political debate on business rates.

THE petition to persuade the Government to ease business rates in support of the art and antiques industry is gathering momentum.

THE appeal of Paris as an auction centre for jewellery received a boost at the start of the year, when France slashed import VAT on “rare” or “high value” jewellery from 19.6 per cent to 5.5 per cent.

VIDEO art and other installations now legally count as sculpture for import purposes after a court ruling in a dispute over VAT.

The decision to scrap the UK discount on import VAT for works of art bought at auction comes into effect on September 1.

THE European Court of Human Justice has scrapped the UK discount on import VAT for works of art in relation to auctioneers' commissions.

A POSSIBLE hike in import VAT linked to works of art sold in the UK is not the threat some fear, says British Art Market Federation chairman Anthony Browne.

In addition to the implementation of VAT on seller fees reported in last week’s issue, eBay will introduce a number of substantial price increases from July 1. Most likely to upset eBay users is the imposition of a 1% charge on items carrying reserves in excess of £100. Previously that fee was just a flat rate of £1.20.