Value Added Tax (General) Regulations 1974

Cited as:SI 1974/1379
Jurisdiction:UK Non-devolved

1974No. 1379

VALUE ADDED TAX

The Value Added Tax (General) Regulations 1974

14thAugust1974

23rdAugust1974

23rdSeptember1974

The Commissioners of Customs and Excise, in exercise of the powers conferred on them by sections 3(3), (4) and (5), 7(8), 12(7), 16(2) and (3), 17(1), 18, 23(2) and (3), 27(3), 30(1), (2), (4), (5) and (6), 33(3) and (4) and 35(1) of, and paragraph 13 of Schedule 1 to, the Finance Act 1972(a) and of all other powers enabling them in that behalf, hereby make the following Regulations:—

PART I

PRELIMINARY

Citation, commencement and revocation

1.—(1) These Regulations may be cited as the Value Added Tax (General) Regulations 1974 and shall come into operation on 23rd September 1974.

(2) The Regulations set out in Schedule 2 to these Regulations are hereby revoked.

Interpretation

2.—(1) In these Regulations:—

"the Act" means the Finance Act 1972;

"Controller" means the Controller, Customs and Excise, Value Added Tax Central Unit;

"prescribed accounting period" means a period as referred to in Regulation 51 of these Regulations;

"registered person" means a person registered by the Commissioners under Schedule 1 to the Act;

"registration number" means the number allocated by the Commissioners to a taxable person in the certificate of registration issued to him.

(a) 1972 c. 41.

(2) In these Regulations any reference to a form prescribed in Schedule 1 to these Regulations shall include a reference to a form to the like effect which has been approved by the Commissioners.

(3) The Interpretation Act 1889(a) shall apply for the interpretation of these Regulations as it applies for the interpretation of an Act of Parliament.

PART II

REGISTRATION AND NOTIFICATION

3.—(1) Any person required under paragraph 3, 5 or 6 of Schedule 1 to the Act to notify the Commissioners of his liability to be registered or who wishes to register under paragraph 7 of the said Schedule shall do so on the form numbered 1 in Schedule 1 to these Regulations.

(2) Where the notification referred to in this Regulation is made for or on behalf of a partnership, the person so notifying shall furnish the particulars of the names and addresses of all the partners, whether or not actively engaged in the day-to-day business of the partnership, on the form numbered 2 in Schedule 1 to these Regulations.

4. Every registered person except one to whom paragraph 8, 9 or 10 of Schedule 1 to the Act applies shall, within 21 days after any change has been made in the name, constitution or ownership of his business, or after any other event has occurred which may necessitate the variation of the register or cancellation of his registration, notify the Commissioners in writing of such change or event and furnish them with full particulars thereof.

5.—(1) Where any notice is to be given for the purposes of the Act or these Regulations by or on behalf of a partnership, such notice shall be given by the precedent partner.

(2) The precedent partner is the partner who, being resident in the United Kingdom—

(a) is first named in the agreement of partnership; or

(b) if there is no agreement, is named singly or with precedence to the other partners in the usual name of the firm; or

(c) is the precedent acting partner, if the person named with precedence is not an acting one;

provided that, where there is no precedent partner, it shall be the duty of all the partners to give such notification as may be required; and, in such a case, all the partners shall give that notification in one document; but notification by any partner on behalf of the partnership shall be deemed to be notification by all of them.

(3) Where, in Scotland, a body of persons carrying on a business which includes the making of taxable supplies is a partnership required to be registered, any notice shall be given and signed in the manner indicated in section 6 of the Partnership Act 1890(b).

(a) 1889 c. 63.

(b) 1890 c. 39.

6. Where any notice is to be given for the purposes of the Act or these Regulations by or on behalf of a club or an association the affairs of which are managed by its members or a committee or committees of its members, such notice shall be given by a responsible officer of the club or association who shall be named in the notice.

7.—(1) If a taxable person dies or becomes bankrupt or incapacitated, the Commissioners may, from the date on which he died or became bankrupt or incapacitated until some other person is registered in respect of the taxable supplies made or intended to be made by that taxable person in the course of his business or the incapacity ceases, as the case may be, treat as a taxable person any person carrying on that business; and the provisions of the Act and of any Regulations made thereunder shall apply to any person so treated as though he were a registered person.

(2) Any person carrying on such business as aforesaid shall, within 21 days of commencing to do so, inform the Commissioners in writing of that fact and of the date of the death or of the nature of the incapacity and the date on which it began:

PART III

TAX INVOICES

8.—(1) Save as otherwise provided in these Regulations, a taxable person making a taxable supply to another taxable person shall provide him with a tax invoice.

(2) The particulars of the tax chargeable on a supply of goods described in paragraph 2 of Schedule 2 to the Act shall be provided by the person selling them on a document containing the particulars prescribed in Regulation 9(1); and such a document issued to the buyer shall be treated for the purposes of paragraph (1) of this Regulation as a tax invoice provided by the person by whom the goods are deemed to be supplied in accordance with the said paragraph 2.

(3) Where a taxable person provides a document to himself which purports to be a tax invoice in respect of a supply of goods or services to him by another taxable person, that document may, with the approval of the Commissioners, be treated as the tax invoice required to be provided by the supplier under paragraph (1) of this Regulation.

9.—(1) Subject to Regulation 11 and save as the Commissioners may otherwise allow, a registered taxable person providing a tax invoice in accordance with Regulation 8 shall state thereon the following particulars—

(a) an identifying number;

(b) the date of the supply;

(c) the name, address and registration number of the supplier;

(d) the name and address of the person to whom the goods or services are supplied;

(e) the type of supply by reference to the following categories—

(i) a supply by sale,

(ii) a supply on hire-purchase or any similar transaction,

(iii) a supply by loan,

(iv) a supply by way of exchange,

(v) a supply on hire, lease or rental,

(vi) a supply of goods made from customer's materials,

(vii) a supply by sale on commission,

(viii) a supply on sale or return or similar terms, or

(ix) any other type of supply which the Commissioners may at any time by notice specify;

(f) a description sufficient to identify the goods or services supplied;

(g) the quantity of the goods or the extent of the services and the amount, excluding tax, payable for each description;

(h) the gross total amount payable excluding tax;

(i) the rate of any cash discount offered; and

(j) the rate and amount of tax chargeable.

(2) Where a taxable supply takes place as described in section 7(2)(c) or (5) of the Act, any consignment or delivery note or similar document or any copy thereof issued by the supplier before the time of supply shall not, notwithstanding that it may contain all the particulars set out in paragraph (1) of this Regulation, be treated as a tax invoice provided it is so endorsed.

10. Where a taxable person provides an invoice containing the particulars prescribed in Regulation 9 and specifies thereon any goods or services which are the subject of an exempt or zero-rated supply, he shall distinguish on the invoice between the goods or services which are the subject of an exempt, zero-rated or other supply and state separately the gross total amount payable in respect of each.

11. A taxable person who is a retailer shall not be required to provide a tax invoice, except that he shall provide such an invoice at the request of a customer who is a taxable person in respect of any supply to him; but, in that event, if, but only if, the value of the supply, including tax, does not exceed £10, the tax invoice need contain only the following particulars—

(a) the name, address and registration number of the retailer;

(b) the date of the supply;

(c) a description sufficient to identify the goods or services supplied;

(d) the total amount payable including tax; and

(e) the rate of tax in force at the time of the supply,

but shall not contain any reference to any zero-rated or exempt supply.

12. Regulations 8 to 11 shall not apply to—

(a) any zero-rated supply;

(b) any supply to which an order made under section 3(6) of the Act applies;

(c) any gift of goods by a registered taxable person in the course of a business carried on by him; or

(d) any supply to which an order made under section 14 of the Act applies.

PART IV

TIME OF SUPPLY

Interpretation

13. In this Part of these Regulations—

"agreement to hire" means an agreement for the bailment of goods for hire and includes leases of goods and rental agreements, but does not include an agreement under which the bailee has an option to buy the goods or under which the property in the goods passes to the bailee, nor does it include hire-purchase agreements, credit-sale agreements or conditional sale agreements, as defined in the Hire-Purchase Act 1965(a), the Hire-Purchase (Scotland) Act 1965(b) or the Hire-Purchase Act (Northern Ireland) 1966(c).

Supplies of goods on hire, lease or rental

14.—(1) Subject to paragraph (2) of this Regulation, where goods are supplied under an agreement to hire, they shall be treated as being successively supplied on hire for successive parts of the period of the agreement, and...

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