Page 161 - Sothebys Chinese Art St. George St London May 2018

located beside the lot number or the upon export - see ‘Exports from the of the sale. Sotheby’s must be provided 6. VAT REFUNDS FROM HM
pre-sale estimates in the catalogue (or European Union’. However, buyers who are with the appropriate proof of export REVENUE AND CUSTOMS
amending sale room notice). not intending to export their property from immediately after export of the goods. Where VAT charged cannot be cancelled or
the EU should notify our Client Accounts
1. PROPERTY WITH NO VAT SYMBOL Property with a ಳ symbol refunded by Sotheby’s, it may be possible
Department on the day of the sale and the The VAT charged upon the hammer price to seek repayment from HM Revenue and
Where there is no VAT symbol, Sotheby’s property will be re-invoiced showing no VAT may be refunded provided the purchaser Customs. Repayments in this manner
is able to use the Auctioneer’s Margin on the hammer price (see ‘Property sold resides outside of the United Kingdom are limited to businesses located outside
Scheme and VAT will not normally be with no VAT symbol’ above). and the property is exported from the EU the UK.
charged on the hammer price.
4. PROPERTY SOLD WITH within 3 months of the sale. Sotheby’s Claim forms are available from:
Sotheby’s must bear VAT on the buyer’s A ಴ OR ˖ SYMBOL must be provided with the appropriate
premium and hence will charge an amount proof of export immediately after export of HM Revenue and Customs
in lieu of VAT at the standard rate on this These items have been imported from the goods. VAT Overseas Repayments Unit
premium. This amount will form part of the outside the EU to be sold at auction under PO Box 34, Foyle House
buyer’s premium on our invoice and will not Temporary Admission. When Sotheby’s Property with a ಴ or a ˖ symbol Duncreggan Road, Londonderry
be separately identiÞ ed. A limited range of releases such property to buyers in the The Temporary Admission VAT charged on Northern Ireland, BT48 7AE
goods, including most books, are not liable UK, the buyer will become the importer the hammer price may be refunded under Tel: +44 (0)2871 305100
to VAT and therefore no amount in lieu of and must pay Sotheby’s import VAT at the the following circumstances:- Fax: +44 (0)2871 305101
VAT will be added to the premium. following rates on the hammer price: • Sotheby’s is instructed to ship the enq.oru.ni@hmrc.gsi.gov.uk
Please see ‘Exports from the European ಴ - the reduced rate property to a place outside the EU 7. SALES AND USE TAXES
Union’ for the conditions to be fulÞ lled ˖ - the standard rate • The property is hand carried from the UK
before the amount in lieu of VAT on the directly outside the EU and Sotheby’s pre Buyers from outside the UK should note
You should also note that the appropriate
buyer’s premium may be cancelled or rate will be that in force on the date of lodge the export entry with HMRC that local sales taxes or use taxes may
refunded. • The VAT liability is transferred to your become payable upon import of items
collection of the property from Sotheby’s
(VAT-registered buyers from within the and not that in force at the date of the sale. shipper’s own Temporary Admission or following purchase (for example, the Use
European Union (EU) should note that the Customs Warehouse arrangement prior to Tax payable on import of purchased items
These lots will be invoiced under the
amount in lieu of VAT contained within the margin scheme. Sotheby’s must bear collection from Sotheby’s to certain states of the USA). Buyers should
buyer’s premium cannot be cancelled or Under all other circumstances obtain their own advice in this regard.
VAT on the buyer’s premium and hence
refunded by Sotheby’s or HM Revenue and will charge an amount in lieu of VAT at Sotheby’s is required to complete the Sotheby’s is registered to collect sales
Customs.) importation and pay the VAT due to HM tax in the states of New York and California,
the standard rate on this premium. This
Buyers requiring an invoice under the amount will form part of the buyer’s Revenue and Customs prior to the property USA. In the event that Sotheby’s ships
normal VAT rules, instead of a margin leaving its premises and so a VAT refund items for a purchaser in this sale to a
premium on our invoice and will not be
scheme invoice, should notify the Post separately identiÞ ed. will not be possible. destination within New York State USA, or
Sale Service Group or the Client Accounts California State USA, Sotheby’s is obliged
(VAT-registered buyers from the EU Proof of export required
Department on the day of the auction and should note that the import VAT charged • for lots sold under the margin scheme to collect the respective state’s sales or
an invoice with VAT on the hammer price use tax on the total purchase price and
on property released in the UK cannot (no VAT symbol) or the normal VAT rules
will be raised. Buyers requiring reinvoicing be cancelled or refunded by Sotheby’s, (ಳ symbol), Sotheby’s is provided with shipping costs, including insurance, of such
under the normal VAT rules subsequent items, regardless of the country in which
however you may be able to seek appropriate documentary proof of export
to a margin scheme invoice having been repayment) by applying to HM Revenue from the EU. Buyers carrying their own the purchaser resides or is a citizen. Where
raised should contact the Client Accounts the purchaser has provided Sotheby’s with
and Customs - see ‘VAT Refunds from HM property should obtain hand-carry papers
Department for assistance. a valid Resale Exemption CertiÞ cate prior
Revenue and Customs’) from the Shipping department to facilitate to the release of the property, sales and use
(VAT-registered buyers from the UK this process.
2. PROPERTY WITH A ಳ SYMBOL tax will not be charged. Clients to whom
should note that the invoice issued by • for lots sold under Temporary Admission
These items will be sold under the normal Sotheby’s for these items is not suitable (಴ or ˖ symbols), and subsequently this tax might apply are advised to contact
UK VAT rules and VAT will be charged at the evidence in respect of import VAT.) transferred to Sotheby’s Customs the Post Sale Manager listed in the front of
standard rate on both the hammer price On request, immediately after sale, the Warehouse (into Bond). The property this catalogue before arranging shipping.
and buyer’s premium. Temporary Admission Department can must be shipped as described above in the
Please see ‘Exports from the European either ask HM Revenue and Customs to paragraph headed Property with a ಴ or a ˖
Union’ for the conditions to be fulÞ lled generate a C79 certiÞ cate (for UK buyers), symbol. CONDITIONS OF BUSINESS
before the VAT charged on the hammer or obtain a copy of the import C88 (for • buyers carrying their own property FOR BUYERS
price may be cancelled or refunded. other EU VAT registered buyers), which must obtain hand-carry papers from the The nature of the relationship between
(VAT-registered buyers from other EU may be used to claim recovery of the VAT. Shipping Department for which a small Sotheby’s, Sellers and Bidders and the
countries may have the VAT cancelled or Otherwise Sotheby’s may re-invoice the lot administrative charge will be made. The terms on which Sotheby’s (as auctioneer)
refunded if they provide Sotheby’s with as if it had been sold with a ಳ symbol and VAT refund will be processed once the and Sellers contract with Bidders are set
their VAT registration number and evidence charge VAT at the standard rate on both the appropriate paperwork has been returned out below.
that the property has been removed from hammer price and premium and provide to Sotheby’s. Bidders’ attention is speciÞ cally drawn to
the UK within three months of the date of a tax invoice to the buyer. This may enable • Sotheby’s is not able to cancel or refund Conditions 3 and 4 below, which require
sale. The evidence of removal required a buyer who is VAT registered elsewhere any VAT charged on sales made to UK them to investigate lots prior to bidding
is a certiÞ cate of shipment or, if the lots in the EU to avoid payment of VAT in the or EU private residents unless the lot is and which contain speciÞ c limitations and
were carried by hand, proof of travel and United Kingdom. Re-invoicing in this way subject to Temporary Admission and the exclusions of the legal liability of Sotheby’s
completion of a form available from the may make the lot ineligible to be re-sold property is exported from the EU and and Sellers. The limitations and exclusions
Post Sale Service Group. using the margin scheme. the requisite export papers provided to
relating to Sotheby’s are consistent with
Sotheby’s will transfer all lots sold Sotheby’s within one month of collection of
3. PROPERTY WITH A ˞ SYMBOL its role as auctioneer of large quantities
subject to Temporary Admission to its the property.
of goods of a wide variety and Bidders
Items sold to buyers whose address is in Customs warehouse immediately after • Sotheby’s is not able to cancel or refund should pay particular attention to these
the EU will be assumed to be remaining sale. any VAT charged on sales to UK or EU Conditions.
in the EU. The property will be invoiced private residents unless the lot is subject
as if it had no VAT symbol (see ‘Property 5. EXPORTS FROM THE to Temporary Admission and is shipped as 1. INTRODUCTION
EUROPEAN UNION
with no VAT symbol’ above). However, if described above. (a) Sotheby’s and Sellers’ contractual
the property is to be exported from the The following amounts of VAT may be Buyers intending to export, repair, relationship with prospective Buyers is
EU, Sotheby’s will re-invoice the property cancelled or refunded provided Sotheby’s restore or alter lots sold under Temporary governed by:
under the normal VAT rules (see ‘Property receive the appropriate export documents Admission (಴ or ˖ symbols) and therefore (i) these Conditions of Business;
sold with a ಳ symbol’ above) as requested within the time limits stated: transferred to Customs Warehouse after (ii) the Conditions of Business for Sellers
by the seller. Property with no VAT symbol (see sale should notify the Shipping Department displayed in the saleroom and which are
Items sold to buyers whose address paragraph 1) before collection. Failure to do so may available upon request from Sotheby’s UK
is outside the EU will be assumed to be The amount in lieu of VAT charged on result in the import VAT becoming payable salerooms or by telephoning +44 (0)20
exported from the EU. The property will be Buyer’s Premium may be refunded immediately and Sotheby’s being unable to 7293 6482;
invoiced under the normal VAT rules (see provided the purchaser resides outside refund the VAT charged on deposit. (iii) Sotheby’s Authenticity Guarantee as
‘Property sold with a ಳ symbol’ above). of the United Kingdom and the property printed in the sale catalogue;
Although the hammer price will be subject is exported from the EU within 3 months (iv) any additional notices and terms
to VAT this will be cancelled or refunded
ST GEORGE STREET SALE: CHINESE ART 159