VBDR5100 - Repayment of input tax: When is a business required to repay input tax?

There are two situations in which input tax is required to be repaid:

• for supplies made before 1 January 2003 businesses are required to repay input tax relating to supplies for which they have not paid and for which a notification of a claim for bad debt relief is received from their supplier; and
• for supplies made on or after 1 January 2003 businesses are required to repay input tax relating to supplies for which they have not paid six months after the ‘relevant date’.