The auctioneers’ scheme: Terms used in Section 7 to 12 of Notice 718
For the purposes of the auctioneers’ scheme, definitions of some of the terms used in this section and in Notice 718/2 The VAT Auctioneers’ Scheme are as follows.
|### Term used||### Definition|
|Vendor||Sells eligible goods directly to the auctioneer.|
|Buyer||Purchases eligible goods directly from the auctioneer.|
|Hammer price||The amount of the last bid accepted by the auctioneer on the fall of the hammer - signifying the end of the sale for each lot.|
|Vendor’s commission||The amount charged to the vendor of the goods, based on an agreed percentage of the hammer price.|
|Buyer’s premium||The amount charged to the buyer of the goods, based on an agreed percentage of the hammer price.|