§ Mr. LlwydTo ask the Chancellor of the Exchequer what is the statutory authority for the imposition of value added tax on advance payments for(a) services and (b) goods; and if he will make a statement. [29642]
§ Mr. Heathcoat-AmorySection 6 of the Value Added Tax Act 1994 provides that tax is due when a VAT invoice is issued, or when any payment is received in respect of a taxable supply made by a VAT registered trader if this happens in advance of performance of the service or delivery of the goods concerned.