Distraint and poindingU.K.
61 Distraint by collectors. U.K.
(1)If a person neglects or refuses to pay the sum charged, upon demand made by the collector, [F1the collector may distrain upon the goods and chattels of the person charged (in this section referred to as “the person in default”.]
(2)For the purpose of levying any such distress, [F2a justice of the peace, on being satisfied by information on oath that there is reasonable ground for believing that a person is neglecting or refusing to pay a sum charged, may issue a warrant in writing authorising a collector to] break open, in the daytime, any house or premises, calling to his assistance any constable.
Every such constable shall, when so required, aid and assist the collector in the execution of the warrant and in levying the distress in the house or premises.
(3)A levy or warrant to break open shall be executed by, or under the direction of, and in the presence of, the collector.
(4)A distress levied by the collector shall be kept for five days, at the costs and charges of a person [F3in default].
(5)If the person [F4in default] does not pay the sum due, together with the costs and charges F5. . . , the distress shall be appraised by [F6one or more independent persons appointed by the collector], and shall be sold by public auction by the collector for payment of the sum due and all costs and charges.
F7. . . Any overplus coming by the distress, after the deduction of the costs and charges and of the sum due, shall be restored to the owner of the goods distrained.
[F8(6)The Treasury may by regulations make provision with respect to—
(a)the fees chargeable on or in connection with the levying of distress, and
(b)the costs and charges recoverable where distress has been levied;
and any such regulations shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of the House of Commons.]
Textual Amendments
F1Words in s. 61(1) substituted (1.2.1994) by Finance Act 1989 (c. 26), s. 152(2)(7); S.I. 1994/87, art. 2
F2Words in s. 61(2) substituted (1.2.1994) by Finance Act 1989 (c. 26), s. 152(3)(7); S.I. 1994/87, art. 2
F3Words in s. 61(4) substituted (1.2.1994) by Finance Act 1989 (c. 26), s. 152(4)(7); S.I. 1994/87, art. 2
F4Words in s. 61(5) substituted (1.2.1994) by Finance Act 1989 (c. 26), s. 152(5)(a)(7); S.I. 1994/87, art. 2
F5Words in s. 61(5) omitted (1.2.1994) by virtue of Finance Act 1989 (c. 26), s. 152(5)(b)(7); S.I. 1994/87, art. 2
F6Words in s. 61(5) substituted (1.2.1994) by Finance Act 1989 (c. 26), s. 152(5)(c)(7); S.I. 1994/87, art. 2
F7Words in s. 61(5) omitted (1.2.1994) by virtue of Finance Act 1989 (c. 26), s. 152(5)(d)(7); S.I. 1994/87, art. 2
F8S. 61(6) added (1.2.1994) by Finance Act 1989 (c. 26), s. 152(6)(7); S.I. 1994/87, art. 2
Modifications etc. (not altering text)
C1 S. 61 applied (with modifications) by the Oil Taxation Act 1975 (c. 22), s. 1, Sch. 2 para. 1(1)
C2S. 61 applied (with modifications) (31.7.1997) by Finance (No. 2) Act 1997 (c. 58), Sch. 2 para. 15(1)-(3)
C3S. 61 applied (with effect in accordance with reg. 1(2) of the amending S.I.) by The Stamp Duty (Collection and Recovery of Penalties) Regulations 1999 (S.I. 1999/2537), regs. 1(1), 3(1), Sch. Pt. I
62 Priority of claim for tax.U.K.
(1)[F9If at any time at which any goods or chattels belonging to any person (in this section referred to as “the person in default”) are] liable to be taken by virtue of any execution or other process, warrant, or authority whatever, or by virtue of any assignment, on any account or pretence whatever, except at the suit of the landlord for rent, [F9the person in default is in arrears in respect of any such claims as are referred to in subsection (1A) below, the goods or chattels may not be so taken unless on demand made by the collector] the person at whose suit the execution or seizure is made, or to whom the assignment was made, pays or causes to be paid to the collector, before the sale or removal of the goods or chattels, all [F9such sums as have fallen due at or before the date of seizure].
[F10(1A)The sums referred to in subsection (1) above are—
(a)sums due from the person in default on account of deductions of income tax from emoluments paid during the period of twelve months next before the date of seizure, being deductions which the person in default was liable to make under section 203 of the principal Act (pay as you earn) less the amount of the repayments of income tax which he was liable to make during that period; and
(b)sums due from the person in default in respect of deductions required to be made by him for that period under section 559 of the principal Act (sub-contractors in the construction industry).]
(2)[F11If the sums referred to in subsection (1) above are not paid within ten days of the date of the demand referred to in that subsection, the collector may] distrain the goods and chattels notwithstanding the seizure or assignment, and [F11may proceed] to the sale thereof, as prescribed by this Act, for the purpose of obtaining payment of the whole of [F11those sums], and the reasonable costs and charges attending such distress and sale, and every collector so doing shall be indemnified by virtue of this Act.
F12(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F9Words in s. 62(1) substituted by Finance Act 1989 (c. 26), s. 153(2).
F10S. 62(1A) inserted by Finance Act 1989 (c. 26), s. 153(3).
F11Words in s. 62(2) substituted by Finance Act 1989 (c. 26), s. 153(4).
F12 A development land tax provision added by Development Land Tax Act 1976 (c. 24) Sch.8 para.17. Development Land Tax Act 1976 repealed by Finance Act 1985 (c. 54), s.98(6), Sch.27 Part X.
[F1363Recovery of tax in ScotlandU.K.
(1)Subject to subsection (3) below, in Scotland, where any tax is due and has not been paid, the sheriff, on an application by the collector accompanied by a certificate by the collector—
(a)stating that none of the persons specified in the application has paid the tax due by him;
(b)stating that the collector has demanded payment under section 60 of this Act from each such person of the amount due by him;
(c)stating that 14 days have elapsed since the date of such demand without payment of the said amount; and
(d)specifying the amount due and unpaid by each such person,
shall grant a summary warrant in a form prescribed by Act of Sederunt authorising the recovery, by way of the diligences mentioned in subsection (2) below, of the amount remaining due and unpaid.
(2)The diligences referred to in subsection (1) above are—
(a)a poinding and sale in accordance with Schedule 5 to the Debtors (Scotland) Act 1987;
(b)an earnings arrestment;
(c)an arrestment and auction of furthcoming or sale.
(3)Paragraph (c) of subsection (1) above shall not apply to an application under that subsection [F14insofar as it relates to sums due in respect of—
(a)deductions of income tax which any person specified in the application was liable to make under section 203 of the principal Act (pay as you earn); or
(b)deductions required to be made under section 559 of the principal Act (sub-contractors in the construction industry) by any person specified in the application.]
F15[(4)In this section references to amounts of tax due and references to sums due in respect of deductions include references to amounts which are deemed to be—
(a)amounts of tax which the person is liable to pay by virtue of the Income Tax (Employments) Regulations 1973; or
(b)amounts which the person is liable to pay by virtue of the Income Tax (Sub-Contractors in the Construction Industry) Regulations 1975.]]
Subordinate Legislation Made
P1S. 63(1): s. 63(1) power exercised by S.I.1991/1920
Textual Amendments
F13Ss 63, 63A substituted for s. 63 (30.11.1988) by Debtors (Scotland) Act 1987 (c. 18), s. 74(1), Sch. 4 para. 2; S.I. 1988/1818 (C. 66).
Modifications etc. (not altering text)
C4S. 63 applied (with modifications) (31.7.1997) by Finance (No. 2) Act 1997 (c. 58), Sch. 2 para. 15(1)-(3)
C5S. 63 applied (with modifications) (with effect in accordance with reg. 1(2) of the amending S.I.) by The Stamp Duty (Collection and Recovery of Penalties) Regulations 1999 (S.I. 1999/2537), regs. 1(1), 3(1), Sch. Pt. I
[F1363A Sheriff officer’s fees and outlays.U.K.
(1)Subject to subsection (2) below and without prejudice to paragraphs 25 to 34 of Schedule 5 to the Debtors (Scotland) Act 1987 (expenses of poinding and sale), the sheriff officer’s fees, together with the outlays necessarily incurred by him, in connection with the execution of a summary warrant shall be chargeable against the debtor.
(2)No fee shall be chargeable by the sheriff officer against the debtor for collecting, and accounting to the collector for, sums paid to him by the debtor in respect of the amount owing.]
Textual Amendments
F13Ss 63, 63A substituted for s. 63 (30.11.1988) by Debtors (Scotland) Act 1987 (c. 18), s. 74(1), Sch. 4 para. 2; S.I. 1988/1818 (C. 66).
Modifications etc. (not altering text)
C6S. 63A applied (with modifications) (31.7.1997) by Finance (No. 2) Act 1997 (c. 58), Sch. 2 para. 15(1)-(3)
C7S. 63A applied (with effect in accordance with reg. 1(2) of the amending S.I.) by The Stamp Duty (Collection and Recovery of Penalties) Regulations 1999 (S.I. 1999/2537), regs. 1(1), 3(1), Sch. Pt. I
64Priority of claim for tax in Scotland. U.K.
(1)[F16If at any time at which any movable goods and effects belonging to any person (in this section referred to as “the person in default”) are] liable to be taken by virtue of any poinding, sequestration for rent, or diligence whatever, or by any assignation, [F17the person in default is in arrears in respect of any such sums as are referred to in subsection (1A) below, the goods and effects may not be so taken unless on demand made by the collector] the person proceeding to take the said goods and effects pays [F17such sums as have fallen due at or before the date of poinding or, as the case may be, other diligence or assignation].
[F18(1A)The sums referred to in subsection (1) above are—
(a)sums due from the person in default on account of deductions of income tax from emoluments paid during the period of twelve months next before the date of poinding, being deductions which the person in default was liable to make under section 203 of the principal Act (pay as you earn) less the amount of the repayments of income tax which he was liable to make during that period; and
(b)sums due from the person in default in respect of deductions required to be made by him for that period under section 559 of the principal Act (sub-contractors in the construction industry).]
(2)[F19If the sums referred to in subsection (1) above are not paid within ten days of the date of the demand referred to in that subsection, the sums shall], notwithstanding any [F19proceedings] for the purpose of taking the said moveable goods and effects, be recoverable by poinding and selling the said moveable goods and effects under warrant obtained in conformity with the provisions contained in section 63 above.
F20(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F16Finance Act 1989 (c. 26), s. 155(2)(a).
F17Words in s. 64(1) substituted by Finance Act 1989 (c. 26), s. 155(2)(b)(c).
F18Finance Act 1989 (c. 26), s. 155(3)
F19Words in s. 64(2) substituted by Finance Act 1989 (c. 26), s. 155(4)(a)(b).
F20 A development land tax provision added by Development Land Tax Act 1976 (c. 24) Sch.8 para.18. Development Land Tax Act 1976 repealed by Finance Act 1985 (c. 54), s.98(6), Sch.27 Part X.