Section 172D — Value Added Tax Regulations 1995: Repayment of input tax

Repayment of input tax 172D 1 Where—

a a claim has been made;

and b the purchaser has claimed deduction of the whole or part of the VAT on the relevant supply as input tax (“the deduction”), the purchaser shall make an entry in his VAT account in accordance with paragraphs (2) and (3) below.

2 The purchaser shall make a negative entry in the VAT allowable portion of that part of his VAT account which relates to the prescribed accounting period of his in which the claim has been made.

3 The amount of the negative entry referred to in paragraph (2) above shall be such amount as is found by multiplying the amount of the deduction by a fraction of which the numerator is the amount of the claim and the denominator is the total VAT chargeable on the relevant supply.

4 None of the circumstances to which this regulation applies is to be regarded as giving rise to any application of regulations 34 and 35.