Value Added Tax (General) (Amendment) Regulations 1984
| Jurisdiction | UK Non-devolved |
| Citation | SI 1984/155 |
| Year | 1984 |
1984 No. 155
VALUE ADDED TAX
The Value Added Tax (General) (Amendment) Regulations 198414thFebruary 1984
22ndFebruary 1984
The Commissioners of Customs and Excise, in exercise of the powers conferred on them by section 15 of the Value Added Tax Act 1983(a) and all other powers enabling them in that behalf, hereby make the following Regulations:
1. These Regulations may be cited as the Value Added Tax (General) (Amendment) Regulations 1984 and shall come into operation on 1st April 1984, except that where the next tax year of a taxable person commences on a day after 1st April 1984 the substitution (by regulation 5) of new provisions for the provisions of regulations 24 and 27 of the principal Regulations shall not have effect in relation to him until the first day of that tax year.
2. In these Regulations—
"the principal Regulations" means the Value Added Tax (General) Regulations 1980(b);
"tax year" has the meaning given by regulation 23(1)(b) of the principal Regulations.
3. The principal Regulations shall be amended in accordance with the following provisions of these Regulations.
4. In regulation 2—
(a) the definition of "the Act" shall be omitted;
(b) there shall be added at the end a new paragraph as follows—
(a) 1983 c.55.
(b) S.I. 1980/1536; relevant amending instruments are S.I. 1983/295 (as amended by S.I. 1983/475), 1982/1471.
"(3) In these Regulations any reference to "the Act" is a reference to the Finance Act 1972(a) but shall be construed as including a reference to the Value Added Tax Act 1983(b), and any reference to a provision of the Act shall be construed as including a reference to the corresponding provision of the Value Added Tax Act 1983; "the 1983 Act" (in Part V of these Regulations) means the Value Added Tax Act 1983; any reference to a Schedule to "the Act" or to "the 1983 Act" includes a reference to a Schedule as amended from time to time by Order of the Treasury.".
5. For PART V there shall be substituted the following—
"PART V
PARTIAL EXEMPTION AND INPUT TAX
Interpretation and longer periods
23.—(1) In this Part of these Regulations—
(a) "method" means any method which is referred to in regulation 24 and "special method" means a method the use of which may be allowed or directed by the Commissioners pursuant to paragraph (2) of that regulation;
(b) the "tax year" of a taxable person means a period of twelve calendar months commencing on the first day of his first prescribed accounting period beginning on or after the 1st April in any year, or on such other date as the Commissioners may approve or direct;
(c) "treated as members of a group" means so treated under the provisions of section 29 of the 1983 Act; and
(d) premises subject to a lease are tied premises if they are tied premises within the meaning of section 140(2) of the Income and Corporation Taxes Act 1970(c) in relation to the lessor and to a trade carried on by him.
(2) The provisions of paragraphs (3) to (5) of this regulation shall be used for determining the longer period applicable to taxable persons under this Part.
(3) A taxable person who makes an exempt supply during a tax year shall have applied to him a longer period which shall correspond with his tax year unless he did not make an exempt supply during his immediately preceding tax year, in which case his longer period shall—
(a) begin on the first day of the first prescribed accounting period in which he makes an exempt supply; and
(b) end upon the last day of his tax year,
except where his only exempt supplies are in the last prescribed accounting period of his tax year, in which case no longer period shall be applied to him in respect of that tax year.
(a) 1972 c.41.
(b) 1983 c.55.
(c) 1970 c.10.
(4) In the case of a taxable person ceasing to be taxable during a longer period applicable to him, that longer period shall end on the day when he ceases to be taxable.
(5) The Commissioners may approve different provisions for different circumstances and particularly may approve, in the case of a taxable person who makes an exempt supply, or of a class of such persons, that a longer period shall apply which need not correspond with a tax year.
Attribution of input tax by a person making exempt supplies
24.—(1) Subject to paragraph (2) of this regulation, the amount of input tax to be provisionally attributed to taxable supplies by any taxable person who makes exempt supplies shall be determined in any prescribed accounting period by the following method, that is to say:-
Subject to regulation 25 he may deduct such part of his input tax as bears the same ratio to his total input tax as the value of taxable supplies by him bears to the value of all supplies by him.
(2) The Commissioners may allow or direct the use of a method other than that specified in paragraph (1) of this regulation.
25. There shall be excluded from any calculation made by any taxable person for the purpose of using a method—
(a) all capital sums receivable by him in respect of an exempt supply of the grant, assignment or surrender of an interest in land which he has habitually occupied in the course of carrying on a business;
(b) input tax on supplies to him or paid by him on imported goods which is excluded from credit in any order made by the Treasury under section 3(9) of the Act;
(c) that part of the value of any supply of goods on...
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