SCHEDULES
SCHEDULE 2 Matters to be Treated as Supply of Goods or Services
7
1
Where a person ceases to be a taxable person, any goods then forming part of the assets of a business carried on by him shall be deemed to be supplied by him in the course or furtherance of his business immediately before he ceases to be a taxable person, unless—
a
the business is transferred as a going concern to another taxable person; or
b
the business is carried on by another person who, under regulations made under section 31(4) above, is treated as a taxable person; or
c
the tax on the deemed supply would not be more than £250.
2
This paragraph does not apply to any goods in the case of which the taxable person can show to the satisfaction of the Commissioners—
a
that no credit for input tax in respect of the supply or importation of the goods has been allowed to him;
b
that the goods were not acquired by him as part of the assets of a business which was transferred to him as a going concern by another taxable person; and
c
that he has not obtained relief in respect of the goods under section 4 of the M1Finance Act 1973.
3
The Treasury may by order increase or further increase the sum specified in sub-paragraph (1)(c) above.