S.I. No. 259/1994:

VALUE-ADDED TAX (DETERMINATION OF TAX DUE BY REFERENCE TO MONEYS RECEIVED) (AMENDMENT) REGULATIONS, 1994.

VALUE-ADDED TAX (DETERMINATION OF TAX DUE BY REFERENCE TO MONEYS RECEIVED) (AMENDMENT) REGULATIONS, 1994.

The Revenue Commissioners, in exercise of the powers conferred on them by sections 14 and 32 of the Value-Added Tax Act, 1972 (No. 22 of 1972), hereby make the following Regulations:

1. (1) These Regulations may be cited as the Value-Added Tax (Determination of Tax Due by Reference to Moneys Received) (Amendment) Regulations, 1994.

(2) The Principal Regulations and these Regulations shall be construed together as one and may be cited together as the Value-Added Tax (Determination of Tax Due by Reference to Moneys Received) Regulations, 1992 and 1994.

2. In these Regulations--

"the Act" means the Value-Added Tax Act, 1972 ;

"the Principal Regulations" means the Value-Added Tax (Determination of Tax Due by Reference to Moneys Received) Regulations 1992 ( S.I. No. 306 of 1992 ).

3. Regulation 3 of the Principal Regulations is hereby amended--

(1) by the substitution of "section 14 (1) (a)" for "section 14 (1)", and

(2) by the substitution of "persons who are not registered persons" for "unregistered persons".

4. The Principal Regulations are hereby amended by the substitution of the following Regulation for Regulation 4:

"4. (1) An application by a taxable person (hereafter referred to in this Regulation as the 'applicant') for authorisation to use the moneys received basis of accounting shall be made in writing to the Revenue Commissioners and shall include--

( a ) the applicant's name and address;

( b ) the number assigned, if any, to the applicant for the purposes of registration under section 9 of the Act (the VAT registration number);

( c ) the nature of the business activities carried on by the applicant.

(2) An applicant who claims eligibility under section 14 (1) (a) of the Act shall include in any application made in accordance with this Regulation particulars of--

( a ) the percentage of the applicant's turnover from taxable supplies, if any, which related to supplies to persons who are not registered persons--

(i) in the period of 12 months ended on the last day of the taxable period prior to the application, or

(ii) in the period from the commencement of his business activities to the last day of the taxable period referred to in clause (i) of this subparagraph,

whichever is the shorter; and,

( b ) the applicant's estimate of the percentage of the said applicant's turnover from taxable supplies which will relate to supplies to persons who are not registered persons in the period of 12 months commencing with the beginning of the taxable period during which the application is made.

(3) An applicant who claims eligibility under section 14 (1) (b) of the Act shall include in any application made in accordance with this Regulation particulars of--

( a ) the amount of the applicant's turnover from taxable supplies in the period of 12 months ended on the last day of the taxable period prior to the application; and

( b ) the applicant's estimate of the said applicant's turnover from taxable supplies in the period of 12 months commencing with the beginning of the taxable period during which the application is made.".

5. The Principal Regulations are hereby amended by the substitution of the following paragraph for paragraph (1) of Regulation 9:

"(1) A taxable person authorised in accordance with Regulation 5 shall notify the Revenue Commissioners in writing whenever, for any period of four consecutive calendar months during the validity of such authorisation, the following occurs:

( a ) the percentage of the taxable person's turnover from taxable supplies to persons who are not registered persons is less than 90 per cent; and

( b ) the taxable person's turnover from taxable supplies is such that in the twelve months immediately following such four months period it is likely to exceed £250,000,

and notification in accordance with this Regulation shall be made within 30 days of the end of such four month period.".

GIVEN this 8th day of August, 1994.

D. B. QUIGLEY,

Revenue Commissioner.

EXPLANATORY NOTE.

Section 97 of the Finance Act, 1994 amended the moneys received basis of accounting for VAT to allow taxable persons with a turnover of not more than £250,000 to use that method of accounting for VAT. These Regulations amend the Value-Added Tax (Determination of Tax Due by Reference to Moneys Received) Regulations, 1992 ( S.I. No. 306 of 1992 ) to take account of that extended eligibility. A minor technical amendment to Regulation 3 of those Regulations is also being made.