Goods and services for the official use of entitled missions: supplies of goods and services from other EU Member States
Under Article 151 of the Principal VAT Directive EC/2006/112 (formerly Article 15.10 of 77/388/EEC), supplies of goods and services from other EU Member States to diplomatic missions and International Organisations, when for the official use of the entitled mission, may be relieved of VAT.
For goods and services (other than for alcohol and tobacco goods)
The entitled mission purchasing the goods and/or services must complete the Article 151 Exemption certificate to claim entitlement to VAT relief under Article 151 of the Principal VAT Directive EC/2006/112 (formerly Article15.10 of 77/388/EEC). The certificate should be signed by the Head of the Mission and forwarded to the supplier in the other Member State prior to the supply taking place. The supplier should retain the certificate as proof of a legitimate VAT free supply.
For alcohol and tobacco goods
For purchases of alcohol and tobacco goods from an approved tax warehouse in another EU Member State the certificate must first be authorised by the Foreign and Commonwealth Office. This should then be sent to the tax warehouse prior to the supply taking place. All alcohol and tobacco goods are subject to FCO prior authorisation and limits.
Supplies of goods and services by a UK VAT registered business
Similarly, a supply of goods or services by a UK VAT registered business may be made without VAT when made to an entitled mission in another EU Member State for that Mission’s official use. A completed certificate of exemption of the host Member State, signed by the Head of the Mission, should be provided to the UK business prior to the supply taking place. Goods should be removed directly from the UK business address to the official mission premises in the other EU Member State.
For the acquisition of a new means of transport see DIPPRIV6400.
The certificate of exemption is available from the VAT International Team.