Article 49 - The Right to Deduct Input Tax Paid Prior to the Date of Registration

A Taxable Person may deduct Input Tax paid on Goods and Services supplied to him prior to the date of his registration for Tax purposes after meeting the following requirements:

1. Goods and Services are received for the purpose of making Taxable Supplies;

2. Capital Assets were not fully depreciated before the date of registration;

3. Goods were not supplied prior to the registration date;

4. Services were received within a specific period of time prior to the date of registration as determined by each Member State;

5. The Goods and Services are not subject to any restriction related to the right to make a deduction stated in this Agreement.

For the purposes of applying this Article, Input Tax shall be deductible for Capital Assets in accordance with the net book value of the assets as on the date of registration as specified by each Member State.