Transfer of a business as a going concern (TOGC)

VAT Notice 700/9

Transfer of a business as a going concern is effective now and replaces the April 2008 edition of the notice. This notice explains whether the transfer of a business should be treated as a 'Transfer of a business as a going concern' (TOGC) for VAT purposes, or not. It also explains the VAT treatment in each circumstance. 

The notice has been updated in section 11 with an example of VAT Form 68. It has also been edited and examples only remain where they help illustrate a point or area of confusion. HMRC recognise that this editing could result in uncertainty and highlight that further examples of the application of the TOGC conditions are contained in HM Revenue & Customs (HMRC) internal guidance which is accessible through its website.

The guidance seeks to provide advice as to when a transfer of a business as a going concern applies and to explain the appropriate VAT treatment. It stresses that it is important that each transfer is considered on the basis of its facts and circumstances as a 'one size fits all' approach is not appropriate.