11. Cash accounting.

The Cash Accounting Scheme allows VAT-registered businesses to account for VAT based on actual payments made and received rather than on invoices. If a business enters insolvency, the appointed office holder must account for any outstanding VAT on supplies made or received up to the date of insolvency within two months of that date. The office holder may continue using the scheme during the post-insolvency period if the business remains eligible, provided they separate records for transactions already accounted for on pre-insolvency VAT returns.