Exports

For Value-Added Tax (VAT) purposes, exports are goods directly dispatched to a destination outside the European Union (EU) VAT area.

The term 'EU VAT area' refers to the EU, except for certain excluded territories, which are not regarded as being part of the EU for VAT purposes

Further guidance contains more detailed information on these excluded territories.

What rate of VAT applies to exports?

The zero rate of VAT applies to:

• supplies of goods that are transported directly by, or on behalf of, the supplier, to a destination outside the EU VAT area.
• supplies of goods that are to be dispatched or transported directly outside the EU VAT area by, or on behalf of, the purchaser of the goods, where that purchaser is established outside the State.

Evidence of export of goods for VAT

The supplier of exported goods must ensure that the goods have left the EU.

The following may be regarded as evidence that the goods have left the EU:

• Where a business uses its own vehicles to transport goods outside the EU, this is regarded as an export of goods. Evidence that goods have left the EU would include the export notification message (IE599) that was issued to the exporter.
• Where goods are exported by sea, by a carrier acting on your behalf, you should obtain evidence of export from the shipping company. Evidence that goods have left the EU could include a copy bill of lading, certificate of shipment, or shipping advice.
• Where goods are exported by air, by a carrier acting on your behalf, you should obtain evidence of export from the airline. Evidence that goods have left the EU could include a signed copy of the air waybill with flight details added.
• In the case of goods exported by post, you should obtain certificates of posting from the post office of dispatch. If you use a post book, you should have it properly stamped by the dispatch post office official.

In all cases, the full name and full address of the consignee must be clearly shown.

Exports to certain international bodies

The supply of goods or services to certain international bodies can be treated as exports.

The supplies must be within the limits and conditions prescribed by the conventions establishing the bodies. Further limits and conditions may also be set by the agreements between the body's headquarters and the host Member State of the headquarters.