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The Value Added Tax (Amendment) Regulations 2012

S.I. 2012/33 · Made 9 January 2012

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

Value Added Tax

Made 9th January 2012

Laid before the House of Commons 10th January 2012

Coming into force 1st April 2012

The Commissioners for Her Majesty’s Revenue and Customs make the following Regulations in exercise of the powers conferred by section 25(1) of, and paragraph 2(1) and (11) of Schedule 11 to, the Value Added Tax Act 1994f1; sections 132 and 133 of the Finance Act 1999f2 and sections 135 and 136 of the Finance Act 2002f3.

Annotations to the whole text

Footnotes

f1

1994 c. 23; section 96(1) defines “the Commissioners” as meaning the Commissioners of Customs and Excise and “regulations” as meaning regulations made by the Commissioners under the Act; paragraph 2(1) of Schedule 11 was amended by section 24(1)(b) and (5) of the Finance Act 2002 (c. 23). The functions of the Commissioners of Customs and Excise were transferred to the Commissioners for Her Majesty’s Revenue and Customs by section 5 of the Commissioners for Revenue and Customs Act 2005 (c. 11). Section 50(1) of that Act provides that a reference to the Commissioners of Customs and Excise shall be taken as a reference to the Commissioners for Her Majesty’s Revenue and Customs.

f2

1999 c. 16; section 132 was amended by paragraph 156 of Schedule 17 to, the Communications Act 2003 (c. 21). Section 50 of the Commissioners for Revenue and Customs Act 2005 (c. 11) provides that a reference in an enactment to the Commissioners of Customs and Excise shall be taken as a reference to the Commissioners for Her Majesty’s Revenue and Customs.

f3

2002 c. 23; section 135 was amended by paragraphs 94 and 95 of Schedule 4 to, the Commissioners for Revenue and Customs Act 2005 (c. 11) and by section 93 of the Finance Act 2007 (c. 11).

Contents

  1. 1Citation, commencement and effect
  2. 2Citation, commencement and effect
  3. 3Amendment of the Value Added Tax Regulations 1995
  4. 4Amendment of the Value Added Tax Regulations 1995
  5. 5Amendment of the Value Added Tax Regulations 1995
  6. 6Amendment of the Value Added Tax Regulations 1995
  7. 7Amendment of the Value Added Tax Regulations 1995
  8. 8Amendment of the Value Added Tax Regulations 1995
  9. 9Amendment of the Value Added Tax Regulations 1995
  10. 10Amendment of the Value Added Tax Regulations 1995
  11. 11Amendment of the Value Added Tax Regulations 1995
  12. 12Amendment of the Value Added Tax Regulations 1995
  13. 13Amendment of the Value Added Tax Regulations 1995
  14. 14Amendment of the Value Added Tax Regulations 1995
  15. Signature
  16. Explanatory note

1Citation, commencement and effect

These Regulations may be cited as the Value Added Tax (Amendment) Regulations 2012.

2Citation, commencement and effect

These Regulations come into force on 1st April 2012 and have effect in relation to returns required by regulation 25 of the Value Added Tax Regulations 1995f1 made for any prescribed accounting period which commences on or after that date.

3Amendment of the Value Added Tax Regulations 1995

Regulation 25A of the Value Added Tax Regulations 1995f1 is amended as follows.

4Amendment of the Value Added Tax Regulations 1995

For paragraph (3) substitute—

“(3)

Subject to paragraph (6) below, a person who is registered for VAT must make a return required by regulation 25 using an electronic return system whether or not such a person is registered in substitution for another person under regulation 6 (transfer of a going concern).”.

5Amendment of the Value Added Tax Regulations 1995

Omit paragraph (5).

6Amendment of the Value Added Tax Regulations 1995

In paragraph (6)—

(a)

at the beginning, omit “However”;

(b)

in sub-paragraph (b) omit “at the time when he would otherwise be notified under paragraph (7) below”; and

(c)

for “is not a specified person for the purposes of this regulation” substitute “is not required to make a return required by regulation 25 using an electronic return system”.

7Amendment of the Value Added Tax Regulations 1995

Omit paragraph (7).

8Amendment of the Value Added Tax Regulations 1995

In paragraph (15)—

(a)

at the beginning insert “Subject to paragraph (15A)”;

(b)

omit “specified”.

9Amendment of the Value Added Tax Regulations 1995

After paragraph (15) insert—

“(15A)

A person who—

(a)

on 31 March 2012 was registered for VAT with an effective date of registration before that date,

(b)

was not as at 31 March 2012 required to make a return required by regulation 25 using an electronic return system, and

(c)

fails to comply with paragraph (3),

is only liable to a penalty in relation to returns made for prescribed accounting periods which end on or after 31 March 2013.”.

10Amendment of the Value Added Tax Regulations 1995

In paragraph (16) omit “specified”.

11Amendment of the Value Added Tax Regulations 1995

In paragraph (18)(a) for “a specified person” substitute “a person required to make a return required by regulation 25 using an electronic return system”.

12Amendment of the Value Added Tax Regulations 1995

In paragraph (19) omit “paragraph (5)(b) above and”.

13Amendment of the Value Added Tax Regulations 1995

In paragraph (21) omit “(5),”.

14Amendment of the Value Added Tax Regulations 1995

Omit paragraph (22)(a).

Signature

Mike Eland

Dave Hartnett

Two of the Commissioners for Her Majesty’s Revenue and Customs

9th January 2012

Explanatory note

(This note is not part of the Regulations)

These Regulations amend Part V (accounting, payment and records) of the Value Added Tax Regulations 1995 (S.I. 1995/2518).

Regulations 4 to 14 amend regulation 25A.

Regulation 4 removes the previous turnover test and thereby requires all persons who are required to make value added tax returns to do so using an electronic return system unless they are specifically excepted.

Regulations 5 to 14 make consequential amendments which include removing the references to a specified person and a specified return and removing the notification requirement. Regulation 9 ensures that a person who is required to make a return required by regulation 25 of the Value Added Tax Regulations 1995 using an electronic return system only as a result of the removal of the turnover test will only be liable to a penalty for returns made for prescribed accounting periods which end on or after 31st March 2013.

A Tax Information and Impact Note covering this instrument was published on 08/08/2011 alongside the draft Value Added Tax (Amendment) Regulations 2012 and is available on the HMRC website at http://www.hmrc.gov.uk/the library/tiins/htm. It remains an accurate summary of the impacts that apply to this instrument.