To establish the VAT liability of the derivative, you first need to know what the 'underlying' product is.

Each transaction must be examined and the VAT liability determined on its own merits.

This is particularly the case where the goods and/or services supplied together have differing VAT liabilities.

If you have been trading for less than a year, the instalments are based on an estimate of your VAT liability.

Where you are undertaking more than one job at the same premises, the VAT liability will depend upon the circumstances.

Both supplies will be of equal value, but will not necessarily have the same VAT liability.

The VAT liability of constructing new buildings is explained in section 3.

The table below gives examples of products and their VAT liability:

I am thinking, in particular, of VAT liability and tax harmonisation.

More examples of common food processes and their VAT liability are in section 2.