Commentary

V3.552 Retail scheme specified in a notice

Part V3 Supplies, acquisitions and imports

V3.552 Retail scheme specified in a notice

V3.552 Retail scheme specified in a notice

Regulations made under VATA 1994 Sch 11 para 2(6) provide that HMRC may permit a retailer to calculate the value of his positive rate supplies for a prescribed accounting period in accordance with any method described in a notice published by HMRC for that purpose1. HMRC may vary the terms of any method by publishing a fresh notice or amending an existing one2. They may also vary the terms of any method by adapting any scheme by agreement with any retailer3. Where an agreed adaptation is in place, it is not open to a taxpayer unilaterally to resile from it on discovering that he is disadvantaged by it4.

HMRC have published Notice 7275 and accompanying Notices 727/2–56 under these provisions. The legal effect of these notices has been described in the following terms7

“In considering these notices it has to be borne in mind that they are far from being in the normal form of delegated legislation. Although they do set out what is, in effect, a statutory scheme, they also contain advice and recommendations which are of no statutory

To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to TolleyLibrary or register for a free trial