Part III Application of Act in particular cases
49 Transfers of going concerns.
1
Where a business F3, or part of a business, carried on by a taxable person is transferred to another person as a going concern, then—
a
F5b
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2
Without prejudice to subsection (1) above, the Commissioners may by regulations make provision for securing continuity in the application of this Act in cases where a business F6, or part of a business, carried on by a taxable person is transferred to another person as a going concern and the transferee is registered under this Act in substitution for the transferor.
F12A
Regulations under subsection (2) above may, in particular, provide for the duties under this Act of the transferor to preserve records relating to the business or part of the business for any period after the transfer to become duties of the transferee unless the Commissioners, at the request of the transferor, otherwise direct.
3
Regulations under subsection (2) above may, in particular, provide—
a
for liabilities and duties under this Act (excluding sections 59 to 70) of the transferor F7(other than the duties mentioned in subsection (2A) above) to become, to such extent as may be provided by the regulations, liabilities and duties of the transferee; and
b
for any right of either of them to repayment or credit in respect of VAT to be satisfied by making a repayment or allowing a credit to the other;
but no such provision as is mentioned in paragraph (a) or (b) of this subsection shall have effect in relation to any transferor and transferee unless an application in that behalf has been made by them under the regulations.
F24
Subsection (5) below applies where—
a
a business, or part of a business, carried on by a taxable person is transferred to another person as a going concern, and
b
the transferor continues to be required under this Act to preserve for any period after the transfer any records relating to the business or part of the business.
5
So far as is necessary for the purpose of complying with the transferee's duties under this Act, the transferee (“E”) may require the transferor—
a
to give to E, within such time and in such form as E may reasonably require, such information contained in the records as E may reasonably specify,
b
to give to E, within such time and in such form as E may reasonably require, such copies of documents forming part of the records as E may reasonably specify, and
c
to make the records available for E's inspection at such time and place as E may reasonably require (and permit E to take copies of, or make extracts from, them).
6
Where a business, or part of a business, carried on by a taxable person is transferred to another person as a going concern, the Commissioners may disclose to the transferee any information relating to the business when it was carried on by the transferor for the purpose of enabling the transferee to comply with the transferee's duties under this Act.