Value Added Tax Act 1994 section 46

Business carried on in divisions or by unincorporated bodies, personal representatives etc.

Section 46 deals with how VAT registration and obligations work when businesses are run through corporate divisions, partnerships, clubs and associations, and what happens when a taxable person dies, becomes bankrupt, or becomes incapacitated.

• A body corporate operating through several divisions may, with HMRC's approval, register each division separately for VAT purposes under the division's name.
• HMRC may make regulations determining who is responsible for VAT obligations where a business is run as a partnership, or by a club, association or organisation managed by its members or their committees — and such bodies may register in their own name, with changes in membership having no effect on their VAT status.
• HMRC may make regulations allowing persons who carry on the business of a taxable person who has died, become bankrupt, had their estate sequestrated or become incapacitated to be treated as taxable persons for a limited period, ensuring continuity of VAT obligations.
• Where the taxable person is a company, references to bankruptcy, sequestration or incapacity are to be read as references to the company being in liquidation, receivership or administration.