Q.  My client is supplier of recycled and recyclable packaging and uses the cash accounting scheme as his customers are large and tend to dictate their own payment terms. Thinking about the future of packaging, he is about to buy an adjacent plot of land costing £300,000 + VAT to enable the business to expand in the future. The seller agreed to collect payments in three instalments over the next two years but when he agreed those terms, he did not realise that he will need to account for output tax on the full selling price on the return covering the date of the actual sale.