VRM4100 - Who is entitled to claim: overview
It is important that you make sure that the person who makes a claim for a refund arising from an over-declaration of output tax or an under-claim of input tax is actually entitled to make the claim.
The default entitlement to claim for output tax and input tax is set out below but there is more detailed guidance on specific entitlement situations in the links at the end of this page.
Output tax claim
A claim may be made by
- the person who made the over-declaration of output tax
- the person to whom the right to make a claim has been assigned or transferred by the person who made the over-declaration, for example, by a deed of assignment or as part of the transfer of a business as a going concern, this will turn on the terms of the Sale and Purchase agreement
- a person acting for the claimant, such as an accountant, solicitor or tax adviser for whom the claimant has signed and submitted a 64-8.
However, payment should be made only to the person who legally holds the right to make the claim, see VRM4800.
Late input tax claim
A claim may be made by
- the person who incurred it for the purposes of their own taxable business activities
- a person to whom the right to claim has been assigned or transferred by the person who incurred the input tax, for example, by a deed of assignment or as part of a transfer of a business as a going concern – in the case of a transfer of a business as a going concern, this will turn on the terms of the Sale and Purchase agreement
- a transferee where a business is transferred as a going concern and the transferee adopts the VAT registration number of the transferor under Regulation 6 of the VAT Regulations 1995 (by means of a Form VAT68), (Regulation 6(3)(b))
- a person acting for the claimant, such as an accountant, solicitor or tax adviser for whom the claimant has signed and submitted a 64-8.
However, payment should be made only to the person who legally holds the right to make the claim.
More detailed guidance
For more detailed guidance on