Basic interventions: output tax interventions: refusing zero rating of dispatches and exports where there is connection with fraud: basic conditions
The basic conditions for zero-rating exports are contained in Notice 703, whilst Notice 725 provides the conditions for zero-rating intra-EU supplies (dispatches). There is also guidance contained in the VAT Export guidance manual.
Before deciding to refuse zero-rating of dispatches / exports you should read VEXP70400. It is also advisable to read VEXP90000 which deals with assessments and adjustments to disallow zero-rating.
If the fundamental conditions for zero-rating of dispatches/exports have been complied with, it may still be possible to challenge the zero-rating where: