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UK consultation on law to clarify LVCR

18 March 2014

Her Majesty's Revenue and Customs have issued a consultation calling for a public response to a draft amendment which clarifies low value consignment relief (LVCR) restrictions.

The order amendment aims to ensure that the exclusion of the relief from VAT on the importation of goods from the Channel Islands is limited to goods imported by mail order.

A tax information and impact note covering this instrument will be published on the HMRC website.

Link to the consultation

In 2012, the UK High Court ruled that the UK’s proposed changes to LVCR were consistent with EU VAT law. From 1 April that year VAT was applied to all commercial consignments from the Channel Islands, regardless of value.

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