(1)The Board of Inland Revenue may make regulations requiring persons who make payments under contracts relating to construction operations, except in prescribed circumstances, to verify with the Board whether a person to whom they are proposing to make—
(a)a contract payment, or
(b)a payment which would be a contract payment but for section 60(4),
is registered for gross payment or for payment under deduction.
(2)The provision that may be made by regulations under subsection (1) includes provision—
(a)for preventing a person from verifying unless such conditions as may be prescribed have been satisfied;
(b)as to the period for which the verification remains valid.
(3)The Board of Inland Revenue may make regulations requiring the Board to notify persons of a prescribed description who make payments under contracts relating to construction operations that—
(a)a person registered for gross payment has become registered for payment under deduction or has ceased to be registered under section 63, or
(b)a person registered for payment under deduction has become registered for gross payment or has ceased to be registered under section 63.
(4)The provision that may be made by regulations under subsection (1) or (3) includes provision for a person to be entitled to assume, except in prescribed circumstances, that—
(a)a person verified or notified as being registered for gross payment, or
(b)a person verified or notified as being registered for payment under deduction,
has not subsequently ceased to be so registered.
(5)In this section “prescribed” means prescribed by regulations under this section.