s 92 Temporary arrangements for Seventh Schedule supplies
92.—(1) Where an agreement provides (expressly or impliedly) for a Seventh Schedule supply to be performed progressively and continuously over a period, then —(a) if the agreement was made before 19 February 2018 — tax is not chargeable on the supply; and (b) if the agreement was or is made on or after 19 February 2018 but before 1 January 2020 — tax is chargeable on the supply to the extent the services are performed on or after 1 January 2020.[33/2019] (2) If any services under subsection (1)(b) are covered by an invoice issued or consideration received before 1 January 2020, the tax chargeable in relation to those services must be accounted for in the return for the accounting period in which the later of the following falls:(a) 1 January 2020; (b) the day on which the person making the supply is registered in accordance with the First Schedule.[33/2019] (3) Subject to subsection (1), where an invoice for a Seventh Schedule supply was or is issued on or after 19 February 2018 but before 1 January 2020, tax is chargeable on the supply to the extent of —(a) the amount of the invoice received on or after 1 January 2020; or (b) the value of the services to which the invoice relates that are performed on or after 1 January 2020, if lower.[33/2019] (4) Subsection (3) does not apply if the whole amount of the invoice is received, or the whole of the services is performed, before 1 January 2020.[33/2019] (5) Tax chargeable under subsection (3) must be accounted for in the return for the accounting period in which the later of the following falls:(a) 1 January 2020; (b) the day on which the person making the supply is registered in accordance with the First Schedule.[33/2019] (6) Subject to subsection (1), where an invoice for a Seventh Schedule supply is issued on or after 1 January 2020 —(a) tax is chargeable on the supply to the extent of the amount of the invoice received on or after that date; but (b) the taxable person may elect for the tax to be chargeable only to the extent of the value of the services that are performed on or after that date, if lower.[33/2019] (7) Subsection (6) does not apply if the whole amount of the invoice is received, and the whole of the services is performed, on or after 1 January 2020.[33/2019] (8) For the purposes of this section, where only a part of the services under a Seventh Schedule supply is performed, the value of the part is a value that is, in the opinion of the Comptroller, reasonably attributable to the part.[33/2019] (9) Where the supply in subsection (1)(b), (3) or (6) spans one or more other specified changes within the meaning of section 39(3), then tax is chargeable on the chargeable value of the supply in accordance with Division 1 of Part 6A.[Act 35 of 2022 wef 01/01/2023] (10) In this section, “chargeable value”, in relation to a supply, means the value of the services or the amount of the invoice on which tax is chargeable under subsection (1)(b), (3) or (6), as the case may be.[Act 35 of 2022 wef 01/01/2023]