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HMRC internal manual

VAT Deregistration

Cancellation in particular cases: intending traders: cancellation procedure

Follow the normal cancellation procedures and bear in mind the following points:

  • The trader must complete the final return (VAT 193).
  • If the trader does not send in a final return, even after the normal reminder notices, we may complete a pro-forma final nil return on a VAT 127 (signed at an appropriate grade) locally provided we are satisfied that there is no VAT owed to the Department.
  • Normally, there is no TOGC if an intending trader sells a business before they have made taxable supplies. Tax is due, under the normal rules, on stocks and assets which remain on hand at the time of deregistration.