Evaluación del impacto ambiental de las actividades agropecuarias en estudio

6.1 Requirement to be registered

6.1.1 Taxable supplies

The supply of any goods and services, which are subject to VAT at any rate,

including the zero-rate, are called taxable supplies. They are called taxable supplies whether you are registered for VAT or not.

6.1.2 When must I register and start to charge VAT?

If the value of your taxable supplies is over a specified limit, you must register for VAT, unless your taxable supplies are wholly or mainly zero-rated in which case you may apply for exemption from registration. The limits are shown in the supplement to Notice 700/1 Should I be registered for VAT?

If you are registered for VAT, you must charge and account for VAT on all your taxable supplies from the date that you are first registered.

For further information see Notice 700/1 Should I be registered for VAT? Notice 700/1 also explains how to apply for:

 exemption from registration if your taxable supplies are wholly or mainly zero-rated; and

 voluntary registration if the value of your taxable supplies is below the limits for compulsory registration.

If you are a local authority, special rules apply regarding VAT registration - see Notice 749 Local authorities and similar bodies.

6.1.3 When do I notify you?

You must notify our National Registration Service within 30 days of your liability to be registered arising. You may be liable to a financial penalty if you fail to notify at the proper time.

You can find details of our National Registration Service offices:

 on our website, under VAT; or

 by calling our VAT Helpline on 0845 010 9000.

6.1.4 Who can be registered?

It is the person, not the business, who is registered for VAT and each registration covers all the business activities of the registered person. The person to be registered can be, for example:

 a sole proprietor;  a partnership;  a limited company;  a club;  an association; or  a charity.

6.2 Are there other situations where I could be

liable to be registered for VAT?

Yes. If you are not already registered, or liable to be registered for VAT in respect of taxable supplies, there are some other circumstances in which you may become liable to be registered.

6.2.1 Acquisitions

If you are not already registered for VAT...

And you… Then you…

acquire goods in the UK direct from another EC Member State, and the total value of these goods exceeds a certain limit

must register for VAT in the UK.

6.2.2 Distance sales

Distance selling is when a taxable person in one European Community (EC) Member State supplies and delivers goods to a customer in another EC Member State and the customer is not:

 registered for VAT, or

The most common example of distance sales is mail order sales.

If you are a supplier in another EC member state and not already registered for VAT in the UK

And… Then you…

the value of your distance sales to the UK exceeds certain limits

must register for VAT in the UK.

However, if… Then you…

you make distance sales of goods liable to excise duty in the UK, for example tobacco or alcohol products

must register for VAT in the UK

regardless of the value of these goods. You can find further information about registration in respect of acquisitions or distance sales in the UK in Notice 700/1 Should I be registered for VAT? Notice 700/1 also explains how to apply for voluntary registration for acquisitions or distance sales if the value of these is below the limits for compulsory registration.

6.2.3 Relevant supplies by Non Established Taxable

Persons (NETPs) and unregistered UK businesses

(a) What is an NETP?

An NETP is any person who is not normally resident in the UK, and does not have a

business establishment here and, in the case of a company, is not incorporated here. NETPs who make:

 taxable supplies;

 distance sales; or

 acquisitions in the UK

above the relevant limits, must register and account for VAT here. (b) Relevant supplies

An NETP who makes relevant supplies in the UK must register here, irrespective of the value of those relevant supplies. A relevant supply is the disposal of a capital asset by the NETP in the UK, where the NETP’s purchase of the goods (or anything incorporated in them) included UK VAT which the NETP recovered under the EC’s 8th or 13th Directive refund arrangements.

Notice 723A Refunds of VAT in the European Community for EC and non-EC businesses gives further information about the refund scheme.

If an unregistered UK business disposes of capital assets, and those assets were purchased from another person who had received (or any predecessor of that other person had received) a refund of UK VAT on the capital asset concerned (or anything incorporated in it) under the arrangements at (b) above, the disposal of the capital asset by the unregistered UK business is a relevant supply. The unregistered

business must register and account for UK VAT on the disposal of the capital asset, irrespective of the value of that asset.

Further information about NETPs, relevant supplies and the meaning of business establishment and predecessor for these purposes, is in Notice 700/1 Should I be registered for VAT?

6.3 Services from abroad

If you receive services from abroad - see paragraph 5.4 - you must take their value into account when working out whether you must be registered. You may still have to be registered, even though you make no other types of taxable supplies or the value of your other types of taxable supplies are below the registration limits.

6.4 What should I do if I am VAT registered and

make some exempt supplies?

If you are a taxable person and make some exempt supplies, please read paragraph 13.1.

6.5 What if I have separated my business into

smaller parts?

Where a business has been artificially separated into smaller parts and this results in the avoidance of VAT, we have power to direct that the persons running these activities be treated as a single taxable person and registered. For further information see Notice 700/1 Should I be registered for VAT?

You have the right to appeal to an independent tribunal against the issue of such a direction (see Section 28).

6.6 When is it possible to register as a VAT

group or have a Divisional registration?

In certain circumstances a group of limited companies may apply to be treated as a single taxable person for VAT registration purposes, or a company may be allowed to register in separate divisions. For further information, see Notice 700/2 Group and divisional registrations.

6.7 Would I have to register for VAT if I am

resident abroad?

If you are resident abroad with a business in this country making taxable supplies, distance sales or acquisitions in the UK you may have to be registered for VAT if their value is over the relevant threshold. Even if you do not make any taxable

supplies in the UK but have an establishment here that incurs UK VAT, you may wish to apply for registration on a voluntary basis. For further information see Notice 700/1 Should I be registered for VAT?

6.8 How do I register if I am part of a joint

venture?

If you and some other person intend to co-operate in making taxable supplies, distance sales or acquisitions in the UK as a joint venture, this may count as a partnership which would be a new and separate person for VAT registration

purposes. The joint venture may be liable to register if the value of taxable supplies etc is above the relevant thresholds.

If you are unsure whether the arrangements you have entered into count as a

partnership for these purposes, contact our National Registration Service for advice.

7. Output tax: introduction and tax value