Finance Bill (HC Bill 10)

(c) a nil licence for the vehicle has been issued in accordance
with regulations under section 22,

(d) a qualifying application for a vehicle licence for the vehicle
has been received by the Secretary of State,

(e) 5the vehicle is neither used nor kept on a public road and the
particulars and declaration required to be furnished and
made by regulations under section 22(1D) have been
furnished and made in relation to it in accordance with the
regulations,

(f) 10the vehicle has been sold or disposed of and the particulars
prescribed by regulations under section 22(1)(d) have been
furnished in relation to it in accordance with the regulations,
or

(g) the vehicle has been removed from the United Kingdom with
15a view to its remaining permanently outside the United
Kingdom and the Secretary of State has been notified of that
by the relevant person.”

(4) In subsection (3ZA), for “(3)(ca)” substitute “(3)(d)”.

(5) In subsection (3A), for “when the application is made” substitute “when the
20rebate condition is satisfied”.

(6) In subsection (3B), for paragraph (b) (and the “and” following it)
substitute—

“(b) the rebate condition in question is that in subsection (3)(e), (f)
or (g), and”.

(7) 25For subsection (4) substitute—

“(4) In subsections (1) and (3) “the relevant person” means the person in
whose name the vehicle is registered immediately before the rebate
condition is satisfied.”

(8) For subsections (5) and (6) substitute—

“(5) 30The Secretary of State may specify requirements which must be
complied with before a rebate condition can be satisfied.

(5A) The requirements that may be specified include (in particular)—

(a) a requirement that particulars which are required to be
furnished to the Secretary of State are transmitted to the
35Secretary of State by such electronic means as may be
specified, and

(b) in a case within subsection (3)(a), requirements relating to the
reporting to the police that the vehicle has been stolen.”

(9) For subsection (7) substitute—

“(7) 40Where any of the rebate conditions is satisfied in relation to a licence,
the licence ceases to be in force.”

(10) In subsection (8)—

(a) for “trade licence is surrendered to the Secretary of State” substitute
“request is made”,

(b) 45for “holder of the licence” substitute “holder of the trade licence”,
and

(c) for “of the surrender” substitute “the request is received by the
Secretary of State”.

7 In section 22 (registration regulations)—

(a) omit subsection (2A)(c), and

(b) 5omit subsection (4).

8 In section 29 (penalty for keeping unlicensed vehicle)—

(a) in subsection (4) omit the words from “unless” to the end, and

(b) omit subsection (5).

9 In section 31 (relevant period for purposes of section 30), in subsection (7)(a),
10omit “surrender or”.

10 In section 31A (offence by registered keeper where vehicle unlicensed)—

(a) in subsection (4) omit the words from “unless” to the end, and

(b) omit subsection (5).

11 In section 31B (exceptions to section 31A), in subsection (9)(a)(i), omit
15“surrender or”.

12 In section 31C (penalties for offences under section 31A), in subsection (7)(a)
omit “surrender or”.

13 Omit section 33 (offence of not exhibiting licence).

14 Omit section 33A (not exhibiting licence: period of grace).

15 20Omit section 35 (failure to return licence).

16 (1) Section 35A (dishonoured cheques) is amended as follows.

(2) In subsection (1)—

(a) in paragraph (a), for “contains a relevant requirement” substitute
“requires a person to pay the amount specified in subsection (4)
25within such reasonable period as is specified in the notice”, and

(b) in paragraph (b), for “contained in the notice” substitute “within that
period”.

(3) Omit subsection (3).

(4) In subsection (4), for “subsection (3)(b)” substitute “subsection (1)(a)”.

(5) 30For subsection (7) substitute—

“(7) In the case of a requirement in a notice relating to a vehicle licence,
those times are—

(a) the end of the month in which the notice under section
19A(2)(b) or 19B(2)(c) or the further notice under section
3519A(3)(d), 19B(3)(d) or 19B(5)(f) was sent,

(b) the date on which the licence was due to expire, and

(c) the end of the month preceding that in which there first had
effect a new vehicle licence for the vehicle in question;

and, in a case of a requirement in a notice relating to a trade licence,
40those times are the times specified in paragraphs (a) and (b).”

17 (1) Section 36 (dishonoured cheques: additional liability) is amended as follows.

(2) For subsection (4A) substitute—

“(4A) In the case of a vehicle licence, those times are—

(a) the end of the month in which the relevant notice was sent,

(b) the date on which the licence was due to expire, and

(c) 5the end of the month preceding that in which there first had
effect a new licence for the vehicle in question;

and, in the case of a trade licence, those times are the times specified
in paragraphs (a) and (b).

(4B) In subsection (4A)(a), the “relevant notice” is the notice under section
1019A(2)(b) or 19B(2)(c) or the further notice under section 19A(3)(d),
19B(3)(d) or 19B(5)(f) which contained the requirement which was
not complied with, resulting in the conviction of an offence under
section 35A.”

(3) In subsection (6)(b), for “section 35A(3)(b)” substitute “section 35A(1)(a)”.

18 15In section 44 (forgery and fraud), in subsection (2), omit paragraphs (a) to (c).

19 In section 58 (fees prescribed by regulations) omit “7(6)(b),”.

20 In section 62 (definitions), in the definition of “nil licence”, for the words
from “document” to “and is” substitute “licence”.

Part 2 20Amendments of other enactments

21 In Schedule 3 to the Road Traffic Offenders Act 1988 (fixed penalty offences)
omit the entry relating to section 33 of VERA 1994.

Part 3 Commencement

22 25The amendments made by this Schedule come into force on 1 October 2014.

Section 93

SCHEDULE 16 Climate change levy: exemptions for mineralogical and metallurgical
processes etc

Part 1 30The exemptions

1 Schedule 6 to FA 2000 (climate change levy) is amended as follows.

2 After paragraph 12 insert—

“Exemption: mineralogical and metallurgical processes

12A (1) A supply of a taxable commodity to a person is exempt from the
levy if the commodity is to be used by the person in a
5mineralogical or metallurgical process.

(2) “Mineralogical process” has the same meaning as in Article 2(4)(b)
of Council Directive 2003/96/EC of 27 October 2003 (which
relates to the taxation of energy products and electricity).

(3) “Metallurgical process” means a process of any of the following
10descriptions.

(4) The descriptions are—

(a) a process falling within Division 24 of NACE Rev 2,
excluding Class 24.46;

(b) a process falling within Group 25.5 of NACE Rev 2;

(c) 15a process falling within Class 25.61 of NACE Rev 2 which
is—

(i) plating, anodising etc of metals;

(ii) heat treatment of metals;

(iii) deburring, sandblasting, tumbling and cleaning of
20metals where carried out in conjunction with a
process mentioned in paragraph (a) or (b).

In this sub-paragraph “NACE Rev 2” is as set out in Annex I to
Regulation (EC) No 1893/2006 of the European Parliament and of
the Council of 20 December 2006 (relating to the statistical
25classification of economic activities).”

3 (1) Paragraph 42 (amount payable by way of levy) is amended as follows.

(2) In sub-paragraph (1)—

(a) in paragraph (a) omit “or a supply for use in scrap metal recycling”,

(b) omit paragraph (d), and

(c) 30in the Table, in the heading for column 2, omit “or a supply for use in
scrap metal recycling”.

(3) Omit sub-paragraph (1ZA).

4 Omit paragraph 43A (supplies for use in scrap metal recycling) and the
cross-heading before it.

5 35In paragraph 43B (supplies for use in scrap metal recycling etc: deemed
supply) in sub-paragraph (1)(b) omit sub-paragraph (i).

6 In paragraph 62 (tax credits) in sub-paragraph (1) omit paragraphs (ca) and
(cb).

7 In paragraph 101 (civil penalties: incorrect certificates) in sub-paragraph
40(2)(a)—

(a) in sub-paragraph (ii) after “12,” insert “12A,”,

(b) after sub-paragraph (ii) insert “or”, and

(c) omit sub-paragraph (iiia) and the “or” after it.

8 (1) The Climate Change Levy (General) Regulations 2001 (S.I. 2001/838S.I. 2001/838) are
amended as follows.

(2) In regulation 2 (general interpretation) in paragraph (1) omit “, recycling
lower-rate part”, “a recycling lower-rate supply or” and the definition of
5“recycling lower-rate supply”.

(3) In regulation 8 (records which a registrable person is obliged to keep) in
paragraph (c)(ii) omit “recycling lower-rate supply or a”.

(4) In regulation 11 (other tax credits: entitlement) in paragraph (1)—

(a) in sub-paragraph (c) omit “a recycling lower-rate supply or” (in both
10places), and

(b) omit sub-paragraph (ca).

(5) In regulation 12 (tax credits: general) in paragraph (1) omit “, recycling
lower-rate supplies”.

(6) In regulation 33 (special rules for certain supplies)—

(a) 15in the heading omit “, recycling lower-rate supplies”, and

(b) in the text omit “, recycling lower-rate supplies”.

(7) In the title of Part 3 omit “, recycling lower-rate”.

(8) In regulation 34 (supplier certificates) in paragraph (1)(a) after “12
(transport),” insert “12A (mineralogical and metallurgical processes),”.

(9) 20In regulation 35 (supplier certificates)—

(a) in paragraph (1) omit “a recycling lower-rate or”,

(b) in paragraph (2)(a) omit paragraph (ii) and the “or” before it, and

(c) in paragraph (3) omit “or is for use in scrap metal recycling”.

(10) Schedule 1 (certification etc) is amended as follows.

(11) 25In the title omit “, recycling lower-rate”.

(12) In paragraph 2—

(a) in the formula omit “+0.8L”,

(b) in the definition of “M”, after paragraph (b) insert—

“(ba) paragraph 12A—mineralogical and metallurgical
30processes;”, and

(c) omit the definition of “0.8L”.

(13) In paragraph 3(1) omit “recycling lower-rate and”.

(14) In paragraph 5(7) omit “Supplies for use in scrap metal recycling and”.

(15) In paragraph 6(1)—

(a) 35in paragraph (c) omit “a recycling lower-rate supply or” (in both
places), and

(b) omit paragraph (ca).

(16) The amendments made by sub-paragraphs (8) and (12)(b) are to be treated
as having been made by the Commissioners for Her Majesty’s Revenue and
40Customs in exercise of the power conferred by paragraph 22 of Schedule 6
to FA 2000 (regulations giving effect to exemptions).

9 (1) Schedule 1 to the Climate Change Levy (Fuel Use and Recycling Processes)
Regulations 2005 (S.I. 2005/1715S.I. 2005/1715) is amended as follows.

(2) In paragraph 1 omit “Aluminium” and “Copper”.

(3) In paragraph 2 for the words from “Gold” to “platinum group metal alloys
5and” substitute “The electrolytic dissolution of”.

(4) Omit paragraphs 18 to 24, 26, 27, 28, 32, 34, 36 and 37.

(5) The amendments made by this paragraph are to be treated as having been
made by the Treasury in exercise of the power conferred by paragraph 18(2)
of Schedule 6 to FA 2000 (exemption for supply not used as fuel).

10 (1) 10The amendments made by this Part are treated as having come into force on
1 April 2014 and have effect as follows.

(2) In relation to supplies of gas or electricity, they have effect in relation to gas
or electricity actually supplied on or after 1 April 2014.

(3) In relation to any other supplies, they have effect in relation to supplies
15treated as taking place on or after 1 April 2014.

Part 2 Other provision

11 Schedule 6 to FA 2000 (climate change levy) is amended as follows.

12 In paragraph 12A (as inserted by paragraph 2 above) after sub-paragraph (4)
20insert—

“(5) The Treasury may by regulations amend this paragraph so as to
amend the definition of “mineralogical process”.

(6) The Treasury may by regulations amend sub-paragraph (4) so as
to add, remove or modify a description.”

13 25In paragraph 13A (power to make provision amending paragraph 13) in
sub-paragraph (3) omit “Parliament”.

14 (1) Paragraph 146 (regulations and orders) is amended as follows.

(2) In sub-paragraphs (2)(b) and (3) omit “Parliament”.

(3) After sub-paragraph (3) insert—

“(3A) 30A statutory instrument that contains (whether alone or with other
provision) regulations under paragraph 12A(5) that remove a
process (in whole or in part) from the scope of the definition of
“mineralogical process” shall not be made unless a draft of the
statutory instrument containing the regulations has been laid
35before and approved by a resolution of the House of Commons.

(3B) A statutory instrument that contains (whether alone or with other
provision) regulations under paragraph 12A(6) that—

(a) remove a description, or

(b) modify a description so as to narrow its scope,

shall not be made unless a draft of the statutory instrument
containing the regulations has been laid before and approved by a
resolution of the House of Commons.”

Section 95

SCHEDULE 17 5Goods shipped or carried as stores on ships or aircraft

Meaning of “stores”

1 (1) Section 1 of CEMA 1979 (interpretation) is amended as follows.

(2) In subsection (4)(a)(i), for “relevant journey” substitute “journey made by
the ship or aircraft”.

(3) 10Omit subsection (4A).

Surplus stores

2 In section 39 of CEMA 1979 (entry of surplus stores), for subsection (1)
substitute—

“(1) Surplus stores of any ship or aircraft—

(a) 15may remain on board the ship or aircraft without payment of
duty; or

(b) may be entered for warehousing, notwithstanding that they
could not lawfully be imported as merchandise.

This is subject to subsection (2) below.”

20Power to make regulations about stores

3 In CEMA 1979, after section 60 insert—

“60A Power to make regulations about stores

(1) The Commissioners may by regulations make provision in relation
to goods for use on a ship or aircraft as stores.

(2) 25The provision that may be made by regulations under subsection (1)
includes—

(a) provision permitting, in specified circumstances, goods to be
shipped or carried as stores without payment of duty or on
drawback;

(b) 30provision requiring authorisation to be obtained, in specified
circumstances, for goods to be shipped or carried as stores as
mentioned in paragraph (a) above;

(c) provision about obtaining such authorisation;

(d) provision enabling such authorisation to be withdrawn in
35specified circumstances;

(e) provision for the supply, shipping or carriage of goods as
stores as mentioned in paragraph (a) above to be subject to
specified conditions or restrictions;

(f) provision as to any procedure to be followed in supplying
goods to be shipped or carried as stores as mentioned in
paragraph (a) above.

(3) Regulations made by virtue of subsection (2)(a) may include—

(a) 5provision requiring duty to be paid on goods shipped or
carried as stores without payment of duty or on drawback
where those goods are—

(i) consumed on a journey of a specified description; or

(ii) consumed in specified circumstances in port;

(b) 10provision as to the persons by whom such duty is payable;

(c) provision about the way in which, and the time at which,
such duty is to be paid; and

(d) provision for goods, in specified circumstances, to be treated
as having been consumed on a journey or in port.

(4) 15The provision that may be made by regulations under this section
includes—

(a) different provision for different cases; and

(b) incidental, supplemental, consequential or transitional
provision or savings.

(5) 20In this section “specified” means—

(a) specified in regulations made under this section; or

(b) specified by the Commissioners under such regulations.”

4 (1) Section 61 of CEMA 1979 (provisions as to stores) is amended as follows.

(2) Omit subsections (1) to (4).

(3) 25In subsection (5), for the words from “for use on a voyage” to “duty”
substitute “without payment of duty”.

(4) After subsection (5) insert—

“(5A) But subsection (5) above does not apply where the goods are entered
for warehousing in accordance with section 39.”

(5) 30In subsection (6), omit “for use”.

(6) The heading of section 61 becomes “Supplementary provision relating to
stores”.

5 In consequence of the provision made by paragraph 4, in section 103 of
F(No.2)A 1987 (consumption in port of goods transhipped for use as stores
35etc), omit subsections (1), (2) and (4) to (7).

Penalties and enforcement

6 In CEMA 1979, after section 60A (inserted by paragraph 3 above) insert—

“60B Failure to comply with regulations under section 60A

(1) This section applies if a person fails to comply with—

(a) 40any provision made by or under regulations under section
60A; or

(b) any condition or restriction imposed under such regulations.

(2) The person’s failure to comply shall attract a penalty under section 9
of the Finance Act 1994 (civil penalties) (but see subsection (4)).

(3) Any goods in respect of which the person fails to comply with the
provision, condition or restriction are liable to forfeiture.

(4) 5Subsection (2) does not apply if, as a result of the failure, the person
is liable to pay a penalty under Schedule 55 to the Finance Act 2009
(penalty for failure to make returns etc) or Schedule 56 to that Act
(penalty for failure to make payments on time).”

7 In Schedule 55 to FA 2009 (penalty for failure to make returns etc), in the
10Table in paragraph 1, after item 20 insert—

8 15In Schedule 56 to FA 2009 (penalty for failure to make payments on time), in
the Table in paragraph 1, after item 11G insert—

Review and appeal

9 In paragraph 2 of Schedule 5 to FA 1994 (decisions under CEMA 1979 subject
to review and appeal), after sub-paragraph (3) insert—

“(3A) Any decision which is made under or for the purposes of any
30regulations under section 60A of the Management Act (power to
make regulations about stores) and is a decision about granting or
withdrawing authorisation for goods to be shipped or carried as
stores without payment of duty or on drawback.”

Commencement

10 (1) 35Any power to make regulations conferred by virtue of this Schedule comes
into force on the day on which this Act is passed.

(2) So far as not already brought into force by virtue of sub-paragraph (1), the
amendments made by this Schedule come into force in accordance with
provision contained in an order made by statutory instrument by the
40Commissioners for Her Majesty’s Revenue and Customs.

11 (1) Schedule 55 to FA 2009 (including the amendments of that Schedule made
by Schedule 10 to F(No.3)A 2010) is taken to have come into force for the
purposes of section 60A of CEMA 1979 on the date on which paragraph 7 of
this Schedule comes into force.

(2) 5Schedule 56 to FA 2009 (including the amendments of that Schedule made
by Schedule 11 to F(No.3)A 2010) is taken to have come into force for the
purposes of section 60A of CEMA 1979 on the date on which paragraph 8 of
this Schedule comes into force.

Section 97

SCHEDULE 18 10Supplies of electronic, broadcasting and telecommunication services: special
accounting schemes

Part 1 Union scheme

New Union scheme for accounting for VAT on certain supplies

1 15After Schedule 3B to VATA 1994 insert—

“Schedule 3BA Electronic, telecommunication and broadcasting services: Union
scheme

Part 1 Introduction

20Overview

1 In this Schedule—

(a) Parts 2 and 3 establish a special accounting scheme (called
the “Union scheme”) which may be used by certain
persons established in the United Kingdom who make
25supplies of electronically supplied, telecommunication or
broadcasting services that are treated as made in other
member States;

(b) Part 4 is about persons participating in schemes in other
member States that correspond to the Union scheme;

(c) 30Part 5 is about appeals;

(d) Part 6 contains definitions for the Schedule.

Meaning of “scheme services”

2 (1) In this Schedule “scheme services” means electronically supplied
services, broadcasting services or telecommunication services.

(2) 35In sub-paragraph (1)—

Finance BillPage 460

• “broadcasting services” means radio and television
  broadcasting services;

• “electronically supplied services” has the same meaning as in
  Schedule 4A (see paragraph 9(3) and (4) of that Schedule);

• 5“telecommunication services” has the same meaning as in
  Schedule 4A (see paragraph 8(2) of that Schedule).

Part 2 Union scheme: registration

The register

3 10Persons registered under the scheme provided for by this
Schedule (“the Union scheme”) are to be registered in a single
register kept by the Commissioners for the purposes of the
scheme.

Persons who may be registered

4 (1) 15A person may register under the Union scheme if all the following
conditions are met—

(a) the person makes or intends to make one or more
qualifying supplies of scheme services in the course of a
business that the person carries on;

(b) 20either the person’s business is established in the United
Kingdom or (if the person’s business is not established in
any member State) the person has a fixed establishment in
the United Kingdom;

(c) the person is not barred from registering by sub-paragraph
25(3), by the second paragraph of Article 369a(2) of Directive
2006/112/EC or by any provision of the Implementing
Regulation;

(d) the person is registered under Schedule 1.

(2) A supply of scheme services is a “qualifying supply of scheme
30services” if the following conditions are met.

1. The recipient of the services must belong in a member State
other than the United Kingdom and must not be a relevant
business person.

(3) A person may not be registered under the Union scheme if the
35person is a participant in a non-UK special scheme (see paragraph
38(1)).

Becoming registered

5 (1) The Commissioners must register under the Union scheme any
person who—

(a) 40satisfies them that the requirements for registration are
met, and

(b) makes a request in accordance with this paragraph (a
“registration request”).

(2) A registration request made by a person must state the person’s—

(a) name and postal address, and

(b) 5electronic addresses (including any websites).

(3) A registration request made by a person must also state—

(a) whether or not the person has begun to make qualifying
supplies of scheme services, and

(b) (if applicable) the date on which the person began to do so.

(4) 10A registration request made by a person must also state—

(a) whether or not the person has previously been identified
under a non-UK special scheme, and

(b) (if applicable) the date on which the person was first
identified under the scheme concerned.

(5) 15A registration request—

(a) must contain any further information, and any declaration
about its contents, that the Commissioners may by
regulations require;

(b) must be made by such electronic means, and in such
20manner, as the Commissioners may direct or may by
regulations require.

Notification of changes etc

6 (1) A person registered under the Union scheme must inform the
Commissioners of the date when the person first makes qualifying
25supplies of scheme services (unless the person has already given
the Commissioners the information mentioned in paragraph
5(3)(b)).

(2) That information, and any information a person is required to give
under Article 57h of the Implementing Regulation (notification of
30certain changes), must be communicated by such electronic
means, and in such manner, as the Commissioners may direct or
may by regulations require.

Cancellation of registration

7 The Commissioners must cancel the registration under the Union
35scheme of a person if—

(a) the person has ceased to make, or no longer intends to
make, supplies of scheme services and has notified them of
that fact;

(b) they otherwise determine that the person has ceased to
40make, or no longer intends to make, supplies of scheme
services;

(c) the person has ceased to satisfy any of the other conditions
for registration in paragraph 4(1) and has notified them of
that fact,

(d) 45they otherwise determine that the person has ceased to
satisfy any of those conditions, or

(e) they determine that the person has persistently failed to
comply with the person’s obligations under this Schedule
or the Implementing Regulation.

Part 3 5Union scheme: liability, returns, payment etc

Liability to pay non-UK VAT to Commissioners

8 (1) This paragraph applies where a person—

(a) makes a qualifying supply of scheme services, and

(b) is registered under the Union scheme when the supply is
10made.

(2) The person is liable to pay to the Commissioners the gross amount
of VAT on the supply.

(3) The reference in sub-paragraph (2) to the gross amount of VAT on
the supply is to the amount of VAT charged on the supply in
15accordance with the law of the member State in which the supply
is treated as made, without any deduction of VAT pursuant to
Article 168 of Directive 2006/112/EC.

Union scheme returns

9 (1) A person who is or has been registered under the Union scheme
20must submit a return (a “Union scheme return”) to the
Commissioners for each reporting period.

(2) Each quarter for the whole or part of which a person is registered
under the Union scheme is a “reporting period” for that person.

Union scheme returns: further requirements

10 (1) 25A Union scheme return is to be made out in sterling.

(2) Any conversion from one currency into another for the purposes
of sub-paragraph (1) is to be made using the exchange rates
published by the European Central Bank—

(a) for the last day of the reporting period to which the Union
30scheme return relates, or

(b) if no such rate is published for that day, for the next day for
which such a rate is published.

(3) A Union scheme return—

(a) must be submitted to the Commissioners within the 20
35days after the last day of the reporting period to which it
relates;

(b) must be submitted by such electronic means, and in such
manner, as the Commissioners may direct or may by
regulations require.

Payment

11 (1) A person who is required to submit a Union scheme return must
pay, by the deadline for submitting the return, the amounts
required in accordance with paragraph 8 in respect of qualifying
5supplies of scheme services made in the reporting period to which
the return relates.

(2) A payment under this paragraph must be made in such manner as
the Commissioners may direct or may by regulations require.

Availability of records

12 (1) 10A person who is registered under the Union scheme must make
available to the Commissioners, on request, any obligatory
records the person is keeping of transactions entered into by the
person while registered under the scheme.

(2) The records must be made available by electronic means.

(3) 15In sub-paragraph (1) “obligatory records” means records kept in
accordance with an obligation imposed in accordance with Article
369k of Directive 2006/112/EC.

Amounts required to be paid to other member States

13 Section 44 of the Commissioners for Revenue and Customs Act
202005 (requirement to pay receipts into the Consolidated Fund)
does not apply to any money received for or on account of VAT
that is required to be paid to another member State under Article
46 of Council Regulation (EU) No 904/2010.

Part 4 25Persons registered under non-UK special schemes

Meaning of “non-UK special scheme”

14 (1) In this Schedule “non-UK special scheme” means any provision of
the law of a member State other than the United Kingdom which
implements Section 3 of Chapter 6 of Title XII of Directive 2006/
30112/EC.

(2) In relation to a non-UK special scheme, references to the
“administering member State” are to the member State under
whose law the scheme is established.

Exemption from requirement to register under this Act

15 (1) 35A participant in a non-UK special scheme is not required to be
registered under this Act by virtue of making supplies of scheme
services in respect of which the participant is required to make
returns under that scheme.

(2) Sub-paragraph (1) overrides any contrary provision in this Act.

(3) Where a participant in a non-UK special scheme who is not
registered under this Act (“the unregistered person”) makes
relevant supplies, it is to be assumed for all purposes of this Act
relating to the determination of—

(a) 5whether or not VAT is chargeable under this Act on those
supplies,

(b) how much VAT is chargeable under this Act on those
supplies,

(c) the time at which those supplies are treated as taking place,
10and

(d) any other matter that the Commissioners may specify by
regulations,

that the unregistered person is registered under this Act.

(4) Supplies of scheme services made by the unregistered person are
15“relevant supplies” if—

(a) the value of the supplies must be accounted for in a return
required to be made by the unregistered person under the
non-UK special scheme, and

(b) the supplies are treated as made in the United Kingdom.

20De-registration

16 (1) Sub-paragraph (2) applies where a person who is registered under
Schedule 1A—

(a) satisfies the Commissioners that the person intends to
apply for identification under a non-UK special scheme,
25and

(b) asks the Commissioners to cancel the person’s registration
under Schedule 1A.

(2) The Commissioners may cancel the person’s registration under
Schedule 1A with effect from—

(a) 30the day on which the request is made, or

(b) a later date agreed between the person and the
Commissioners.

Scheme participants who are also registered under this Act

17 (1) A person who—

(a) 35is a participant in a non-UK special scheme, and