99VAT: non-business use etc of business goodsU.K.
(1)Schedule 4 to VATA 1994 (matters to be treated as supply of goods or services) is amended as follows.
(2)In paragraph 5 (non-business use etc of business goods), omit sub-paragraph (4A) (exception to rule in case of interests in land and buildings etc that non-business use of business assets treated as supply of services).
(3)In paragraph 9 (application of paragraphs 5 to 8 where land forms part of assets of business), insert at the end—
“(4)In this paragraph “grant” includes surrender.”
(4)Paragraph 7 of Schedule 6 to VATA 1994 (valuation of supply of services otherwise than for consideration by virtue of paragraph 5(4) of Schedule 4 etc) is amended as follows.
(5)The existing provision becomes sub-paragraph (1) and after that sub-paragraph insert—
“(2)Regulations may, in relation to a supply of services by virtue of paragraph 5(4) of Schedule 4 (but otherwise than for a consideration), make provision for determining how the full cost to the taxable person of providing the services is to be calculated.
(3)The regulations may, in particular, make provision for the calculation to be made by reference to any prescribed period.
(4)The regulations may make—
(a)different provision for different circumstances;
(b)such incidental, supplementary, consequential or transitional provision as the Commissioners think fit.”
(6)The amendment made by subsection (2) comes into force on 1st September 2007.
(7)The amendment made by subsection (3) has effect in relation to surrenders on or after 21st March 2007.