Section 11: Cessation of business

11. Cessation of business (1) Subject to subsection (2) where the manager of a designated establishment ceases to carry on business at that establishment, he shall— (a) immediately give written notice thereof to the Director-General; and (b) not later than the last day of the month following the month in which he ceased to carry on business, submit— (i) in respect of that part of the financial year ending on the date of cessation of the business, the statement specified in section 8 (1); and (ii) in respect of the last month in which he carried on business, a return which shall include any amount owing to the establishment as taxable receipts at the date of the cessation of business adjusted in the manner provided for under section 8 (2) and pay the tax specified in that section. (2) Where the manager of a designated establishment, who ceases to carry on business at that establishment, sells or otherwise transfers the business together with the amount owing to the establishment as taxable [Issue 1] H9 – 4 receipts at the date of the cessation of business, he shall not pay tax on those taxable receipts but the purchaser or transferee shall be liable to pay the tax on those taxable receipts and the establishment shall continue to be a designated establishment.