Value Added Tax Act 1994 section 29

Failure to make returns

Section 29 extends certain provisions of Section 73 (which deals with HMRC's powers when VAT returns are not made) to cover situations arising from cancellation of registration under the domestic reverse charge rules and to the acquisition of goods from other countries.

• Where a person's registration is cancelled under paragraphs 43(2), 43(5) or 53(5), Section 73(3) applies to any VAT amounts that should not have been paid as a result of that cancellation.
• This means HMRC can assess and recover overpaid amounts in the same way as it would for any other registration cancellation covered by Section 73(3).
• Section 73(7), which deals with the supply of goods to a taxable person, is extended to also cover the acquisition of goods from a member state by a taxable person.
• The overall effect is to ensure HMRC's assessment and recovery powers work consistently across domestic reverse charge registration cancellations and cross-border acquisitions.