5

In regulation 40 (VAT to be accounted for on returns and payment of VAT)—

a

in paragraph (2A)—

i

after “a return is made” insert “or is required to be made”, and

ii

for “regulation 25” substitute “regulations 25 and 25A”;

b

after paragraph (2A), insert—

2B

With effect from 1st April 2010, where a person makes any payment to the Controller required by paragraph (2) above by cheque (whether or not in contravention of paragraph (2A) above)—

a

the payment shall be treated as made on the day when the cheque clears to the account of the Controller, and

b

that shall be the day when payment of any VAT shown as due on the return is to be treated as received by the Commissioners for the purposes of section 59 of the Act.

2C

For the purposes of this regulation, the day on which a cheque clears to the account of the Controller is the second business day following but not including the date of its receipt.

2D

In this regulation a “business day” is any day except—

a

Saturday, Sunday, Good Friday or Christmas Day;

b

a bank holiday under the Banking and Financial Dealings Act 19719;

c

a day appointed by Royal proclamation as a public fast or thanksgiving day10;

d

a day declared by an order under section 2(1) of the Banking and Financial Dealings Act 1971 to be a non-business day11.