The Landfill Disposals Tax (Administration) (Wales) Regulations 2018

Recovery in the event of customer payment

24.—(1) This regulation applies where a claimant—

(a) has benefited from an amount of customer insolvency credit in respect of a taxable disposal (see regulation 21(3)), and

(b) subsequently receives a payment from the customer which, by virtue of regulation 16, is treated as being allocated, in part or in whole, to the debt owed in respect of the consideration for the disposal.

(2) The claimant must pay WRA, before the end of 30 days beginning with the day on which the claimant receives the customer payment, an amount calculated in accordance with the formula in paragraph (3).

(3) The formula is—

Payment =

where—

(a)

“Payment” is the amount of the payment that must be made to WRA;

(b)

“RCredit” is the relevant amount of customer insolvency credit;

(c)

P is the amount of payment that is treated as being allocated to the debt owed in respect of the consideration for the disposal, as described in paragraph (1)(b);

(d)

OC is—

(i)

the amount treated as OC for the purposes of calculating the amount of credit in respect of the disposal under regulation 18(1), less

(ii)

any amount received from the customer that has already been treated as P under this regulation.

(4) The relevant amount of customer insolvency credit is—

(a) the amount of credit calculated in respect of the disposal under regulation 18(1), less

(b) any amount that the claimant has already been required to pay WRA in respect of the disposal under this regulation.