VALUE ADDED TAX ACT 1996. VALUE ADDED TAX (AMENDMENT) (No. 3) REGULATIONS 2000



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Statutory Document No. 177/00 VALUE ADDED TAX ACT 1996 VALUE ADDED TAX (AMENDMENT) (No. 3) REGULATIONS 2000 Laid before Tynwald 16 May 2000 Coming into operation 22 March 2000 In exercise of the powers conferred on the Treasury by sections 3, 25(1) and 26(3) of, and paragraph 9 of Schedule 3, paragraph 8 of Schedule 3A and paragraph 10 of Schedule 4 to the Value Added Tax Act 1996 (a), and of all other powers enabling it in that behalf, the following Regulations are hereby made:- Citation and commencement 1. These Regulations may be cited as the Value Added Tax (Amendment) (No. 3) Regulations 2000 and shall be deemed to have come into operation on 22n d March 2000. Amendment 2. The Value Added Tax Regulations 1996 (1') shall be amended in accordance with the following regulations. 3. In regulation 2(1), in the meaning given for "registered person", for Schedule 2, 3 or 4" substitute "Schedule 2, 3, 3A or 4". 4. For regulation 5 substitute - "5. (1) Where any person is required under paragraph 5(1) or 6(1) of Schedule 2, paragraph 3(1) of Schedule 3, paragraph 3(1) or 4(1) of Schedule 3A or paragraph 3(1) of Schedule 4 to the Act to notify the Treasury of his liability to be registered, the notification shall contain the particulars (including the declaration) set out in forms numbered 1, 6, 7 and 7A respectively in Schedule 1 to these Regulations and shall be made in those forms; provided that, where the notification is made by a partnership, the notification shall also contain the particulars set out in the form numbered 2 in that Schedule. gh (a) 1996 c.1. lur (b) S.D. No. 194/96. Price 60 pence

(2) Every registered person except one to whom paragraph 11, 12, 13(1), (2) or (3) of Schedule 2, paragraph 5 of Schedule 3, paragraph 5 of Schedule 3A or paragraph 5 of Schedule 4 to the Act applies, shall, within 30 days of any changes being made in the name, constitution or ownership of his business, or of any other event occurring which may necessitate the variation of the register or cancellation of his registration, notify the Treasury in writing of such change or event and furnish it with full particulars thereof (3) Every notification by a registered person under paragraph 11 or 12 of Schedule 2, paragraph 5 of Schedule 3, paragraph 5 of Schedule 3A or paragraph 5 of Schedule 4 to the Act shall be made in writing to the Treasury and shall state - (a) (b) (c) (d) (e) (f) the date on which he ceased to make, or have the intention of making, taxable supplies; or where paragraph 12(a) of Schedule 2 to the Act applies, the date on which he ceased to make, or have the intention of making, supplies within paragraph 10(2) of that Schedule; or where paragraph 12(b) of Schedule 2 to the Act applies, the date on which he made, or formed the intention of making, taxable supplies; or where paragraph 5(1) of Schedule 3 to the Act applies, the date on which he ceased to be registrable by virtue of paragraph 5(4) of that Schedule; or where paragraph 5(1) of Schedule 3A to the Act applies, the date on which he ceased to make, or have the intention of making, relevant supplies within the meaning of paragraph 9 of that Schedule; or where paragraph 5(1) of Schedule 4 to the Act applies, the date on which he ceased to be registrable by virtue of paragraph 5(3) of that Schedule.". 5. In regulation 25(1)(b) for "Schedules 1, 2 and 3" substitute "Schedules 1, 2, 3 and 3A". 6. In each of sub-paragraphs (c), (d) and (e) of regulation 99(1) after "Schedule 1" insert ", 2, 3 or 3A". 7. The form numbered 7A in the Schedule to these Regulations is added to Schedule 1 to the Value Added Tax Regulations 1996 immediately after Form No. 7. 2

SCHEDULE Regulation 7 The form which is to be added to the Value Added Tax Regulations 1996 is as follows. Value Added Tax VAT Registration Notification Regulation 5(1) This notification form must only be filled in if you have to register because you are making relevant supplies in the Isle of Man and you have no place of business here. Section 7 of VAT Notice 700/4 Registration for VAT: Non-established taxable persons gives more information about this and will help you to answer the questions on the form. Please answer all questions. Write clearly in black in and use CAPITAL LETTERS Name 1. Sole proprietors - please give your full name. Partnerships - please give your trading name. If you do not have one, give the names of all partners (partnerships must also complete form VAT 2). Corporate or unincorporated bodies - please give the name of the company, LLC, club, association etc. 2. Do you have a trading name? Yes 0 No 0 Please give the trading name of the business. Business address 3. Please give the address of your principal place of business. Postcode E-mail Phone number Fax number Website address VAT 1C MAN 3

Tax representative 4. If you have appointed a tax representative to deal with your VAT matters in the Island please give details below. Phone number Postcode Fax number E-mail Status 5. What is the structure/legal status of the business? (Please tick) Sole Proprietor Partnership ED Corporate body (Please give your company incorporation details) Certificate number LLC Certificate number Date Date Unincorporated body Please give details Business activities 6. What does your business do or intend to do? Tell us about your current or intended business activities. Bank details 7.Please give your bank details or your tax representative's bank details. Sort code Account number or Girobank account number No bank account (please tick) 0 VAT 1C MAN 4

Computer accounts 8. Is your accounting system computerised? Yes (Give details below) Computer type No Software Version Relevant supplies 9. Have you made any relevant supplies yet? (Please tick one box) Yes, I made my first relevant supply on No, but I expect to make my first relevant supply on 10. When did you first have reasonable grounds to believe that you were going to make relevant supplies? Date 11. What value of relevant supplies do you expect to make in the next 12 months? 12. Do you make any other taxable supplies in the Island/UK? Yes El No If, "Yes", enter the estimated value of all taxable supplies, other than your relevant supplies, that you expect to make in the Island/UK in the next 12 months. Transfer of assets 13. Are you registering because VAT has been recovered by a predecessor in connection with the relevant supplies you have made, or intend to make? Yes No If "Yes", give the name(s) and address(es) of the person(s) who recovered VAT under either the Eighth or Thirteenth Directive refund schemes. VAT 1C MAN 5

Exemption 14. Do you want exemption from registration because your relevant supplies are wholly zero-rated? Yes No If "Yes", give the expected value of your zero-rated supplies in the next 12 months. Zero-rated relevant supplies Other VAT registrations 15. Are you involved in, or have you (or any other partners or directors in your business) been involved in any other businesses in the past 5 years? Yes 0 No If "Yes", give the names and VAT registration numbers of these businesses. (Continue on a separate sheet, if necessary) Declaration 16. I declare that the information given on this form and contained in any accompanying document is true and complete. Signature Date Full name What is your position in the business? (Please tick) Proprietor Partner Director Registered Agent Company Secretary Trustee Other (of an LLC) If "Other", give details VAT 1C MAN 6

4 Checklist Have you answered every question? Have you signed the form? Partnership? Remember to complete Form VAT 2 (MAN) Appointing a tax representative? Remember to complete Form VAT 1 TR (MAN) What to do next When you have completed and signed the form, please send it to Isle of Man Customs and Excise PO Box 6 Custom House North Quay Douglas Isle of Man IM99 lag Usually we will register you and give you a VAT registration number within 15 working days of receiving your form, provided you have given all the necessary information. For office use Local office code and registration number Date Stagger Status Name Trade name Trade classification Taxable turnover Oversize name Comp Group Rept. Vol address user Div Intg Overseas Intg EC Value of Sales to EC Value of Purchases from EC Registration Obligatory/Voluntary Exemption Intending Transfer of Regn No. Approved - Initials/Date Refused - Initials/Date Form issued - Initials/Date VAT 9/ Other VAT 8 Letter Approval letter VAT 1C MAN 7

Made this day of 2000 Minister for the Treasury EXPLANATORY NOTE (This note is not part of the Regulations) These Regulations, which come into force with effect from 22n d March 2000, further amend the Value Added Tax Regulations 1996 ("the principal Regulations"). The changes have been made because of a new requirement for certain persons to register for VAT under Schedule 3A of the Value Added Tax Act 1996 ("the Act"), which has effect from 21 March 2000. Schedule 3A prevents avoidance where goods are sold in the Island and the seller (or a previous owner of the seller's business) claimed or intends to claim the VAT on purchase or import of the goods under the provisions allowing VAT repayments to unregistered overseas businesses. Regulation 3 amends the definition of a registered person to cover the situation where he is registered under Schedule 3A. Regulation 4 specifies the form in which a person must notify the Treasury of his liability to be registered under Schedule 3A and extends the existing requirements for notifying cancellation of registration, or variation of the particulars held on the register to such persons. Regulation 5 amends the definition of a person's first VAT return to cover the situation where he is registered under Schedule 3A. Regulation 6 amends the definitions of a person's special accounting period, tax year and registration period for partial exemption purposes to cover the situation where he is registered under Schedule 3A. They have also been amended to cover situations where a person is registered under either Schedule 2 or 3 of the Act in order to correct a previous omission. Regulation 7 and Schedule 1 insert the new form for registration under Schedule 3A (form 7A), effective from 22 March 2000. 8