Paragraph 1 F1

United Kingdom

(F21)

Subject to sub-paragraphs (3) to (5) below, a person who makes taxable supplies but is not F3registered under this Act becomes liable to be registered under this Schedule-

(a)

at the end of any month, if the value of his taxable supplies in the period of one year then ending has exceeded F4£45,000; or

(b)

at any time, if there are reasonable grounds for believing that the value of his taxable supplies in the period of thirty days then beginning will exceed £45,000.

(2)

Where a business carried on by a taxable person is transferred to another person as a going concern and the transferee is not registered F5under this Act at the time of the transfer, then, subject to sub-paragraphs (3) to (5) below, the tranferee becomes liable to be registered under this Schedule at that time if-

(a)

the value of his taxable supplies in the period of one year ending at the time of the transfer has exceeded £45,000; or

(b)

there are reasonable grounds for believing that the value of his taxable supplies in the period of thirty days beginning at the time of the transfer will exceed £45,000.

(3)

A person does not become liable to be registered by virtue of sub-paragraph (1)(a) or (2)(a) above if the Commissioners are satisfied that the value of his taxable supplies in the period of one year beginning at the time at which, apart from this sub-paragraph, he would become liable to be registered will not exceed F6£43,000.

(4)

In determining the value of a person’s supplies for the purposes of sub-paragraph (1)(a) F7or (2)(a)above, supplies made at a time when he was previously registered F8under this Act shall be disregarded if-

(a)

his registration was cancelled otherwise than under paragraph 10 below F9paragraph 6(2) of Schedule 1A to this Act or paragraph 6(3) of Schedule 1B to this Act, and

(b)

the Commissioners are satisfied that before his registration was cancelled he had given them all the information they needed in order to determine whether to cancel the registration.

(F104A)

A person shall be treated as having become liable to be registered under this Schedule at any time when he would have become so liable under the preceding provisions of this paragraph but for any registration which is subsequently cancelled under paragraph 10 below, paragraph 6(2) of Schedule 1A to this Act or paragraph 6(3) of Schedule 1B to this Act.

(4B)

A person shall not cease to be liable to be registered under this Schedule except in accordance with paragraph 1A(5), 1B or 2 below.

(5)

In determining the value of a person’s supplies for the purposes of sub-paragraph (1) F11or (2)above, supplies of goods F12or servicesthat are capital assets of the business in the course or furtherance of which they are supplied F13and any taxable supplies which would not be taxable supplies apart from section 6(2B) of this Act. shall be disregarded.

(F146)

Where, apart from this sub-paragraph, an interest in, right over or licence to occupy any land would under sub-paragraph (5) above be disregarded for the purposes of sub-paragraph (1) F15or (2)above, it shall not be if it is supplied on a taxable supply which is not zero-rated.

Annotations

Textual amendments

F1: Sch. 1 para. 1 substituted by Finance Act 1987 (c. 16, SIF 40:2), s. 14(2)
F2: Para. 1(1)–(3) substituted by Finance Act 1990 (c. 29, SIF 40:2), s. 10(2)(9)
F3: Words in Sch. 1 para. 1(1) substituted (1.1.1993) by Finance (No. 2) Act 1992 (c. 48), s. 14(2), Sch. 3 Pt. I para. 48(1); S.I. 1992/3261, art. 3, Sch. (with art. 4)
F4: Words in Sch. 1 para. 1(1)(a)(b)(2)(a)(b) substituted (1.12.1993) by virtue of S.I. 1993/2953, art. 2(a)
F5: Words in Sch. 1 para. 1(2) inserted (1.1.1993) by Finance (No. 2) Act 1992 (c. 48), s. 14(2), Sch. 3 Pt. I para. 48(2)(a)(b); S.I. 1992/3261, art. 3, Sch. (with art. 4)
F6: Words in Sch. 1 para. 1(3) substituted (1.12.1993) by virtue of S.I. 1993/2953, art. 2(b)
F7: Words inserted by Finance Act 1990 (c. 29, SIF 40:2), s. 10(3)(9)
F8: Words in Sch. 1 para. 1(4) inserted (1.1.1993) by Finance (No. 2) Act 1992 (c. 48), s. 14(2), Sch. 3 Pt. I para. 48(3)(a); S.I. 1992/3261, art. 3, Sch. (with art. 4)
F9: Words in Sch. 1 para. 1(4)(a) inserted (1.1.1993) by Finance (No. 2) Act 1992 (c. 48), s. 14(2), Sch. 3 Pt. I para. 48(3)(b); S.I. 1992/3261, art. 3, Sch. (with art. 4)
F10: Sch. 1 para. 1(4A)(4B) inserted (1.1.1993) by Finance (No. 2) Act 1992 (c. 48), s. 14(2), Sch. 3 Pt. I para. 48(4); S.I. 1992/3261, art. 3, Sch. (with art. 4)
F11: Words inserted by Finance Act 1990 (c. 29, SIF 40:2), s. 10(4)(9)
F12: Words inserted by Finance Act 1988 (c. 39, SIF 40:2), s. 14(2)
F13: Words in Sch. 1 para. 1(5) inserted (1.1.1993) by Finance (No. 2) Act 1992 (c. 48), s. 14(2), Sch. 3 Pt. I para. 48(5); S.I. 1992/3261, art. 3, Sch. (with art. 4)
F14: Para. 1(6) added by Finance Act 1989 (c. 26, SIF 40:2), s. 18, Sch. 3 para. 10(a)
F15: Words inserted by Finance Act 1990 (c. 29, SIF 40:2), s. 10(5)(9)

Notes on the whole Act

Textual amendments

F1: Act repealed (1.9.1994) by 1994 c. 23, ss. 100(2), 101(2), Sch. 15 (with Sch. 13 paras. 2, 6, 9)