The Value Added Tax (Cash Accounting) Regulations 1987

Admission to the scheme

9.—(1) Where an authorised person ceases business or ceases to be registered, or where such a person dies or becomes bankrupt or incapacitated, he or his representative shall within two months or such longer period as the Commissioners may allow make a return accounting for and pay tax on supplies made and received during the previous twelve months which have not otherwise been accounted for, subject to any adjustment for credit for input tax, and tax in respect of any payment or other consideration received for earlier supplies must be accounted for and paid when received.

(2) Where a business or part of a business carried on by an authorised person is transferred as a going concern and regulation 4(5) of the Value Added Tax (General) Regulations 1985(1) does not apply, the transferor shall within two months make a return accounting for and pay tax on supplies made and received during the previous twelve months which have not otherwise been accounted for, subject to any adjustment for credit for input tax, and tax in respect of any payment or other consideration received for earlier supplies must be accounted for and paid when received.

(3) Where a business carried on by an authorised person is transferred in circumstances where regulation 4(5) of the Value Added Tax (General) Regulations 1985 applies, the transferee shall continue to account for and pay tax as if he were an authorised person on supplies made and received by the transferor prior to the date of transfer.

(1)

S.I. 1985/886, amended by S.I. 1985/1650, 1986/71, 305, 1987/150, 510.