Finance Act 2013

Receivers and liquidators.

68.— The Principal Act is amended—

(a) in section 28 by inserting the following after subsection (3):

“(4) Where, in the case of a business carried on, or that has ceased to be carried on, by an accountable person, services (being services that are supplied using the assets or part of the assets of an accountable person) are, under any power exercisable by another person (including a receiver or liquidator), supplied by that other person in or towards the satisfaction of a debt owed by the accountable person, or in the course of winding up of a company, then those services shall be deemed to be supplied by the accountable person in the course or furtherance of his or her business.

(5) Where another person (including a receiver or liquidator), under any power exercisable by that other person, in or towards the satisfaction of a debt owed by a taxable person, or in the course of winding up of a company—

(a) makes a supply consisting of a letting of immovable goods, being the assets or part of the assets of the taxable person, and

(b) that other person exercises an option to tax that letting in accordance with section 97(1)(a)(i),

then that taxable person shall be deemed to have supplied that letting and to have exercised the option to tax.”,

(b) in section 65(1)(b) by substituting “dispose of goods or supply services which pursuant to section 22(3) or 28(4) or (5)” for “dispose of goods which pursuant to section 22(3)”,

(c) in section 65(4) by substituting “Every person who disposes of goods or supplies services which pursuant to section 22(3) or 28(4) or (5) are deemed to be supplied by an accountable person in the course of his or her business shall, within 14 days of the disposal or the supply of a service,” for “Every person who disposes of goods which pursuant to section 22(3) are deemed to be supplied by an accountable person in the course of his or her business shall, within 14 days of the disposal,”,

(d) in section 76(2) by substituting “A person who disposes of goods or supplies services which pursuant to section 22(3) or 28(4) or (5)” for “A person who disposes of goods which pursuant to section 22(3)”,

(e) in section 76(2)(a) by substituting the following for subparagraph (i):

“(i) furnish to the Collector-General—

(I) a true and correct return, prepared in accordance with regulations, of the total amount of tax which became due in that taxable period, by—

(A) the accountable person in relation to the disposal of the goods or the supply of the services, and

(B) the receiver, liquidator or other person exercising a power, in relation to any adjustment required under Chapter 2 of Part 8 or section 95(4)(c),

and

(II) such other particulars as may be specified in regulations,”,

(f) in section 76(2) by substituting the following for paragraph (b):

“(b) send to the accountable person deemed to have disposed of the goods or supplied the services a statement containing such particulars as may be specified in regulations, and”,

(g) in section 76(2)(c) by substituting “out of the proceeds of the disposal or the income from the services deemed to be supplied by the accountable person.” for “out of the proceeds of the disposal.”,

(h) in section 76(3) by substituting “The owner of the goods or the supplier of the services which pursuant to section 22(3) or 28(4) or (5)” for “The owner of the goods which pursuant to section 22(3)”, and

(i) in section 95(4) by inserting the following after paragraph (b):

“(c) Where the letting referred to in paragraph (a)(iii) is a supply to which section 28(4) applies, the receiver or person exercising the power shall calculate the deductibility adjustment in accordance with the formula set out in paragraph (b) and that amount shall be payable as if it were tax due for the taxable period in which that letting takes place.”.