12 Goods imported for benefit of disaster victims

(1) Subject to paragraphs (2) to (8), tax shall not be charged on—

(a) goods, other than building materials or equipment intended for rebuilding disaster areas, imported by State organisations, or charitable or philanthropic organisations, approved of by the Revenue Commissioners for the purposes of this Regulation—

(i) for distribution free of charge to victims of natural disasters affecting the territory of any Member State of the Community, or

(ii) for making available free of charge to the victims of such disasters, while remaining the property of the importer,

or

(b) goods imported by disaster-relief agencies in order to meet their needs during the period of their activity in connection with such disasters.

(2) The granting of relief under paragraph (1) shall be subject to a decision by the Commission of the European Union, acting at the request of the State or other Member States concerned in accordance with an emergency procedure entailing the consultation of the other Member States provided that, pending notification of the Commission’s decision, the Revenue Commissioners may grant relief under paragraph (1) subject to an undertaking by the organisation concerned to pay the relevant tax if relief is not granted.

(3) Entitlement to relief under this Regulation may be granted only to disaster-relief organisations whose accounting procedures enable the Revenue Commissioners to supervise their operations and which provide such security as the Revenue Commissioners may consider necessary.

(4) The organisations benefiting from relief under paragraph (1) shall not lend, hire out or transfer, whether for a consideration or free of charge, the goods referred to in that paragraph under conditions other than those laid down in that paragraph except in special cases justified by the circumstances and with the prior sanction of the Revenue Commissioners provided that—

(a) goods may be lent, hired out or transferred to an organisation itself entitled to benefit from relief under this Regulation where that organisation uses the goods for purposes specified in paragraph (1), and

(b) goods the subject of relief under this Regulation which are lent, hired out or transferred otherwise than in accordance with the preceding provisions of this paragraph shall be subject to prior payment of tax, at the rate applying on the date of the loan, hiring out or transfer, on the basis of the type of goods and the value for the purposes of tax chargeable at importation ascertained or accepted on that date by the Revenue Commissioners.

(5) The goods referred to in paragraph (1)(a)(ii), after they cease to be used by disaster victims, may not be lent, hired out or transferred, whether for a consideration or free of charge, except in special cases justified by the circumstances and with the prior sanction of the Revenue Commissioners provided that—

(a) goods may be lent, hired out or transferred to an organisation itself entitled to benefit from relief pursuant to paragraph (1) or, if appropriate, to an organisation entitled to benefit from relief pursuant to Regulation 10(1)(a) where such organisations use them for the purposes specified in paragraph (1) or Regulation 10(1)(a),

(b) goods the subject of loan, hiring out or transfer otherwise than in accordance with subparagraph (a) shall be subject to payment of tax, at the rate applying on the date of the loan, hiring out or transfer, on the basis of the type of goods and the value for the purposes of tax chargeable at importation ascertained or accepted on that date by the Revenue Commissioners.

(6) Organisations referred to in paragraph (1) which cease to fulfil the conditions giving entitlement to relief or which propose to use such goods for purposes other than those provided for by that paragraph shall so inform the Revenue Commissioners.

(7) In the case of goods remaining in the possession of organisations which cease to fulfil the conditions giving entitlement to relief under this Regulation when these are transferred to an organisation itself entitled to benefit from relief pursuant to this Regulation or, if appropriate, to an organisation entitled to relief pursuant to Regulation 10, the appropriate relief shall be granted, if the organisation uses the goods in question for purposes which confer the right to such relief. In other cases, the goods shall be liable to the relevant tax at the rate applying on the date on which those conditions cease to be fulfilled, on the basis of the type of goods and the value for the purposes of tax chargeable at importation ascertained or accepted on that date by the Revenue Commissioners.

(8) Goods used by an organisation benefiting from relief under this Regulation for purposes other than those provided for in paragraph (1) shall be liable to the relevant tax at the rate applying on the date on which they are put to such other use, on the basis of the type of goods and the value for the purposes of tax chargeable at importation ascertained or accepted on that date by the Revenue Commissioners.