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Practical Handbook VAT 2021

Sale of the goods to a person other than the initial or replacement consignee

Where, within 12 months of the arrival of the goods in the Member State of destination under an agreement for the sale of goods on consignment, the goods are acquired by a person other than the initial consignee or substitute consignee, the transaction is treated as a supply of goods for consideration within the territory in which the tax is charged.

Conversely, in the case of goods transferred from another Member State to the territory of application of the tax under a consignment-sale agreement, where, within 12 months of the arrival of the goods in that territory under a consignment-sale agreement, they are acquired by a person other than the original or substitute recipient, there is an intra-Community acquisition of goods in the territory of application of the tax.