VATAFRS2200 - Appendices: compulsory cancellation of certificates
VATAFRS0400 explains the context of this page.
- If a certificate must be cancelled, advise Grimsby Registration Unit, who will write to the farmer and:
- explain the reason for cancellation of the certificate;
- confirm the date of cancellation;
- point out that compulsory cancellation is an appealable matter under the VAT Act 1994 Section 83(m); and
- ask the farmer to return the flat rate farming certificate to Grimsby Registration Unit.
- The effective date of cancellation will depend on the reason for cancellation:
| Reason | Cancellation date |
|---|---|
| False statement made at time of application, which affects entitlement to certification. | Date the false statement is discovered. |
| Convicted of an offence in connection with VAT, or payment made to compound proceedings under CEMA, section 152. | Date of conviction or payment to compound proceedings. |
| Assessed for penalty under the VAT Act 1994, section 60. | Thirty days after the assessment is issued. |
| Designated activities cease. | Date activities cease. |
| Death, incapacity or bankruptcy. | Date of death, incapacity or bankruptcy. |
| Liable to be registered for VAT under VAT Act 1994, Schedule 1 or Schedule 3. | The effective date of registration. |
| Protection of the revenue. | Date on which the Commissioners consider the risk arises. |
- Grimsby Registration Unit will amend the flat rate farmer details to cancel the farmer’s certification and confirm their action in writing.
- If the farmer appeals against compulsory cancellation of the certificate, please send copies of all relevant correspondence to VRAP team for information. If the farmer is making a legal challenge, we will provide advice on request.
- If there is reason to believe that the farmer is obliged to register for VAT, advise the Registration section accordingly.