§ Sir David SteelTo ask the Chancellor of the Exchequer under what authority private electricity supply companies may charge customers who pay bills in monthly instalments the new rate of VAT prospectively, to cover all instalments up to next April.
§ Sir John CopeFor VAT purposes, supplies of electricity are treated as taking place each time a payment is received by the supplier or a tax invoice is issued by him, 149W whichever is the earlier. The rate of tax to be charged will normally be the rate in force at that time. Consumers should not be charged VAT on any payments made by them before 1 April 1994.