The following Value Added Tax guidance note by Tolley provides comprehensive and up to date tax information covering:
This guidance note provides an overview of the impact of opting to tax on companies included in a VAT group. For more information on group registration, see the VAT group registration guidance note.
If a company which is a member of a VAT group opts to tax a property, the option to tax will generally be binding on other companies included in the same VAT group registration. The other companies in the VAT group are referred to as 'relevant associates' of the company that opted to tax the property. As a result, if a relevant associate makes any supplies of the opted property it will be required to charge VAT, even if those supplies are made after the company leaves the VAT group.
A company will be a relevant associate if:
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