HL Deb 06 June 2000 vol 613 cc143-4WA
Lord Lucas

asked Her Majesty's Government:

What advice they make available to businesses as to their VAT liability on sales of information in electronic form over the Internet, and, in particular, as to how it should be established that "goods" have been exported outside the United Kingdom for VAT purposes; where a member of the public may find such advice; and whether the VAT enquiry lines provide the answers to the previous questions. [HL2647]

Lord McIntosh of Haringey

There are no special rules for supplies over the Internet. Goods ordered over the Internet and delivered physically are treated like any other supply of goods; and supplies delivered electronically are treated as supplies of services. Information on supplies of goods and services are contained in the VAT General Guide (Notice No. 700). Information about supplies of services traded internationally is covered inPlace of Supply of Services (Notice No. 741). Information on VAT and the export of goods is published in Exports (Notice No. 703). Proof of export will normally be satisfied through commercial documentation.

Public Notices and information on the whole range of VAT issues are freely available from Customs & Excise Business Advice Centres. In order to assist businesses, especially small and medium-sized enterprises. HM Customs & Excise are in the process of developing a site on the Internet which will provide a wide range of information to help business understand the VAT implications of trading electronically.

Lord Lucas

asked Her Majesty's Government:

What advice they make available to businesses as to their VAT liability on sales of books where the selling price of the book includes a right of access to the same information on the Internet; where a member of the public may find such advice; and whether the VAT enquiry line provide the answers to the previous questions. [HL2648]

Lord McIntosh of Haringey

Printed books are zero-rated for VAT purposes. If the rights supplied are incidental to the supply of the book, the whole supply will be zero-rated. A separate supply of rights would take its own liability.

Information on VAT is available through local Customs & Excise Business Advice Centres.