# The Value Added Tax (Payments on Account) Order 1993, Article 16: Business carried on in divisions

Extent: E+W+S+N.I.

(1) Subject to paragraph (3) below, where the registration under the Act of a body corporate is and was throughout the prescribed accounting periods mentioned in article 5(1) or 6(1) above in the names of divisions under section 31(1) of the Act and those divisions are the same divisions, that body corporate shall not be under a duty to make payments on account by virtue of falling within article 5 or 6 above but shall be under a duty to make payments on account by reference to the business of any division if the total amount of tax which it was liable to pay in respect of the prescribed accounting periods of that division the ends of which fell within the period of one year ending on the last day of—
(a) that division’s last prescribed accounting period ending before 1st December of the previous year, or
(b) a prescribed accounting period of that division ending after 30th November of the previous year,
and which was referable to the business of that division exceeded the figure specified in article 5(1) or 6(1) respectively.
(2) Where a relevant division has a prescribed accounting period exceeding one month which begins on or after 2nd March each year and ends on or before 30th June each year, the body corporate shall be under a like duty to make payments on account also in respect of that prescribed accounting period.
(3) Articles 5(2) and 6(2) above shall apply for the purposes of this article as if for the references therein to the taxable person there were substituted references to a relevant division.
(4) Where payments on account fall to be made under this article, they shall be calculated and made separately in the case of each relevant division as if it were a taxable person and shall be remitted to the Controller through that division.
(5) In relation to a body corporate to which this article applies, references in articles 7, 13, 14 and 15 above to—
(a) the total amount of tax which a taxable person was or will be liable to pay shall be construed as references to the total amount of such tax referable to the business of a relevant division; and
(b) an application by the taxable person shall be construed as references to an application by the division in respect of which the application is made.
(6) In this article “relevant division” means a division by reference to the business of which a body corporate is under a duty to make payments on account by virtue of paragraph (1) above.

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Source: https://www.legislation.gov.uk/uksi/1993/2001/article/16 (the official version)
Page: https://openlegislation.uk/value-added-tax-payments-on-account-order-1993/article-16
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.