# Value Added Tax Act 1994, Paragraph 7


Where in the case of a business carried on by a taxable person goods forming part of the assets of the business are, under any power exercisable by another person, sold by the other in or towards satisfaction of a debt owed by the taxable person, they shall be deemed to be supplied by the taxable person in the course or furtherance of his business.

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Source: https://www.legislation.gov.uk/ukpga/1994/23/schedule/4/paragraph/7 (the official version)
Page: https://openlegislation.uk/value-added-tax-act-1994/schedule-4/paragraph-7
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.