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The Order In Which The Value Added Tax Applicable To Dealings With Of Second-Hand Goods, Works Of Art, Collectors ' Items And Antiques

Original Language Title: Kārtība, kādā pievienotās vērtības nodoklis piemērojams darījumos ar lietotām mantām, mākslas darbiem, kolekciju priekšmetiem un senlietām

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Cabinet of Ministers Regulations No. 292 in 2004 (April 13. No 21, § 5.) the order in which the value added tax applicable to dealings with of second-hand goods, works of art, collectors ' items and antiques are Issued in accordance with the law "on value added tax" in article 2, the fifteenth part i. General questions 1. determines the order in which the value added tax (duty) applicable to dealings with of second-hand goods, works of art, collectors ' items and antiques.
2. use things meaning of these provisions are considered movable corporeal things that are used and valid for future use in the same way without modification, or after a repair and not works of art, collectors ' items or antiques and other than precious stones or precious metals and articles thereof, other than those considered in the law "on State monitoring of the process".
3. For works of art within the meaning of that provision are to be considered as the combined nomenclature of the European Union codes, 9701, and 9702 00 00, 9703 00 00 articles mentioned 6304 5805 00 00. Codes and subjects listed 6304 5805 00 00 must be made by hand by the artist, from not more than eight copies.
4. collectors ' items within the meaning of that provision are to be considered as a European Union code 9704 00 00 of the combined nomenclature and these items. 9705 00 00
5. For the purposes of these rules artefacts are to be considered as a European Union code 9706 00 00 of the combined nomenclature referred to items.
6. Second-hand goods, works of art, collectors ' items and antiques dealer (dealer) are taxable within the meaning of these provisions, which the economic activity is of second-hand goods, works of art, collectors ' items and antiques (hereinafter goods) buying or release for free circulation, to be sold, regardless of whether that person is acting in your own or another person's interests under the agreement, which provides for the purchase or sale of paying brokerage.
7. Second-hand goods, works of art, collectors ' items and antiques seller (hereinafter seller) within the meaning of this provision is a person that domestically or from another Member State of the European Union (hereinafter referred to as the other Member States) supply or transmits goods for sale to a dealer and meet at least one of the following conditions: 7.1. is a person who does not carry out an economic activity;
7.2. is the person who carries out only transactions which are not subject to tax in accordance with the law "on value added tax" 6. the first part of the article or the corresponding legislation of another Member State;
7.3. it is the person who conducts economic activities and is not registered with the State revenue service value added tax taxable persons registered, in accordance with the law "on value added tax" article fifth, 5.1 part or article 26, or which is not taxable in another Member State in accordance with the legislation of another Member State, and which the trader supplies used or transferred to fixed assets;
7.4. is the dealer where the supply of the goods applies tax under the special procedure for applying the tax under these regulations or the relevant legislation of other Member States.
8. Second-hand goods, works of art, collectors ' items and antiques buyer (buyer) the meaning of these provisions is the person to whom the goods dealer.
II. Special or general application of the value added tax arrangements of choice 9. Trader has the right to choose the specific application of the value added tax (hereinafter referred to as the specific arrangements for the application of the tax) or general law "on value added tax" prescribed for the application of the value added tax (hereinafter referred to as the General procedure for applying the tax) for the supply of goods that have been delivered by the seller to the dealer.
10. The dealer has the right to choose the specific duties or the application of the General rules for the application of the tax, no later than one month prior to the delivery of the goods shall submit a State revenue service a written application to the following goods: 10.1. works of art, collectors ' items or antiques by the dealer himself is missed for free circulation;
10.2. the artworks that the trader has been work of art the author or the successor in title of copyright.
11. The merchant selected for the application of this tax provision referred to in paragraph 10, the supply of goods may change after 24 months if he at least a month in advance in the State revenue service submitted a written submission.
12. paragraph 10 of these rules to the supply of goods referred to in the application of selected procedures can start or change with the new tax, the first day of the month of a particular date, specifying in the application.
III. Special procedures for applying the tax For the specific duties 13. rules for the application of the tax to be considered for the application of which is subject to tax on the difference between the consideration received by the trader for the goods delivered to the purchaser and the purchase value. This difference is reduced to a calculated value added tax value.
14. the sales in value, this provision within the meaning of paragraph 13 are all the reward by the dealer for delivery of goods has acquired or will acquire from the purchaser or a third party, including subsidies directly linked to the transaction, taxes, duties and other charges, as well as supplementary payments (e.g., mediation, compensation of packing, transport and insurance).
15. the value of this provision within the meaning of paragraph 13 are all charges which the dealer has paid or will pay to the seller of the goods or works of art to the author or the copyright on the artwork to the transferee, including the transaction directly related subsidies, taxes, fees and other charges, as well as supplementary payments (e.g., mediation, compensation of packing, transport and insurance).
16. If the dealer supply of goods domestically or in the territory of the European Union apply the tax in accordance with the special procedure for applying the tax for the delivery and the law "on value added tax" goods referred to in article 6.2, which is applied, these goods are liable to the tax rate of 18 percent.
17. If the supply of the goods dealer applies the tax under the special rules for the application of the tax, the value added tax return as a taxable transaction value trader indicates only that paragraph 13 of the rules prescribed in the estimated taxable value.
18. If the rules referred to in paragraph 13 of the difference in value is negative, not from the tax is to be calculated.
19. the special procedure for applying the tax does not apply to the supply of the vehicle, which according to the law "on value added tax" in article 31, paragraph 1 shall be considered as new vehicles.
20. If the goods are not sold, but are returned to the seller are taxed all dealer reimbursement received from the seller (including fees for services, products, repair, restoration, transportation).
21. If artwork is not sold, but is returned to the author of a work of art or a successor of copyright are taxed all dealer reimbursement received from the author of a work of art or the successor of copyright (including the service charge, art restoration, repair, transport).
IV. Deduction of input tax 22. Trader tax invoiced to the purchaser an invoice or another on the tax bill to the document does not specify the value of the tax to the supply of goods for which the tax under the special tax arrangements.
23. the purchaser tax on goods purchased shall not be deducted as input tax if the supply of the goods applies tax under special tax arrangements.
24. The dealer on this provision in paragraph 10 the goods paid or payable, the goods for release for free circulation, or paid or payable to the author of works of art or copyright to the transferee, not deducted as input, if the supply of the goods applies tax under special tax arrangements. This tax, the value added tax return shall be indicated as non-deductible input tax, and it is included in the purchase value.
25. If the delivery of goods applies tax under the General procedure for applying the tax for the dealer on this provision in paragraph 10 the goods paid or payable, the goods for release for free circulation, or paid or payable to the author of works of art or copyright, of accepting the report as input tax in the period when the tax is due on the delivery of goods to the buyer.
26. If the delivery of goods applies tax under the special rules for the application of the tax and the value of the input tax on supplies of goods is greater than the calculated tax value, from budget amounts due may be deducted pretax part that does not exceed the calculated tax value.
27. paragraph 26 of these rules laid down in the rules shall not apply to the export of goods.
V. taxation of trade between Member States and third countries to persons

28. Works of art, collectors ' items or antiques which the dealer himself is released for free circulation, the provisions referred to in paragraph 15 of the purchase value is law "on value added tax" in article 2, in the eighth, part of a deal with the goods import tax, taxable value, plus the tax paid or payable on the release of the goods for free circulation.
29. where the export of the goods applies tax under the special procedure for applying the tax for the export of goods, the applicable tax rate of 0.
30. The buyer's acquisition of goods carried out within the European Union does not levy the tax and the buyer does not specify the value added tax return shall, if the delivery of goods from another Member State is made in that Member State of the trader is registered as a taxable person and the supply of the goods in the Member State from which they are sent or transported to Latvia, is the appropriate tax in that Member State in accordance with the existing special procedure for applying the tax for the goods trade. The source document is considered tax bill, which has been prescribed by a dealer in another Member State and which has a mark on it that the supply of goods the duty is applied in the Member State concerned in accordance with the special procedure for applying the tax for the marketing of goods. Tax invoice tax amount is specified separately.
31. The supply of goods in the territory of the European Union for which the tax under the special tax arrangements, the trader does not apply a 0% interest rate, as determined by the law "on value added tax" article 28, first paragraph.
32. The supply of goods for which the tax under the special tax arrangements, the trader does not apply to the conditions applicable to the supply of goods within the European Union.
33. A review of the supply of goods in the territory of the European Community, the trader does not indicate its supplies of goods within the territory of the European Union for which the tax under the special tax arrangements.
Vi. accounting of goods 34. Trader through the purchase or sale of goods by accepting from the seller, art author or copyright, in addition to accepting the contract concluded in the present justification document — — on the purchase of the Act, which contains the following information: the name of the trader and 34.1. the registration number of the State revenue service with value added tax register of taxable persons;
21.3. the merchant's legal address;
21.3. the procurement law number and date;
21.4. the registration number of the purchase accounting register;
34.5. the seller, art author or copyright successor title, taxpayer registration number, if applicable (value added tax — taxable person registration number with the State revenue service value added tax taxable persons register), a natural person: name, surname, personal code or personal identification code, address;
21.5. the description of the item (cars and motorcycles — also make, model year, the chassis number, tare weight, capacity and colour);
21.6. the identification number of the goods (cars and motorcycles — public joint stock company "Road Safety Directorate" car or motorcycle assigned State registration number of other goods, the merchant's assigned number);
21.6. the purchase price of the goods: 34.8.1. product purchase price, excluding value added tax;
34.8.2. value added tax (if any);
34.8.3. item price including value added tax;
21.7. the trader and seller of works of art the author or the successor in title of copyright (signature and transcript).
35. The dealer selling the goods, shall be issued in accordance with the Cabinet of Ministers on 1 July 2003, regulations No 361 "rules for tax and other payment registration electronic devices and equipment" designed for the cash register receipt. If the sales tax under the special procedures for applying the tax receipt indicating the sale price of goods, which includes this provision accordingly paragraph 13, calculated value added tax. Tax value in receipt does not show separately.
36. at each cash register check out the dealer fill in the accounting records.
37. in each point of sale of the goods dealer doing business accounting register of the specific and general application of tax accounting, which contains the following information: 37.1. record date and sequence number;
37.2. the procurement of a number;
37.3. the procurement provisions specified in the counterparty (the seller, the artwork the author or the successor in title of copyright);
37.4. a description of the item (cars and motorcycles — also make, model year, the chassis number, tare weight, capacity and colour);
37.5. identification number of the goods (cars and motorcycles — public joint stock company "Road Safety Directorate" car or motorcycle assigned State registration number of other goods, the merchant's assigned number);
23.4. the purchase price of the goods: 37.6.1. product purchase price, excluding value added tax;
37.6.2. value added tax (if any);
37.6.3. item price including value added tax;
37.7. special procedures for applying the tax: 37.7.1. date of sale;
37.7.2. receipt number;
37.7.3. sales prices;
37.7.4. the difference between the purchase price and the sale price;
37.7.5. the tax due;
23.5. the General procedure for applying the tax: 37.8.1. date of sale;
37.8.2. receipt number;
37.8.3. sales price without value added tax;
37.8.4. value added tax;
23.5. the goods returns: 37.9.1. the date on the document that the goods are returned;
37.9.2. the number of the document that the goods are returned;
37.9.3. the remuneration received by the trader from the seller or the author of a work of art, or the successor of copyright, without value added tax;
37.9.4. value added tax;
37.10. buyer name, taxpayer registration number, if applicable (value added tax — taxable person registration number with the State revenue service value added tax taxable persons register), a natural person: name, surname, personal code or personal identification code, address.
VII. Other obligations of the trader 38. Submitting the State revenue service value added tax return for the tax period, the dealer also gives details of a particular salesperson paid sums of money under the Cabinet of Ministers of 2 May 2000, the regulations No 166 "regulations on individual income tax returns and notices".
39. in calculating the merchant's taxable supplies of goods and the total value of the services provided in accordance with the law "on value added tax" article 3, third, 5.1 or 5.2, the procedure laid down in part to the supply of goods for which the tax under the special procedures for applying the tax for the delivery of the goods taken into account (the purchaser of the goods) value without tax, rather than the rule laid down in paragraph 13 the taxable value.
VIII. Closing questions 40. Be declared unenforceable in the Cabinet of Ministers of 6 February 2001, Regulation No 48 "procedures of value added tax-taxable brokerage (Commission) consideration of a Commission commodity trade" (Latvian journal, 2001, nr. 23).
41. the rules shall enter into force on 1 May 2004.
Informative reference to European Union directive rules included provisions deriving from Council of 14 February 1994, Directive 94/5/EC supplementing the common system of value added tax and amending Directive 77/388/EEC-special arrangements applicable to second-hand goods, works of art, collectors ' items and antiques.
Prime Minister i. Emsis Finance Minister o. Spurdziņš Editorial Note: rules shall enter into force on 1 May 2004.