Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

VAT Cash Accounting Scheme Manual

From
HM Revenue & Customs
Updated
, see all updates

Cash accounting scheme: Leaving the scheme: Time limits for re-entering the scheme

Business left scheme voluntarily

Provided that they are eligible to do so, a business may start to use the scheme again at the beginning of any tax period in which they meet the £1,350,000 entry requirement.

Business left scheme due to exceeding the 25% tolerance threshold

Provided that they are eligible to do so, a business may start to use the scheme again at the beginning of any tax period.

Use of the scheme withdrawn for the protection of the revenue

Provided that they are eligible to do so, a business may start to use the scheme again at the beginning of any tax period that commences one year after the date of withdrawal, specified in the letter issued.

Business had entitlement to begin to use the scheme withdrawn for the protection of the revenue

Provided that they are eligible to do so, a business may start to use the scheme again at the beginning of any tax period that commences after the exclusion period notified to the business has expired.

Businesses convicted of a VAT offence

Provided that they are eligible to do so, a business may start to use the scheme again at the beginning of any tax period that commences one year after the date of the conviction.

Businesses that have entered into a compound agreement

Provided that they are eligible to do so, a business may start to use the scheme again at the beginning of any tax period that commences one year after the date that the compound payment was received by HMRC.

Businesses that have incurred a civil evasion penalty

Provided that they are eligible to do so, a business may start to use the scheme again at the beginning of any tax period that commences one year after the date that the penalty assessment was issued.