Explanatory Note
(This note is not part of the Regulations)
These Regulations which come into force on 1st January 1988 amend and consolidate various provisions of the Value Added Tax (General) Regulations 1985.
Regulation 4 which modifies regulations 4(1), 4(3) and 4(4) to reflect amendments to Schedule 1 of the Value Added Tax Act 1983 introduced by section 13, 14 and Schedule 16 of the Finance Act 1987 is designed to simplify the requirements for VAT registration and deregistration. The amendment to regulation 4(6) is for clarification.
Regulation 5 revokes regulations 5, 6 and 7 which became redundant upon the coming into force of the Value Added Tax (General) (Amendment) (No. 2) Regulations 1987 on 1st April 1987.
Regulation 6 amends regulation 8 by introducing a specified time limit of thirty days, consistent with section 14 Finance Act 1987, by which a person who has been granted discretionary registration must notify the Commissioners that he no longer intends to make taxable supplies by way of business.
Regulations 7 and 8 amend regulations 45 and 46 and clarify the entitlement to relief from payment of tax on re-importation of goods by non-taxable and taxable persons.
Regulation 9 amends regulation 58(3) following the repeal of paragraph 12 to Schedule 7 of the Value Added Tax Act 1983 consequent on the coming into force of the Insolvency Act 1985. It also amends regulation 58(4)(c) to reflect the amendment to Schedule 1 of the Value Added Tax Act 1983 introduced by Section 13(4) of the Finance Act 1987.
Regulation 10 amends regulation 62 so as to separate and clarify the provisions regarding the timing and evidence of claims to input tax by virtue of sections 14(6) and 14(9) of the Value Added Tax Act 1983.
Regulation 11 amends and re-enacts regulation 65(1) by consolidating previous amendments and by making it a requirement that the demand to pay tax be written. It also removes the requirement for the demand to be signed.