Value Added Tax Act 1994 section 28

Payments on account of VAT

Section 28 gives the Treasury the power to require certain taxable persons to make advance payments on account of VAT they may become liable to pay, where this is considered desirable in the interests of the national economy.

• The Treasury may order specified categories of taxable person to make payments on account of VAT at times and in amounts determined by the order, provided this is in the interests of the national economy
• HMRC may direct how these payments on account must be made, and once a direction is given (and not withdrawn), it becomes part of the taxpayer's obligation
• The order may allow decisions made by HMRC under it to be appealed to a tribunal under the section 83 appeals process
• HMRC may make supplementary regulations, and both orders and regulations may differ for different circumstances and may amend existing VAT legislation if necessary