Replacement of the initial recipient of the transferred goods
The new regulation allows the replacement of the initial consignee by another trader or professional within 12 months of the arrival of the goods in the Member State of destination, provided that the following conditions are met:
That the seller includes the substitution in the register of certain intra-Community transactions and in the recapitulative declaration of intra-Community transactions.
The other conditions set out under "B) Concept of consignment agreement" (in particular, the existence of a consignment agreement between the seller and the substitute) are fulfilled.
Where, within twelve months of the arrival of the goods in the Member State of destination under an agreement for the sale of goods on consignment, the substitute acquires the power of disposal of the goods, a supply of goods shall be deemed to have taken place in the territory of application of the tax to which the exemption provided for in Article 25 of the VAT Law shall apply.
From the other perspective, 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, the substitute acquires the power of disposal of the goods, an intra-Community acquisition of goods shall be deemed to have taken place in the territory of application of the tax.
The substitution shall be included in the recapitulative declaration of intra-Community transactions and in the register of certain intra-Community transactions.