BIM40162 - Specific receipts: refunds of sums paid as VAT: finding the right guidance - flowchart

This is direct tax guidance; for indirect tax guidance, refer to VAT Guidance.

You may come across a number of different types of refund of a sum paid as VAT.

will help you identify the appropriate guidance for the more commonly encountered scenarios.

The flowchart does not cover capital allowances or capital gains questions.

Terms used

Space is limited in the flowchart so:

바카라 사이트˜Received by바카라 사이트™ is used in the flowchart to mean 바카라 사이트˜received by and recognised in the accounts in accordance with GAAP바카라 사이트™.

바카라 사이트˜PCR바카라 사이트™ is used in the flowchart to mean post cessation receipt.

You may find it easier to follow the flowchart in this format.

Question 1

Refund received by original trader?

  • Yes - Go to Question 2.

    No - Go to Question 3.

Question 2

Trader continues to trade?

Question 3

Received by successor?

  • Yes - Go to Question 4.
  • No - Go to Question 5.

Question 4

Successor continues to trade?

Question 5

Received for providing services?

  • Yes - Go to Question 6.
  • No - Go to Question 7.

바카라 사이트‹바카라 사이트‹바카라 사이트‹바카라 사이트‹바카라 사이트‹바카라 사이트‹바카라 사이트‹Question 6

Receipt of management services trade?

  • Yes - Taxable in full as a trade receipt: BIM40178.
  • No - Received because of right to claim: taxable as miscellaneous income: BIM40182.

Question 7

Received as a receipt from a trade that has ceased?

  • Yes - Taxable as a PCR: BIM40180.
  • No - Received because of right to claim: taxable as miscellaneous income: BIM40182.