Understatement or overstatement of UK VAT in special scheme return
16(1) If the Commissioners consider that a person who is or has been a participant in the special scheme has submitted a special scheme return which understates his liability to UK VAT, they may give him a notice—
(2) If the Commissioners consider that a person who is or has been a participant in the special scheme has submitted a special scheme return which overstates his liability to UK VAT, they may give him a notice—
(3) Where the Commissioners give a person a notice under subparagraph (2) above, they are liable to pay him the amount specified in the notice.
(4) No notice under this paragraph may be given more than 3 years after the end of the period for which the special scheme return in question was made.
(5) In this Schedule, "participant in the special scheme" means a person who—
(6) In this paragraph—
"special scheme return" means—
"UK VAT" means VAT which a person is liable to pay (whether in the United Kingdom or another member State) in respect of qualifying supplies treated as made in the United Kingdom at a time when he is or was a participant in the special scheme;
"value added tax return", in relation to another member State, means any value added tax return required to be submitted under any provision of the law of that member State which implements Article 26c(B)(5) of the 1977 VAT Directive.