Office of Public Sector Information
(1) Schedule 36 contains provision about the powers of officers of Revenue and Customs to obtain information and to inspect businesses.
(2) That Schedule comes into force on such day as the Treasury may by order made by statutory instrument appoint.
(3) An order under subsection (2) may contain transitional provision and savings.
(1) This section applies to any enactment that, in connection with an HMRC matter—
(a) requires a person to produce a document or cause a document to be produced,
(b) requires a person to permit the Commissioners or an officer of Revenue and Customs—
(i) to inspect a document, or
(ii) to make or take copies of or extracts from or remove a document,
(c) makes provision about penalties or offences in connection with the production or inspection of documents, including in connection with the falsification of or failure to produce or permit the inspection of documents, or
(d) makes any other provision in connection with a requirement mentioned in paragraph (a) or (b).
(2) An enactment to which this section applies has effect as if—
(a) any reference in the enactment to a document were a reference to anything in which information of any description is recorded, and
(b) any reference in the enactment to a copy of a document were a reference to anything onto which information recorded in the document has been copied, by whatever means and whether directly or indirectly.
(3) An authorised person may, at any reasonable time, obtain access to, and inspect and check the operation of, any computer and any associated apparatus or material which is or has been used in connection with a relevant document.
(4) In subsection (3) “relevant document” means a document that a person has been, or may be, required pursuant to an enactment to which this section applies—
(a) to produce or cause to be produced, or
(b) to permit the Commissioners or an officer of Revenue and Customs to inspect, to make or take copies of or extracts from or to remove.
(5) An authorised person may require—
(a) the person by whom or on whose behalf the computer is or has been so used, or
(b) any person having charge of, or otherwise concerned with the operation of, the computer, apparatus or material,
to provide the authorised person with such reasonable assistance as may be required for the purposes of subsection (3).
(6) Any person who—
(a) obstructs the exercise of a power conferred by this section, or
(b) fails to comply within a reasonable time with a requirement under subsection (5),
is liable to a penalty of £300.
(7) Paragraphs 45 to 49 and 52 of Schedule 36 (assessment of and appeals against penalties) apply in relation to a penalty under this section as they apply in relation to a penalty under paragraph 39 of that Schedule.
(8) Omit the following—
(a) section 10 of FA 1985 (production of computer records etc in connection with assigned matters),
(b) section 127 of FA 1988 (production of computer records etc in connection with the Taxes Acts), and
(c) paragraphs 11(2) to (4) and 13(2) and (3) of Schedule 1 to the Civil Evidence Act 1995 (c. 38).
(9) In this section—
“authorised person” means a person who is, or is a member of a class of persons who are, authorised by the Commissioners to exercise the powers under subsection (3),
“the Commissioners” means the Commissioners for Her Majesty’s Revenue and Customs,
“enactment” includes an enactment contained in subordinate legislation (within the meaning of the Interpretation Act 1978 (c. 30)),
“HMRC matter” means a matter in relation to which the Commissioners, or officers of Revenue and Customs, have a power or duty, and
“produce”, in relation to a document, includes furnish, deliver and any other equivalent expression.
(1) Schedule 37 contains provision about the obligations to keep records for the purposes of income tax, capital gains tax, corporation tax and value added tax.
(2) The amendments made by that Schedule come into force on such day as the Treasury may by order made by statutory instrument appoint.
(1) Schedule 38 contains amendments relating to the disclosure of tax avoidance schemes.
(2) The amendments made by that Schedule come into force on such day as the Treasury may by order made by statutory instrument appoint; and different days may be appointed for different purposes.
(1) CEMA 1979 is amended as follows.
(2) In section 1(1) (interpretation), in the definition of “container”, after “and any” insert “baggage,”.
(3) Section 159 (power to examine and take account of goods) is amended as follows.
(4) In subsection (1)—
(a) after “for that purpose” insert “open or unpack any container or”, and
(b) insert at the end “and search it or anything in it.”
(5) In subsection (4), insert at the end “; but if an officer opens or unpacks any container, or searches it or anything in it, the Commissioners are to bear the expense of doing so.”
(1) Schedule 39 contains provision about time limits for assessments, claims etc.
(2) The amendments and saving made by that Schedule come into force on such day as the Treasury may by order made by statutory instrument appoint.
(3) An order under subsection (2)—
(a) may make different provision for different purposes, and
(b) may include transitional provision and further savings.
(1) In section 9ZB(1) of TMA 1970 (correction of personal or trustee return by HMRC)—
(a) after “correct” insert “—
(a) ”, and
(b) insert at the end “, and
(b) anything else in the return that the officer has reason to believe is incorrect in the light of information available to the officer.”
(2) In section 12ABB(1) of that Act (correction of partnership return by HMRC)—
(a) after “correct” insert “—
(a) ”, and
(b) insert at the end “, and
(b) anything else in the return that the officer has reason to believe is incorrect in the light of information available to the officer.”
(3) Schedule 18 to FA 1998 (company tax returns) is amended as follows.
(4) In paragraph 16(1) (correction of company tax return by HMRC)—
(a) after “correct” insert “—
(a) ”, and
(b) insert at the end “, and
(b) anything else in the return that the officer has reason to believe is incorrect in the light of information available to the officer.”
(5) In paragraph 31 (amendment of return by company during enquiry), in sub-paragraph (4), for paragraph (b) substitute—
“(b) in any other case, the amendment takes effect as part of the amendments made by the closure notice.”
(6) In paragraph 34 (amendment of company tax return after enquiry), for sub-paragraphs (1) and (2) substitute—
“(1) This paragraph applies where a closure notice is given to a company by an officer.
(2) The closure notice must—
(a) state that, in the officer’s opinion, no amendment is required of the return that was the subject of the enquiry, or
(b) make the amendments of that return that are required—
(i) to give effect to the conclusions stated in the notice, and
(ii) in the case of a return for the wrong period, to make it a return appropriate to the designated period.
(2A) The officer may by further notice to the company make any amendments of other company tax returns delivered by the company that are required to give effect to the conclusions stated in the closure notice.”
(7) In sub-paragraph (3) of that paragraph, for “any such amendment of a company’s return” substitute “an amendment of a company’s return under sub-paragraph (2) or (2A)”.
(8) In sub-paragraph (4)(c) of that paragraph, for “notice of amendment” substitute “closure notice”.
(9) In paragraph 61(1)(a) and (3)(a) (consequential claims etc), for “34(2)(b)” substitute “34(2A)”.
(10) In paragraph 88 (conclusiveness of amounts stated in return)—
(a) in sub-paragraph (3)(b), omit the words from “and” to the end,
(b) in sub-paragraph (3)(c), for “34(2)” substitute “34”,
(c) in sub-paragraph (4)(b), for “the end of the period specified in paragraph 34(1)” substitute “the completion of the enquiry”, and
(d) in sub-paragraph (4)(c), for “34(2)” substitute “34”.
(11) In paragraph 93(1)(b) (general jurisdiction of Special or General Commissioners), for “34(2)” substitute “34”.
(12) In the following provisions, for “34(2)” substitute “34”—
(a) in TMA 1970—
(i) section 46B(2)(aa) (questions to be determined by Special Commissioners),
(ii) section 46C(2)(b) (jurisdiction of Special Commissioners over certain claims included in returns),
(iii) section 46D(2)(aa) (questions to be determined by Land Tribunal), and
(iv) section 55(1)(a)(ii) (recovery of tax not postponed), and
(b) in ICTA, section 754(2E) (assessment, recovery and postponement of tax).
(13) The amendments made by this section come into force on such day as the Treasury may by order appoint.
(1) In section 73 of VATA 1994 (assessment of overpaid VAT credits etc), after subsection (6) insert—
“(6A) In the case of an assessment under subsection (2), the prescribed accounting period referred to in subsection (6)(a) and in section 77(1)(a) is the prescribed accounting period in which the repayment or refund of VAT, or the VAT credit, was paid or credited.”
(2) Section 80 of that Act (credit for, or repayment of, overstated or overpaid VAT) is amended as follows.
(3) After subsection (4A) insert—
“(4AA) An assessment under subsection (4A) shall not be made more than 2 years after the later of—
(a) the end of the prescribed accounting period in which the amount was credited to the person, and
(b) the time when evidence of facts sufficient in the opinion of the Commissioners to justify the making of the assessment comes to the knowledge of the Commissioners.”
(4) In subsection (4C), for “(2)” substitute “(3)”.
(5) The amendments made by this section are treated as having come into force on 19 March 2008.
(1) The requirement in section 80(4) of VATA 1994 that a claim under that section be made within 3 years of the relevant date does not apply to a claim in respect of an amount brought into account, or paid, for a prescribed accounting period ending before 4 December 1996 if the claim is made before 1 April 2009.
(2) The requirement in section 25(6) of VATA 1994 that a claim for deduction of input tax be made at such time as may be determined by or under regulations does not apply to a claim for deduction of input tax that became chargeable, and in respect of which the claimant held the required evidence, in a prescribed accounting period ending before 1 May 1997 if the claim is made before 1 April 2009.
(3) In this section—
“input tax” and “prescribed accounting period” have the same meaning as in VATA 1994 (see section 96 of that Act), and
“the required evidence” means the evidence of the charge to value added tax specified in or under regulation 29(2) of the Value Added Tax Regulations 1995 (S.I. 1995/2518).
(4) This section is treated as having come into force on 19 March 2008.
(1) Schedule 40 contains provisions amending Schedule 24 to FA 2007 (penalties for errors in returns etc).
(2) That Schedule comes into force on such day as the Treasury may by order appoint.
(3) An order under subsection (2)—
(a) may commence a provision generally or only for specified purposes, and
(b) may appoint different days for different provisions or for different purposes.
(4) The Treasury may by order make any incidental, supplemental, consequential, transitional, transitory or saving provision which may appear appropriate in consequence of, or otherwise in connection with, Schedule 24 to FA 2007 or Schedule 40.
(5) An order under subsection (4) may include provision amending, repealing or revoking any provision of any Act or subordinate legislation whenever passed or made (including this Act and any Act amended by it).
(6) An order under subsection (4) may make different provision for different purposes.
(7) The power to make an order under this section is exercisable by statutory instrument.
(8) A statutory instrument containing an order under subsection (4) which includes provision amending or repealing any provision of an Act is subject to annulment in pursuance of a resolution of the House of Commons.
(1) Schedule 41 contains provisions for imposing penalties on persons in respect of failures to notify HMRC that they are chargeable to tax etc and certain wrongdoings relating to invoices showing VAT and excise duties.
(2) That Schedule comes into force on such day as the Treasury may by order appoint.
(3) An order under subsection (2)—
(a) may commence a provision generally or only for specified purposes, and
(b) may appoint different days for different provisions or for different purposes.
(4) The Treasury may by order make any incidental, supplemental, consequential, transitional, transitory or saving provision which may appear appropriate in consequence of, or otherwise in connection with, Schedule 41.
(5) An order under subsection (4) may include provision amending, repealing or revoking any provision of any Act or subordinate legislation whenever passed or made (including this Act and any Act amended by it).
(6) An order under subsection (4) may make different provision for different purposes.
(7) The power to make an order under this section is exercisable by statutory instrument.
(8) A statutory instrument containing an order under subsection (4) which includes provision amending or repealing any provision of an Act is subject to annulment in pursuance of a resolution of the House of Commons.
(1) The Treasury may by order made by statutory instrument make provision—
(a) for and in connection with reviews by the Commissioners, or by an officer of Revenue and Customs, of HMRC decisions, and
(b) in connection with appeals against HMRC decisions.
(2) An order under subsection (1) may, in particular, contain provision about—
(a) the circumstances in which, or the time within which—
(i) a right to a review may be exercised, or
(ii) an appeal may be made, and
(b) the circumstances in which, or the time at which, an appeal or review is, or may be treated as, concluded.
(3) An order under subsection (1) may, in particular, contain provision about the payment of sums by, or to, the Commissioners in cases where—
(a) a right to a review is exercised, or
(b) an appeal is made or determined.
(4) That includes provision about payment of sums where an appeal has been determined, but a further appeal may be or has been made, including provision—
(a) requiring payments to be made,
(b) enabling payments to be postponed, or
(c) imposing conditions in connection with the making or postponement of payments.
(5) An order under subsection (1) may, in particular, contain provision about interest on any sum that is payable by, or to, the Commissioners in accordance with a decision made on the determination of an appeal.
(6) Provision under subsection (1) may be made by amending, repealing or revoking any provision of any Act or subordinate legislation (whenever passed or made, including this Act and any Act amended by it).
(7) An order under subsection (1) may—
(a) provide that any provision contained in the order comes into force on a day appointed by an order of the Treasury made by statutory instrument (and may provide that different days may be appointed for different purposes),
(b) contain incidental, supplemental, consequential, transitional, transitory and saving provision, and
(c) make different provision for different purposes.
(8) A statutory instrument containing an order under subsection (1) may not be made unless a draft of it has been laid before and approved by resolution of the House of Commons.
(9) But if the order, or any other order under subsection (1) contained in the statutory instrument, is made in connection with a transfer of functions carried out under the Tribunals, Courts and Enforcement Act 2007 (c. 15), the statutory instrument may only be made if a draft of it has been laid before and approved by resolution of each House of Parliament.
(10) In this section—
(a) references to appeals against HMRC decisions include any other kind of proceedings relating to an HMRC matter, and
(b) references to the making, determination or conclusion of appeals are to be read accordingly.
(11) In this section—
“the Commissioners” means the Commissioners for Her Majesty’s Revenue and Customs;
“HMRC decision” means—
any decision of the Commissioners relating to an HMRC matter, or
any decision of an officer of Revenue and Customs relating to an HMRC matter,
and references to an HMRC decision include references to anything done by such a person in connection with making such a decision or in consequence of such a decision;
“HMRC matter” means any matter connected with a function of the Commissioners or an officer of Revenue and Customs.
(1) Schedule 42 contains amendments of FA 1994 making certain decisions about alcoholic liquor duties subject to review and appeal.
(2) The amendments made by that Schedule have effect in relation to decisions made on or after the day on which this Act is passed.
(1) In paragraph 2(1)(s) of Schedule 5 to FA 1994 (decisions under section 157 of CEMA 1979 subject to review and appeal)—
(a) after “any security” insert “(or further security)”, and
(b) insert at the end “, guarantee or other security”.
(2) The amendments made by subsection (1) have effect in relation to decisions made on or after the day on which this Act is passed.
(1) This section applies if a person does not pay a sum that is payable by that person to the Commissioners under or by virtue of an enactment or under a contract settlement.
(2) The Commissioners may use the procedure in Schedule 12 to the Tribunals, Courts and Enforcement Act 2007 (c. 15) (taking control of goods) to recover that sum.
(3) This section extends to England and Wales only.
(1) This section applies if a person does not pay a sum that is payable by that person to the Commissioners under or by virtue of any enactment or under a contract settlement.
(2) An officer of Revenue and Customs may apply to the sheriff for a summary warrant.
(3) An application under subsection (2) must be accompanied by a certificate which—
(a) complies with subsection (4), and
(b) is signed by the officer.
(4) A certificate complies with this subsection if—
(a) it states that—
(i) none of the persons specified in the application has paid the sum payable by that person,
(ii) the officer has demanded payment from each such person of the sum payable by that person, and
(iii) the period of 14 days beginning with the day on which the demand is made has expired without payment being made, and
(b) it specifies the sum payable by each person specified in the application.
(5) Subsection (4)(a)(iii) does not apply to an application under subsection (2) insofar as it relates to—
(a) sums payable in respect of value added tax,
(b) sums payable in respect of deductions required to be made under section 61 of FA 2004 (sub-contractors in the construction industry), and
(c) sums payable by a person in that person’s capacity as an employer.
(6) The sheriff must, on an application by an officer of Revenue and Customs under subsection (2), grant a summary warrant in, or as nearly as may be in, the form prescribed by Act of Sederunt.
(7) A summary warrant granted under subsection (6) authorises the recovery of the sum payable by—
(a) attachment,
(b) money attachment,
(c) earnings arrestment,
(d) arrestment and action of furthcoming or sale.
(8) Subject to subsection (9) and without prejudice to section 39(1) of the Debt Arrangement and Attachment (Scotland) Act 2002 (asp 17) (expenses of attachment)—
(a) the sheriff officer’s fees, and
(b) any outlays necessarily incurred by that officer,
in connection with the execution of a summary warrant are to be chargeable against the person in relation to whom the warrant was granted.
(9) No fees are to be chargeable by the sheriff officer against the person in relation to whom the summary warrant was granted for collecting, and accounting to the Commissioners for, sums paid to that officer by that person in respect of the sum payable.
(10) This section extends to Scotland only.
(1) Part 1 of Schedule 43 contains provision consequential on section 127.
(2) Part 2 of that Schedule contains provision consequential on section 128.
(3) The extent of the amendments and repeals in Schedule 43 is the same as the provision amended or repealed.
(4) Sections 127 and 128 and Schedule 43 come into force on such day as the Commissioners may by order made by statutory instrument appoint.
(5) An order under subsection (4) may—
(a) make different provision for different purposes, and
(b) contain transitional provision and savings.
(1) This section applies where there is both a credit and a debit in relation to a person.
(2) The Commissioners may set the credit against the debit (subject to section 131 and any obligation of the Commissioners to set the credit against another sum).
(3) The obligations of the Commissioners and the person concerned are discharged to the extent of any set-off under subsection (2).
(4) “Credit”, in relation to a person, means—
(a) a sum that is payable by the Commissioners to the person under or by virtue of an enactment, or
(b) a relevant sum that may be repaid to the person by the Commissioners.
Finance Act 2008