Value Added Tax Act (Cap. 406), article 40

40. Any person registered under article 11 who does not remain eligible to be so registered and who does not apply for the cancellation of his registration under article 11 within the ti me laid down in the relevant provisions of this Act shall be liable to an administrative penalty in an amount equivalent to the higher of - (a) ten per cent of the excess, i f any, of the output tax over the deductions for the first tax period following the cancellation of his registration under article 11; and (b) one hundred euro (€100), for every month or part thereof that elapses from the date on w hich the application should have been made in terms of the said provisions and the earlier of the date on which the application is furnished to the Commissioner and the date when the registratio n under article 11 is cancell ed by the Commissioner: Provided that such administrative penalty shall in no case exceed five hundred euro (€500). Liability to administrative penalties.