VATDREG04450 - Schedule 9ZA - distance-selling
A person must notify HMRC within 30 days of ceasing to make, or intending to make, relevant supplies. Relevant supplies has a specific definition in paragraph 56.
HMRC may cancel the registration of a person who is no longer making, or intending to make, relevant supplies.
Additionally, HMRC may cancel the registration of a person who was registered based on an intention to make relevant supplies under paragraph 51(1) if:
• they have not begun to make relevant supplies
• they have not exercised the option referred to in paragraph 48(2)
• they have not begun to make any supplies referred to in paragraph 48(3).
Voluntary deregistration
A person may request deregistration if:
• the value of the relevant supplies falls below the distance selling threshold section 4 of the VAT
Notice 700/11.
• any option referred to in paragraph 48(2) has been revoked in the member state of origin, and
• they do not make any supplies referred to in paragraph 48(3)
This is subject to the following conditions:
• they have not exceeded the distance selling threshold in the previous calendar year ending on 31 December, and
• they will not exceed the distance-selling threshold in the current calendar year beginning 1 January.
If the person has exercised the option under paragraph 48(2), they must remain VAT registered for the remainder of the calendar year of registration, and for a further two full calendar years, unless one of the conditions in paragraph 53(6) applies:
• the option is revoked in the member state of origin
• the person was not registerable under Schedule 9ZA
• they did not genuinely intend to make distance sales
• no distance sales were made by the date specified in the application
• they have contravened any condition of the registration