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CLAUSE 39:  TRANSFER OF A BUSINESS AS A GOING CONCERN

SUMMARY

1.         This clause enables the Commissioners of Customs and Excise to make various provisions by regulations in order to secure continuity when a business is transferred from one person to another as a going concern.  Regulations may make particular provision for such things as notification to the Commissioners of a transfer, the transfer of obligations, the right to either a tax credit or repayment of levy and the preservation of any relevant records or accounts relating to the business.

DETAILS OF THE CLAUSE

2.         Subsection (1) provides the regulation making powers to make provision for securing continuity in the application of the aggregates levy provisions when a business is transferred as a going concern.

3.         Subsection (2)  sets out what these regulations may include, such as notification of the transfer to the Commissioners, provision for the transfer of liabilities and duties, provision for the right to tax credits or repayments and preservation of records or accounts.

4.         Subsection (3) sets out that regulations made under this section may provide that provisions relating to the transfer of liabilities and duties and rights to tax credits or repayments shall not have  effect unless an application for the purpose has been made by the transferor or transferee.