Prevention of avoidance of levy
32.—(1) Subject to paragraphs (2) and (3), if —
(a)a producer (“A”) makes sales or deliveries of milk or milk products in any quota year from milk produced by any cows; and
(b)later in the same quota year another producer (“B”) makes sales or deliveries of milk or milk products from milk produced by any or all of the same cows,
B is deemed for the purposes of these Regulations to have made those sales or deliveries as agent for A.
(2) Paragraph (1) does not apply if —
(a)an agreement has been entered into by A for the sale or lease of the cows in question to B;
(b)the cows are kept on B’s holding; and
(c)after the making of the agreement —
(i)B is actively involved in the management of the herd which the cows mentioned in paragraph (1)(b) comprise and production from it, and
(ii)A has no further involvement in that management and production.
(3) Paragraph (1) does not apply if —
(a)B has inherited the cows in question from A; and
(b)the cows are kept on B’s holding.