Finance Act 2009

Part 5 U.K. Administration and interpretation

Person ceasing to be taxable person before supplementary charge due U.K.

20 (1) This paragraph applies if, on the date on which a supplementary charge under this Schedule becomes due (“the due date”), the person who is liable to pay the charge under paragraph 16 is not a taxable person. U.K.

(2) The supplementary charge must be accounted for by that person in accordance with VATA 1994 (and regulations made under that Act) as if it were VAT due in the last period for which the person was required to make a return by or under VATA 1994.

(3) If an amount assessed as due by way of supplementary charge under this Schedule would (in the absence of this sub-paragraph) carry interest from a date earlier than the due date, it is to be treated as only carrying interest from the due date.

Adjustment of contracts following the VAT change U.K.

21 (1) This paragraph applies where— U.K.

(a) a contract for the supply of goods or services is made before the date of the VAT change, and

(b) there is a supplementary charge under this Schedule on the supply.

(2) The consideration for the supply is to be increased by an amount equal to the supplementary charge, unless the contract provides otherwise.

Invoices U.K.

22 U.K. Regulations under paragraph 2A of Schedule 11 to VATA 1994 (VAT invoices) may make provision about the provision, replacement or correction of invoices in connection with a supplementary charge under this Schedule.

Orders under this Schedule U.K.

23 (1) An order under this Schedule is to be made by statutory instrument. U.K.

(2) A statutory instrument containing an order under this Schedule is subject to annulment in pursuance of a resolution of the House of Commons, unless it is an instrument to which sub-paragraph (4) applies.

(3) Sub-paragraph (4) applies to a statutory instrument containing an order made under paragraph 10 (or under that paragraph and under other provisions) which extends the supplies that are subject to a supplementary charge under this Schedule.

(4) An instrument to which this sub-paragraph applies—

(a) must be laid before the House of Commons, and

(b) ceases to have effect at the end of the period of 28 days beginning with the day on which it was made unless it is approved during that period by a resolution of the House of Commons.

(5) In reckoning the period of 28 days no account is to be taken of any time during which Parliament is dissolved or prorogued or during which the House of Commons is adjourned for more than 4 days.

(6) The order ceasing to have effect does not affect—

(a) anything previously done under it, or

(b) the making of a new order.

Interpretation: general U.K.

24 (1) Expressions used in this Schedule and in VATA 1994 have the same meaning in this Schedule as in that Act. U.K.

(2) In this Schedule—

(a) “treated as taking place” means treated as taking place for the purposes of the charge to VAT, and

(b) references to the person by or to whom a supply is made (however expressed) are to the person by or to whom the supply is treated as being made for the purposes of VATA 1994.