Introduction Definitions
2.This section contains various definitions of terms which are used in Part 6A such as “controlled liquor”, “wholesale”, “excluded sales” etc.
3.Subsections (2) and (3) define when a sale is a sale of “controlled liquor” and when it is sold “wholesale”. The sale of the alcohol must be to a buyer carrying on a trade or business for sale in the course of that business. Controlled liquor is not sold wholesale if it is an incidental sale, a group sale or an excluded sale.
4.Subsections (4) and (5) define an incidental sale as a wholesale sale made by an authorised retailer that is incidental to its retail sales. An authorised retail sale is one that is made in accordance with the requirements under a retailer’s alcohol licence or similar authorisation.
5.Subsection (6) defines “group sales” as sales that take place between a seller and a buyer who are both corporate bodies themselves and are members of the same group.
6.Subsection (7) allows for HMRC to prescribe by or under regulations for certain sales to be “excluded sales”.
7.Subsection (8) defines “controlled activity” as selling, offering or exposing for sale or arranging to sell alcohol wholesale.
8.Subsection (9) defines a “UK person” as someone who for the purposes of VAT is UK based, i.e. has a business establishment or some other fixed establishment in the UK.