1) The international transport of Goods is zero-rated in accordance with these Regulations.
2) The international transport of passengers is zero-rated in accordance with these Regulations in cases where either:
a) The transportation is by way of any qualifying means of transport,
b) The transportation is by way of a scheduled passenger flight or voyage which runs according to a published timetable.
3) Services which are directly connected and incidental to a Supply of international passenger transport are zero-rated. Such services include:
a) transporting luggage accompanied by passengers, including domestic pets, bicycles, prams and additional luggage charges,
b) transporting vehicles and trailers of passengers,
c) transporting airport passenger charges and passenger load supplements,
d) seat reservations,
e) sleeping berths and cabin charges.
4) The Supply of a qualifying means of transport, or of any vessel or aircraft used principally for international transportation of passengers and goods, is zero-rated.
5) Any services relating to Goods or passenger transportation, as defined in article twenty-five of these Regulations are zero-rated provided these are either:
a) ancillary to and provided with a Supply of zero-rated international transport,
b) provided in respect of a qualifying means of transport at an airport or port.
6) Subject to the Supplier obtaining a certificate from the Customer that the Supply of Goods and services will be in relation to a qualifying means of transport, the maintenance, repair, or modification of a qualifying means of transport, including the Supply of replacement parts, consumables and other necessary components ordinarily affixed or incorporated into the means of transport in question in connection with those services, are zero-rated. Such zero-rating only applies provided that the purpose of the Supply of those Goods and services is to ensure the continued operation of the vehicle, aircraft or vessel as a qualifying means of transport.
Maintenance and repair services must be physically carried out on or at the qualifying means of transport to qualify for zero-rating under this paragraph.
7) For the purposes of this article, international transport is the provision of a transportation service by means of a vehicle, aircraft or vessel together with a driver or pilot and with a crew where necessary for the purpose of that service, provided that the transportation service involves transport of Goods or passengers either to a place outside the Kingdom, or from a place outside the Kingdom into the Kingdom.
8) A qualifying means of transport means any vehicle, vessel or aircraft designed or adapted to carry a minimum of ten (10) people, or designed to carry Goods on a commercial basis, which is used predominantly for international transportation and not domestic passenger transportation.
Any means of transport adapted for or intended for recreation or private use is not a qualifying means of transport.
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