VATREG18150 - Taxable supplies: previous period of registration
VAT Act 1994, schedule 1, paragraph 1(4) requires that, when determining a person’s taxable turnover to establish a liability to register for VAT, any turnover from a period of previous registration is normally to be excluded.
This means that, once deregistered, a person continuing to trade must still refer back to their previous year’s turnover at the end of every month. They can, however, disregard any taxable turnover from a previous period of registration.
A person who was previously registered for more than a year can disregard all of that turnover when calculating any future liability to be registered.
A person who was registered for a period of less than a year can disregard their turnover from a period of previous registration but will still have to include any turnover prior to the period of registration that falls within the last year, when calculating any future liability to be registered.
We will, however, not disregard turnover from a period of previous registration where a person has withheld any relevant information or misled the Department at the time of cancellation. See VATDREG15000.