Expulsion from the scheme10

1

The Commissioners may terminate an authorisation in any case where—

a

a false statement has been made by or on behalf of an authorised person in relation to his application for authorisation;

b

an authorised person has while admitted to the scheme been convicted of an offence in connection with value added tax or has made a payment to compound such proceedings under section 152 of the Customs and Excise Management Act 19795;

c

an authorised person has while admitted to the scheme been assessed to a penalty under section 13, 14 or 17 of the Finance Act 19856 or to a surcharge under section 19 of that Act;

d

an authorised person has failed to leave the scheme as provided for in regulation 6(2) above;

e

an authorised person has claimed input tax as though he had not been admitted to the scheme; or

f

it is necessary to do so for the protection of the revenue.

2

A person whose authorisation has been terminated under paragraph (1) of this regulation shall account for and pay on a return made in respect of his current prescribed accounting period all tax which has not been accounted for and paid in accordance with the scheme, subject to any adjustment for credit for input tax.

3

An authorised person whose authorisation has been terminated may be required to account for and pay all tax which has not been accounted for and paid in accordance with the scheme on a return made in respect of his current prescribed accounting period, subject to any adjustment for credit for input tax, notwithstanding that he has already withdrawn from the scheme of his own volition.