SLfT4004 - Transfer of a business as a going concern

If you (the transferee):

• acquire a SLfT-registered business as a going concern from another person or entity (the transferor);
• we have not already cancelled the registration of the transferor; and
• as a result of the transfer of the business, the registration of the transferor is to be cancelled and you have become liable to be registered,

then both you and the transferor can jointly apply to have the transferor’s registration cancelled and for you to be registered with the same registration number previously allocated to the transferor, both from the date of the transfer. It will not be possible to do this if the transferor continues to trade as a SLfT-registered business.

We will notify you if the transfer of the number has been allowed.

If a joint application is made then the transferor does not need to notify us about ceasing to have the intention to carry out taxable activities in order to de-register for tax (see SLfT4008).

If a joint application is not made, then the transferor will need to de-register for tax and you will need to separately notify us in order to register for tax (see SLfT4002).

Liabilities and entitlements if the transferee is allocated the same registration number as the transferor held

If you have been allocated the same registration number as was previously held by the transferor, then you will become:

• responsible for all existing liabilities of the transferor to make a SLfT return and pay tax; and
• entitled to any credits due to the previous owner.

If you were allocated the same registration number during an accounting period subsequent to that in which the transfer took place, then any:

• return that has been made;
• tax that has been accounted for; or
• entitlement to credit that has been claimed,

by either you or the transferor is treated as having been done by you.

Entitlement to credit for waste later recycled, incinerated, re-used or enforceably removed where transfer of a going concern occurs

Irrespective of whether or not you have been allocated the same registration number as the transferor previously held, where:

• a business is transferred as a going concern;
• you remove material which was temporarily disposed of as landfill waste but is now being recycled, incinerated, re-used or enforceably removed and is in accordance with regulations 17(2) or 17(4) of The Scottish Landfill Tax (Administration) Regulations 2015 (see SLfT6008); and
• the transferor has paid tax on the disposal concerned,

then any entitlement to credit arising under Part 5 of The Scottish Landfill Tax Administration Regulations 2015 becomes your entitlement and not that of the transferor.

The Scottish Landfill Tax (Administration) Regulations 2015 regulation 6