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HMRC internal manual

VAT Registration

Registration in respect of relevant supplies: introduction

This section is about registration under the VAT Act 1994, Schedule 3A. This legislation was enacted primarily for anti-avoidance purposes and, since its introduction in the Finance Act 2000, the activities which created a need for it have largely ceased.

The purpose of Schedule 3A is to prevent a person avoiding accounting for VAT by reclaiming VAT through the Eighth or Thirteenth Directive and then transferring the goods to a different person to dispose of them free of VAT. You can find more information about Eighth and Thirteenth directive refunds in VROBP. (External readers can access this guidance at

Schedule 3A is fairly self-contained legislation in which certain provisions are subject to definitions exclusive to the schedule.