The day from which the option has effectU.K.
[F119.(1)An option to tax has effect from—
(a)the start of the day on which it is exercised, or
(b)the start of any later day specified in the option.
(2)But if, when an option to tax is exercised, the person exercising the option intends to revoke it in accordance with paragraph 23 (revocation of option: the “cooling off” period), the option is treated for the purposes of this Act as if it had never been exercised.
(3)An option to tax may be revoked in accordance with paragraph 22(2) or (3) and any of paragraphs 23 to 25, but not otherwise.
(4)This paragraph needs to be read with—
(a)paragraph 20 (requirement to notify the option), and
(b)paragraph 29(3) (application for prior permission in the case of an exempt grant before the exercise of an option to tax).]
Textual Amendments
F1Sch. 10 substituted (with effect in accordance with art. 1(2) of the amending S.I.) by The Value Added Tax (Buildings and Land) Order 2008 (S.I. 2008/1146), arts. 1(1), 2 (with Sch. 2)