Article 2 Interpretation

(1)

In this Order “the Act” means the Value Added Tax Act 1994.

(2)

Any reference in this Order to “Schedule 8” or “Schedule 9” is a reference to that Schedule to the Act.

(3)

For the purposes of this Order a person is connected with another where—

(a)

one of them is an undertaking in relation to which the other is a group undertaking; or

(b)

both of them are connected to the same trust.

(4)

For the purposes of this Order a person is connected to a trust where —

(a)

he is the settlor of the trust, a trustee or beneficiary of it; or

(b)

he holds any shares in a company in accordance with the terms of the trust, or is a person on whose behalf such shares are held.

(5)

For the purposes of this Order “undertaking” and “group undertaking” have the meaning given by section 259 of the Companies Act 1985^f1.

(6)

A scheme is treated as fitting a description contained in the first column of Schedule 1 to this Order even if any feature of that scheme is not actually present (whether as a matter of law or for any other reason), provided a taxable person has treated that feature as being present for the purpose of making—

(a)

a return required under the Act; or

(b)

a claim for the repayment of output tax or an increase in credit for input tax.

(7)

A provision is treated as fitting a description contained in Schedule 2 to this Order even if it, or any feature of it, is not actually present (whether as a matter of law or for any other reason), provided a taxable person has treated that feature as being present for the purpose of making—

(a)

a return required under the Act; or

(b)

a claim for the repayment of output tax or an increase in credit for input tax.

Annotations

Footnotes

f1: 1985 c. 6; section 259 was inserted by section 22 of the Companies Act 1989 (c. 40).